Why Logistics Outsourcing can go Badly Wrong
Having been involved in hundreds of outsourcing projects over the last 23 years, I’ve been able to deal with various clients. And when Logistics Outsourcing goes wrong, I get questions like “Who’s to blame? Is it the 3PL company who screw it up? Or Is it the customer? And how can we avoid those Logistics Outsourcing mistakes?” Watch this: Related articles on this topic have appeared throughout our websites, why not check them out? Robobyrne: 4 Mistakes in Logistics Outsourcing Supply Chain Secrets: Avoid Outsourcing Disaster Benchmarking Success: How to Prevent Your 3PL Contract from Harming Logistics Performance Editor’s Note: This post was originally published on December 02, 2020, under the title “Why Logistics Outsourcing can go Badly Wrong” on Logistics Bureau’s website. Best Regards,Rob O’ByrneEmail: robyrne@logisticsbureau.comPhone: +61 417 417...
Read More3PL Bidding Tips
3PLs (Third Party Logistics) companies make fundamental mistakes when replying to Request for Proposal and/or Request for Tender. Here are the things you need to know to respond appropriately to a 3PL RFT / RFP. TimingGet into the dataAsk Questions???????????? Kindly watch the video below to learn more. Related articles on this topic have appeared throughout our websites, why not check them out? Robobyrne: Definitions for Supply Chain & Logistics – LLP, 3PL, 4PL and More Supply Chain Secrets: Why Large Companies Increasingly Opt for 4PL Services Benchmarking Success: How to Prevent Your 3PL Contract from Harming Logistics Performance Editor’s Note: This post was originally published on November 18, 2020, under the title “3PL Bidding Tips” on Logistics Bureau’s website. Best Regards,Rob O’ByrneEmail: robyrne@logisticsbureau.comPhone: +61 417 417...
Read MoreAll about Logistics Outsourcing
One of the most common questions we get asked is all about outsourcing. What is it exactly? Watch this episode as we discuss the different situations and challenges of this business strategy. Related articles on this topic have appeared throughout our websites, why not check them out? Robobyrne: 4 Mistakes in Logistics Outsourcing Supply Chain Secrets: Evaluating Logistics Outsourcing Proposals: Look Beyond the Scorecard Benchmarking Success: Why Large Companies Increasingly Opt for 4PL Services Dawson Consulting: Logistics Outsourcing Editor’s Note: This post was originally published on November 04, 2020, under the title “All about Logistics Outsourcing” on Logistics Bureau’s website. Best Regards,Rob O’ByrneEmail: robyrne@logisticsbureau.comPhone: +61 417 417...
Read MoreInterview with Sarah Barnes-Humphrey on 3PL Industry
What is going on with the 3PL industry nowadays? What is the industry needs to do better? Let us hear the insights of an expert, Sarah Barnes-Humphrey. She comes from a 3PL family and she is now based in Canada. Related articles on this topic have appeared throughout our websites, why not check them out? Robobyrne: Definitions for Supply Chain & Logistics – LLP, 3PL, 4PL and More Benchmarking Success: How to Prevent Your 3PL Contract from Harming Logistics Performance Editor’s Note: This post was originally published on October 28, 2020, under the title “3PL Industry Perspectives” on Logistics Bureau’s website. Best Regards, Rob O’Byrne Email: robyrne@logisticsbureau.com Phone: +61 417 417...
Read MoreWhy Large Companies Increasingly Opt for 4PL Services
SUMMARY: Because 4PL providers handle a company’s entire chain, including challenges that are thrown up by advances in technology, they are increasingly being favoured over third-party logistics (3PL) providers, especially by big companies with complex supply chains. In its simplest form, fourth-party logistics is a model in which manufacturers hand over the entirety of the organisation and oversight of their supply chain to a 4PL provider. By contrast, the third-party logistics model is where a manufacturer retains oversight of its supply chain but outsources such processes as warehousing, shipping, packing, and distribution to a 3PL provider. When the COVID-19 pandemic began wreaking havoc in global supply chains, smaller companies turned to 3PL providers for help. Bigger companies with complex global supply chains, however, realised they needed sophisticated digital technologies and streamlined supply chain processes offered by 4PL providers to help them ride out the storm. The concept of fourth-party logistics has existed for some time but only truly began evolving with the arrival of Industry 4.0—the digitisation of manufacturing. Because 4PL providers handle a company’s entire chain, including challenges that are thrown up by advances in technology, they are increasingly being favoured over third-party logistics (3PL) providers, especially by big companies with complex supply chains. The Differences between 4PL and 3PL It will be helpful at this stage to determine the differences between 4PL and 3PL. The terms are often mixed up and some firms claim to be 4PL providers when in fact they only provide 3PL services. What is 4PL? In its simplest form, fourth-party logistics is a model in which manufacturers hand over the entirety of the organisation and oversight of their supply chain to a 4PL provider. What is 3PL? The third-party logistics model is where a manufacturer retains oversight of its supply chain but outsources processes such as warehousing, shipping, packing, and distribution to a 3PL provider. The key difference between the two can perhaps be explained in the following example: A 3PL provider working with a paint manufacturer may package and store products as well as transport them to retailers and/or customers. Unlike a 4PL, however, it won’t manage the paint maker’s entire supply chain. There are, of course, some other important differences between the two types of providers: 4PL is, in general, better suited for medium-to-large businesses, while 3PL is more suited to small-to-medium businesses.4PL companies operate at the optimisation and collaboration level...
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