Enhancing Visibility and Control in 3pl Transportation

Are you also looking for ways to reduce your company's transportation costs? Whether it's coordinating transportation or managing inventory, you feel at a loss and find it difficult to find an affordable solution?

What is third-party logistics transportation?

Third-Party Logistics Transportation (3PL transportation for short) refers to an enterprise entrusting a third-party logistics service provider to manage and execute the transportation and distribution activities of its goods.

It is an outsourcing model that allows companies to outsource logistics tasks to professional third-party logistics companies, thereby focusing on their core business. This model is suitable for businesses of all sizes, ranging from small and medium-sized enterprises to multinational corporations.

Third-party logistics companies are responsible for performing cargo transportation activities, including land transportation, sea transportation, air transportation, etc. They coordinate and manage the movement of goods, ensuring they reach their destination safely and efficiently.

Common pain points you may encounter when using third-party logistics supply chain transportation

Poor logistics channels

The lack of cooperation between third-party logistics companies and between companies and customers has led to insufficient supply of goods and overcapacity in the traditional warehousing and transportation industries, resulting in waste. Logistics enterprises and customers cannot fully share information resources and do not form an interdependent partnership.

Incomplete service

Most logistics companies can only provide single or segmented logistics services. Logistics functions mainly focus on storage, transportation and urban distribution. There are not many related value-added services such as packaging, processing, and distribution, and they cannot form a complete logistics supply chain.

Waste of capacity

Since vehicles cannot circulate autonomously, unilateral business usually earns less than bilateral business, and a large number of return vehicles are difficult to use, resulting in increased costs and wasted transport capacity.

These pain points not only affect the efficiency and quality of logistics transportation, but also restrict the development of third-party logistics companies. Therefore, in order to improve the efficiency and quality of logistics transportation, third-party logistics companies need to strengthen the construction of logistics channels, improve service levels, cultivate professional talents, update facilities and equipment, optimize capacity management, and respond to market competition.

How to solve the pain points of logistics supply chain transportation?

In order to solve the above problems, the following measures can be taken:

Build a partnership

Third-party logistics companies can establish strategic partnerships with logistics-related companies to achieve resource sharing and complementary advantages, and improve the smoothness of logistics channels and the consistency of logistics services.

Expand service functions

Logistics companies need to continuously expand service functions and provide complete logistics supply chain services, including customized packaging, processing, distribution and other value-added services, to meet customer needs.

Update facilities and equipment

Logistics companies need to constantly update facilities and equipment and improve the level of mechanization and automation to improve the efficiency and quality of logistics transportation.

Optimize transportation capacity management

By using information technology and intelligent means, we can optimize transportation capacity management, improve vehicle utilization and transportation efficiency, and reduce costs.

Improve service quality

By improving service quality, establishing a good corporate image and reputation, increasing customer satisfaction and loyalty, and improving the company's market competitiveness.

Respond to market competition

Through innovative service models and business models, we can improve the profitability and market competitiveness of enterprises and actively respond to market competition.

Advantages of using ShopV’s 3PL service

No need to maintain the warehouse yourself

Businesses do not need to invest in building, maintaining and managing warehouse facilities. This reduces the financial burden on businesses and leaves logistics tasks to be handled by a professional team.

No need to hire additional staff

3PL services provide logistics professionals without the need for companies to hire additional employees themselves. This takes the pressure off human resource management while ensuring a team with the expertise to manage the supply chain.

Cost forecasting and control

By outsourcing logistics tasks, companies can more accurately predict and control the costs associated with warehousing, fulfillment and distribution. This helps improve the accuracy of financial planning.

Professional services

3PL companies usually focus on the logistics and transportation fields and have extensive experience and expertise. This ensures efficient logistics operations and reduces potential errors and problems.

Improve flexibility

By leveraging 3PL services, companies can more flexibly adjust their logistics strategies to adapt to market changes and demand fluctuations. This enables businesses to better adapt to dynamic business environments.

3PLs often provide a high degree of cargo visibility, such as ShopV, by employing advanced tracking systems that enable customers to monitor the location and status of goods in real time. This helps improve shipping predictability and transparency.

Companies can enjoy the advantages of economies of scale and reduce transportation costs. 3PLs are often able to manage logistics processes more efficiently, thereby increasing efficiency and reducing costs.

When your transportation costs remain high and you can't bear the complicated logistics process, you can try a third-party logistics service company from China - ShopV. It is a cost-effective third-party logistics company that can simplify this process. A complex process to help you make informed decisions in this regard.