Since the term — and the market — originated in the ‘70s, 3PLs providers have evolved to offer a variety of niche and broad-based supply chain services. Today, with the need for sophisticated technology, access to capacity and increasing compliance issues, even those companies that may have been hesitant to outsource logistics to a third party are acknowledging the growing value.
A 3PL offers many benefits, some of which include:
- Opportunity Cost — Outsourcing allows you channel your resources to your core competency; you invest in yourself. A 3PL eliminates the need for capital expenditures in all of the separate elements of the logistics process (warehouse space, technology, staff, transportation, etc.). And no more diversions spent on rectifying a costly mistake. All of these factors directly impact your company’s rate of growth.
- Leverage Expertise—3PLs are experts in the supply chain industry and know what solution is best for each customer. 3PLs have (or should have) the technology that gives you visibility into inventory, tracking, and delivery, plus automation that eliminates repetitive tasks. Technology is required to serve larger retailers and other lean supply chain customers. And if you’re in the food business, technology is a must for traceability. With this best-in-class expertise at your fingertips, logistics becomes an asset, not a liability.
- Scalability— Responding to seasonal demands, changing marketplaces and rapid company growing places a huge burden on internal resources. 3PLs are structured to manage any and all transitions or changes in the supply chain. The combination of warehousing network, truck fleet, and assets from supply chain partners gives 3PLs scalability to meet supply chain demand peaks. . . and valleys.
- Continuous Improvement—3PLs constantly look for ways to improve the logistics process. These providers know how to deploy resources that ensure the job will get done in the most efficient way, providing security and comfort for your company. Whether it’s the latest advancements in technology or continuous optimization of the supply chain process, a 3PL has your best interest in mind.
And if you’re searching for a 3PL provider with a 60-year track record in all of the above, give Hanson Logistics a call. Outsourcing your needs to Hanson allows you to leverage best-in-class logistics as a competitive advantage.