We all know the notion of putting all your eggs in one basket, some people believe in this. However, for logistics, the following may not always be correct advice. For each leg of the distribution cycle, procuring through a third-party logistics (3PL) supplier might allow you to realize better efficiency and operational success.
Integrated logistics services is beneficial to the logistics service provider
A lot of 3PL firms choose to work on siloed initiatives: one focusing on drainage, another on warehousing, and others on OTR transportation. Integrated logistics service strategy means that in order to provide and/or coordinate all of these services, a single supplier will have to possess key capabilities to do so. Logistics outsourcing to an integrated 3PL offers several benefits.
With integrated providers, no one is excused from responsibility. Integrated logistics service providers have one main advantage: They hold all of your logistical activities and are responsible for them. To find out any nugget of distribution operation detail, you have to work with just one source. The outcome of this work is the elimination of the resources and time it takes to coordinate the activities of numerous suppliers.
With integrated providers, no one is excused from responsibility. Integrated logistics service providers have one main advantage: They hold all of your logistical activities and are responsible for them. To find out any nugget of distribution operation detail, you have to work with just one source. The outcome of this work is the elimination of the resources and time it takes to coordinate the activities of numerous suppliers.
Speed is improved when integrated logistics providers are used.
Your integrated 3PL can swiftly and without delays execute all jobs. How? It controls everything, thus it’s called “the Process” Everything happens at once, so there is no question about the next move.
Warehouse information on when an order is picked up by the 3PL’s drayage or transportation arm is relayed on the incoming side. Once prepared, it will follow. The carrier knows the passengers’ plans and pickups on the outgoing side. Everything is planned and organized ahead of time. Only one source of information is utilized throughout.
The integrated delivery method provides plenty of options.
Trucking and warehouse businesses have distinct operational characteristics, and when you work with them, you’ll notice that schedules and resources are often clashing. Because of these disagreements, projects almost always end up delayed and displeased consumers. This, in turn, incurs more costs, and someone will be forced to bear the financial burden of these losses.
These issues generally do not arise when you are dealing with an integrated service. It gives the firm the freedom to make sure these stages function in tandem.
Keep your eye on the larger picture
You’re forming a real relationship with your logistics service provider by handing distribution operations to them. Having complete access into your whole supply chain lets your supplier monitor your performance and search for methods to enhance it.
If you want a reliable logistics performance, look into Altus’s Malaysia supply chain.
