What Does the Future Hold for Third Party Logistics?
According to a report from Armstrong & Associates, Third Party Logistics are being used by 86% of Fortune 500 companies domestically. What benefits can your company experience from switching to Third Party Logistics (3LP) and what can you expect from Third Party Logistics in the future?
The Current State of Third Party Logistics and How Companies Benefit
A Third Party Logistics company can help your business in a variety of ways. Whether it’s fulfillment, distribution and warehousing services, Third Party Logistics can manage all or part of your supply chain.
Benefits of Third Party Logistics include:
Reduction of Costs
By using a Third Party Logistics provider, you don’t have to hire and train additional staff to accurately manage inventory and ship orders. As your company grows and inventory increases, Third Party Logistics can alleviate management of warehouse space and staff by providing warehousing services.Third Party Logistics can also take care of finding the most efficient methods for transportation.
Efficiency of Order Processes
Reliable Third Party Logistics companies specialize in optimizing supply chain management and are able to improve order processing rate. 3PL providers are also able to assist in the complex processes involved in global order fulfillment.
Upcoming Trends for Third Party Logistics Companies
Sustainability and globalization are two trends that will continue to rise in the logistics industry. Two driving factors for sustainability include increasing government regulations and consumer demand for transparency in environmental practices. 3PL providers are continuing to implement alternative packing materials, reduction of emissions in transportation and reduction of waste and energy. Increased globalization brings with it many challenges including complex supply chains. Third Party Logistics companies specializing in a broad range of services will stay competitive in the industry.
Third Party Logistics should benefit from continued advancements in technology, especially in automation, communication and efficiency. RFID technology may see increased implementation in transportation. Cloud technology should facilitate increased communication, integration of different platforms and enhanced security measures. Greater automation of the supply chain will likely be seen with improvements in technology and software.
Third Party Logistics Reno Can Trust Now & In the Future
Whether you need help with order placement, inventory management, merchandise storage, warehouse pick and pack or coast to coast transportation, Hopkins Distribution is well known for our expertise in Third Party Logistics. Top-tier companies around the world look to Hopkins Distribution for all of their supply chain management needs.