Logistics & Global Trade – Optimize Business with Third Party Logistics
03 June 2021
When it comes to third party logistics or commonly known as 3PL, there are lots of factors to consider. Before understanding how 3PL plays an important role in import-export business and supply chain, let’s first discuss what is 3PL. Third Party Logistics (3PL) has been defined as the function by where the client (who is owner of goods) outsources various constituents of the supply chain to a 3PL company. This 3PL company can then manage the inbound freight, client’s customs, distribution, warehousing, order fulfilment and outbound freight to the client’s customers.
Third party logistics companies are continuously expanding and broadening their knowledge of logistics technology and with that you are aligning your business with innovation.
There are tons of benefits for businesses to utilize 3PL. These include:
Coordinate the consignments of goods from the factory.
Arrange transportation facilities to have containers loaded onto the vessel and process the documentation on the shipment.
Navigate all customs procedures with export regulations, as well as the import rules and regulations of the countries that the commodities are being shipped to.
Help import-export companies to find alternative methods of shipping.
Handle all documentation connected with international trade.
Now major question is how to choose the right third-party logistics. Research is very important to start with. Here are some tips to find the best logistics partner:
Get global import export data with company information from a reliable source like Export Genius.
Identify logistics providers from company data and create a list of qualified logistics companies.
Contact every company and ask important questions like experience in products & industries. It is important to find a transportation provider that understands the challenges unique to your industry, customers, products and organizational goals.
If you select some 3PL companies, you should compare their services with their competitors. Some fulfilment providers may offer additional services and solutions beyond the typical fulfilment and distribution services.
Remember before making a decision, compare price, transportation services and other market aspects of 3PL companies.
Whether you’re shipping a small package via air, large containers by sea or full cargo loads of commodities, a third-party logistics company can assist you in moving your cargo from one international territory to another anywhere in the world at any speed you need. Even if you are an established supplier and handle every shipment activity in-house, consider utilizing the services of a 3PL. Always remember to research properly and choose trustworthy transportation & logistics service provider to avoid any business risk.