3PL logistics is relative to the "first party" consignor and "second party" consignee. 3PL logistics is a kind of logistics form which is undertaken by 3PL logistics enterprise, and it is a kind of logistics operation and management mode. 3PL logistics neither belongs to the first party nor the second party, but provides its specialized logistics service through cooperation with the first party or the second party, it does not own the goods, does not participate in the sale and purchase of goods, but provides customers with a series of contract-based, alliance-based, personalized, information-based logistics agency services. It provides customers with contract-based, alliance-based, serial, personalized, and information-based logistics agency services.
With the development of information technology and the trend of economic globalization, more and more products are circulating, producing, selling and consuming in the world, and the logistics activities are becoming more and more huge and complex, while the organization and operation of first and second-party logistics cannot fully meet the needs of society; at the same time, in order to participate in global competition, enterprises must establish core competitiveness, strengthen supply chain management, reduce logistics costs, and outsource the logistics activities that do not belong to the core business. In order to participate in global competition, enterprises must establish core competitiveness, strengthen supply chain management, reduce logistics costs, and outsource logistics activities that are not core business. Thus, 3PL logistics was born.
Services of 3PL Logistics
Therefore, the so-called 3PL logistics refers to a logistics operation and management method that in order to concentrate on the main business, the production and operation enterprises entrust the logistics activities they used to handle to the enterprises with professional logistics services through the way of contract, and use the information system to keep close contact with the logistics enterprises to achieve the full management and control of logistics. So what services can 3PL logistics bring to us?
The most common 3PL logistics services include design of logistics system, EDI capability, report management, cargo consolidation, selection of carriers, freight forwarders, customs agents, information management, warehousing, consulting, freight payment, freight negotiation, etc.
We will get more quality and low cost services through 3PL logistics. Because 3PL logistics enterprises invest the capital, manpower and material resources of the enterprise into the core business of logistics. Compared to integrated companies, improving the utilization of the capacity of each link achieves cost savings and allows for the maximization of efficiency and effectiveness from the division of labor. We can also minimize inventory, improve corporate cash flow and reduce costs through 3PL logistics providers with the help of well-planned logistics plans and just-in-time delivery means. And 3PL logistics' perfect logistics network greatly shortens the delivery time, invisibly enhances the enterprise's service to customers and improves our own brand image.
