How The Right 3PL Provider Can Help You Overcome Supply Chain Management Challenges
As product demand continues to rise, companies across multiple industries are teaming up with 3PLs to overcome supply chain management challenges and sealing the deal with on-time and cost-effective delivery to customers.
Regardless of a company’s size or industry, supply chain management remains a complicated process that requires supreme service from talented experts—whether companies are delivering products to or from a city near their headquarters or shipping them halfway around the world. And, as customer demand for on-time delivery continues to increase, supply chain outsourcing is practically a necessity for most companies.
As a result, 3PL providers across the country are partnering with organizations to ensure they’re able to exceed their customers’ delivery expectations, in spite of constant changes in product shipment volumes. In turn, 3PLs are proving their service value by providing:
- 24/7 access
- Time and cost savings
- Timely responses to shipment delays and inaccuracies
The benefits of partnering with 3PLs are wide-ranging, long-lasting, and available to all types of companies that aspire to deliver their products on time and under budget.
Freight management, or transportation management, is the process of overseeing and managing inbound, outbound, and potentially third-party shipments for transport. A full outsource to a 3PL will generally include visibility and execution capabilities to a transportation management system (TMS). This process leverages supply chain expertise to ensure that the right products get to the right places safely, on time, and in the most efficient way possible. Freight management may involve the management of multiple carrier partners, suppliers, and vendors to deliver visibility, control, and flexibility.
While the ability to deliver freight to the right place on time, damage-free, and at the lowest possible cost has always been important to businesses, it’s even more important in today’s competitive landscape due to factors like:
- Leaner inventories
- Tighter delivery windows
- Just-in-time (JIT) manufacturing
- Rising labor and warehousing costs
- E-commerce and retailer fulfillment expectations
Freight optimization presents potentially the largest opportunities within a supply chain. Unfortunately, it can bring with it some of the most complex challenges.
Freight optimization involves the moving of a product to the customer in the most cost-effective way possible given the many variables that are involved in the shipping process (i.e., lead time, required delivery window, shipment size, other shipments destined for that geographical location, stackability, and fit with complimentary items).
Many 3PL providers have the technologies and available volume that individual shippers often can't provide. 3PL solutions may include consolidating products going to the same destination or region, improved forecasting and planning to allow for more optimized loads, or other strategic opportunities that may not be readily apparent. Freight optimization provides shippers with cost savings by leveraging its 3PL provider’s shipping expertise, client networks, carrier relationships, and robust technologies.
Transportation Network Analysis
A network analysis can help you find an ideal future state for your supply chain, discover opportunities within your supply chain, and adjust your network to deliver enhanced service and cost reductions.
Overcome Supply Chain Management Challenges and Improve Shipment Capabilities
Transportation within a supply chain is complex. It involves varying rates, different transport modalities, and levels of quality and service. Set your company up for success by working with a 3PL provider that can understand your business, help you grow, and eliminate headaches.
ODW Logistics approaches its customers in a consultative manner that helps them reimagine what their supply chain should look like. Our customers demand visibility, execution, and innovative transportation solutions. We take a strategic approach to logistics planning and find solutions to control costs and get your product to your customers as efficiently as possible.
Our commitment to partnership and combination of technology, team, and process allows us to deliver on our promises. Save time and money by choosing a 3PL partner with a comprehensive solution for your supply chain. As your 3PL logistics partner, we’ll help you gain visibility into your supply chain and guide you toward growth—delivering the data you need along the way.