It takes a lot of expertise, a well-curated network of partners, branch offices around the globe and strategically located warehouses to efficiently move products through the supply chain. Some companies can afford to keep their logistics in house, but most opt to use a third-party logistics provider because it can save time and money.
What is a Third-Party Logistics Provider
What are third-party logistics providers (3PL’s) exactly and what do they do?
Third-party logistics providers take over distribution and logistics work and then use a network of services to create better and faster channels. A third-party logistics company outsources to a network of shippers and owner-operators to handle all areas of the supply chain process with the goal of streamlining shipping to minimize cost. The more integrated the provider is, the more savings of time and money. This is because there is less outsourcing when a third-party logistics provider can handle a multitude of services.
Types of Services a Third-Party Logistics Provider Can Handle
- FTL and LTL shipping and handling
- Shipping and receiving via sea freight, air freight, trucking and rail
- Warehousing
- Inventory management
- Pick and pack
- Kitting and customization
- Reverse logistics
Using a Third-Party Logistics Provider Saves Money
Outsourcing to a third-party logistics provider means an expert team is working specifically on the logistics process without any other responsibilities. This also means tapping into expert knowledge of the supply chain process as well as established relationships within the industry. A third-party logistics provider also offers scalability because they can group products within containers and group containers efficiently with carriers. All this means they will secure the best rates and reduce overhead.
Using a Third-Party Logistics Provider Saves Time
Transportation can be very costly if the right system is not in place. There are hundreds of carriers with a variety of capacity sizes, networks and services. Having expert knowledge of the industry and knowing what services is best for you is time-consuming. A third-party logistics provider already has a network in place with qualified, vetted carriers. Tapping into the use of a third-party logistics provider saves researching time and prevents service disruptions down the road.
Why Use Worldwide Logistics Group as Your Preferred Third-Party Logistics Provider
There are many reasons to use Worldwide Logistics Group as your preferred partner but the top reasons are our global network of offices and warehouses, our ample flexibility, our full range of logistics solutions and our expert team.
Global Reach with a Local Presence
With 38 offices scattered around the world and seven warehouses in North American and Europe, we have a global reach that can tap into local partners in many markets. Our offices keep in touch with our local partners, handle customs compliance, and can work as steppingstones along the way of your product supply chain. We can be there from beginning to end, because we have a local presence at both ends.
This means using a third-party logistics provider also gives you access to a network of international partners. These partners are involved in every area of your supply chain, giving you different options for your logistics needs.
Our network of warehouses also helps you in your strategy. With strategically placed warehouses on both US coasts and Europe, our network of warehouses provides an additional strategy for getting products to your customer base in time.
This global network also makes it easier for your company to expand to new markets. Our network in both established and upcoming markets makes it possible to quickly distribute anywhere throughout the world.
Increased Flexibility
With our scalability also comes increased flexibility. When your business sees a big fluctuation in demand, it can be difficult to scale up or down. Our logistics solutions can accommodate all these changes. As a third-party logistics provider with a network of warehouses, we can adopt strategies to increase flexibility as part of your normal business operations, too.
This flexibility is also especially suited for businesses that experience seasonality. It can be frustrating to invest in infrastructure that is only used a fraction of the time. Using a third-party logistics provider eliminates that need and helps you work with the flows of your business.
At our scale, it’s also easier to offer custom solutions to your specific needs. When you or your product have special requirements, our scale and expertise make it easier to find the right solution.