3PL Services Impact

Third party logistics provides have really been driving much of the advancement in the supply chain and the market at large through consolidation of the market that allows the growth of services and especially end-to-end services that provide a one stop shop solution for their partners.  These are exciting times for third party logistics providers because of the growth of capabilities and services that provide the ability to directly and indirectly impact the market by providing an opportunity for many partners to support their supply chain requirements quickly and efficiently.  These are exciting times in the supply chain services and the larger third party logistics providers are pushing the limits on the current supply chain capabilities in ways that allow their partners to quickly and efficiently deliver new services to their customers, providing their partners the ability to build on these capabilities in a cost effective manner.

Third party logistics providers fill a void in the market for their partners and customers that allows them to implement services and capabilities cost effectively.  Third party logistics providers provide a critical aspect to many of their customers through their expertise and development of services as a value add to their partners.  This allows both small and large customer of these providers to take advantages of market developments more quickly and efficiently. What I mean by this is that small and large customers not only outsource the supply chain services but they can also outsource their network design and strategy development to the third party logistics providers.  This allows more efficient use of resources in the market and also allows the larger partners to replace their internal supply chain analysis and development with services from the third party logistics partner.

These are exciting time for third party logistics partners resulting from the market consolidation in supply chain services and also the opportunities provided by technologies and especially how the combination of technology and services come together to streamline and offer expanded capabilities to their customers.  Third party logistics providers are completely focused on supply chain services and the expansion of services and developing new services and capabilities for their customers. I believe that this ability to focus on the supply chain services and more importantly on the future of the market is coming together now to develop and implement new services and capabilities that I really do believe would not have been developed without the growth of the third party service providers.  

This is the immense benefit of this expansion of the third party logistics providers on the market and supply chain services for their customers.  This would not have come together in my opinion without the growth of the third party logistics market. There is simply no way that a large legacy retailers would have been able to react and support consumer demands so quickly without the support and developments achieved through third party logistics providers.  This is where the potential of the third party logistics providers will make the largest impact because of their ability and drive to enhance and improve supply chain services and marketplace.