The Types of 3PL Providers: Choose the Best for Your Business

The Types of 3PL Providers

The modern logistics industry is developing so fast. Nowadays there are lots of various freight forwarders who are ready to transport cargo of any level of complexity as soon as possible. Yet, the outstanding e-commerce boom has significantly contributed to the development of 3PL companies. They differ from simple carriers. Thus, if you hire a 3PL carrier you are to count on a wide spectrum of logistics services. They may encompass:

  • 3PL transportation.

You can hardly find a company that doesn’t need any delivery options. No matter, whether it comes to supplies or ready products, it’s always necessary to transport cargo from point A to point B. Only a few corporations are able to organize and maintain the stable functioning of their own logistics units. By the way, more and more companies are getting rid of this practice and prefer to cooperate with professional freight brokers.   

  • Paperwork.

This part of any freight forwarding process is the most complicated and exhausting. There is no room for mistakes. Moreover, the requirements are always altered. No wonder, it’s better to entrust this task to skillful and competent experts. They are to gather and prepare all the needed papers and documents for you. 

  • Warehousing.

Only a few types of cargo do not need to be stored while shipping. It’s of prime importance to pick up the most appropriate warehouses with optimal conditions and reasonable prices. 3PL brokers are able to do this without effort.   

  • Dealing with emergency situations and complaints.

If something goes wrong, it’s of prime importance to have a backup plan in order to avoid delays and financial losses. 

  • Tracking and monitoring the process of shipping.

Logistics brokers keep the whole transportation process under their control.

It’s also possible to get lots of extra services like uploading and downloading the products, labeling, and packaging your items.

There are 4 main types of 3PL companies. They are standard providers, customer adapters, service developers, and customer developers. Thus, standard PL brokers offer only the most essential services. It’s a good solution for those who need simple transportation. Other variations are ready to provide business owners versatile IT technologies, a wider spectrum of additional options. Actually, it’s even possible to entrust all logistics activities to the partners.

By the way, there are three major types of cooperation with 3PL partners the business owners can benefit from. You may choose one of the following variants:

  • Transactional outsourcing.

It’s a good solution if you are not going to continue cooperation with the brokerage.  

  • Tactical outsourcing.
  • Strategic outsourcing.

It’s up to you to select the most appropriate type of cooperation that meets the needs and expectations of your business. Moreover, the assortment of available options is so great that it’s impossible to be left without a reliable logistics partner.

So, 3PL logistics is one of the most crucial elements of the successful functioning of the supply chains of both large and small firms. It’s only necessary to get acquainted with possible solutions and choose the one meeting your needs and budget.