3PL Operetor

When optimizing the supply chain, companies often face the choice of a suitable provider. Selecting a specific type of logistics service is crucial for customer service levels and can impact the loss or saving of millions of dollars. One of the most modern, beneficial, and convenient solutions for businesses is partnering with a 3PL company. Let’s explore what 3PL is and whether it suits your business.

Organizing Transport Business

The logistics sector offers various types of outsourcing services, including 3PL, 4PL, and even 5PL. Let’s look at their differences using an infographic example:

Example of a 3PL Operator

The 3-party logistics model involves the company maintaining managerial oversight while delegating transportation and other delivery operations to another company. This provider can subcontract some services or all operations. Additional services such as boxing or packaging add value to the supply chain. For example, a farmer who orders transportation of apples from a 3PL operator can also delegate the packaging of these apples into boxes.

This approach is becoming increasingly popular in various countries, including Ukraine. Corcel is an example of a reliable 3PL operator. We offer contract, transport, project, exhibition, and customs brokerage services.

What is 3PL: Infographic

Emergence and Development of 3PL

The concept of a third-party logistics provider emerged in the 1970s. At that time, 3PL logistics was seen as an intermodal marketing service, where companies acted as intermediaries between shippers and railroads. Today, any hired logistics services are considered 3PL and encompass the organization of transportation:

– parts, raw materials, and supplies from suppliers to manufacturers;

– finished products from manufacturers to distributors or retail stores.

A 3PL operator may not own warehouses, trucks, or other assets. Sometimes they act as brokers, but their scope is much broader. 3PL services include:

• transportation;
• warehouse operations;
• cross-docking (receiving and transferring cargo without storage);
• inventory management;
• packaging;
• freight forwarding.

Specific services are determined by the strategic needs of the client, who sets the rules for the movement, storage of products, and execution of shipments.

Benefits of 3PL for Business

A 3PL provider is an intermediary with experience in various industries, customizing services to meet client needs and offering technological solutions. They regulate the supply chain, which may have become complex due to mergers, acquisitions, or other reasons.

Specializing in logistics, the operator offers high-cost tools that the client cannot invest in independently—transportation management systems, warehouse management, etc. Long-term relationships and large-scale operations can lead to savings through reduced prices, tariffs, packaging material costs, and access to additional services.

Corcel

As we know, a 3PL operator is an opportunity to implement an innovative supply strategy. With Corcel, you will have a cost-effective supply chain that quickly adapts to changes. Although the company became well-known in 2022, we have 14 years of experience. The Corcel team operates according to international quality management standards, has experience managing all types of cargo, and transports using various types of transport.

Supply quality directly impacts business development, as consumers expect fast and affordable delivery. Partnering with the 3PL operator Corcel is an effective solution for optimizing your business, reducing risks, and focusing on core business goals.