In today’s business landscape, the choice of a third-party logistics (3PL) fulfilment partner is crucial for the success of your company. A dependable and respected 3PL has the ability to optimise your supply chain. Also, with a dedicated 3PL fulfilment partner, companies can reduce operational costs and enhance customer satisfaction. However, not all 3PL fulfilment companies stand out.
Of the 500 fortunate, 90% of companies use 3PL services, so you want to take advantage of it. In this case, choosing the best 3PL order fulfilment partner is beneficial for you. However, it is important to understand the key qualities before choosing the 3PL provider.
Here are the five essential qualities that you should know when you are choosing a 3PL fulfilment partner:
Expertise And Experience In The Industry
When selecting a 3PL, the first quality to consider is the skill and experience of the fulfilment partner. With the expertise of a well-established 3PL company, your logistics operations can greatly benefit from their extensive industry knowledge, resulting in improved efficiency. With their deep understanding of different industries, they can tailor their services to meet your unique requirements perfectly. 75% of the shippers have proven that a good 3PL partner can effectively reduce logistics costs.
Prolog Fulfilment is an experienced and reliable 3PL fulfilling partner proficient in managing regulatory compliance, international shipping complexity, and demand throughout the high season. Their procedures and best practices ensure smooth operations, reducing the chances of errors and delays. You can believe their ability to deliver based on their past achievements.
Comprehensive Range of Services
A top-tier third-party logistics company should offer a broad range of services covering the whole supply chain. A good 3PL fulfilment partner can handle all logistical tasks as they occur, from warehousing and inventory management to fulfilment, including shipping, without a hitch. This way, your products are efficiently moved through the manufacturer to their final destination in a well-coordinated way, which means integration is easy.
Here are some essential key elements of the best and most reliable 3PL partner that everyone should know. There are:
- Warehousing and Storage: Adequate storage facilities equipped with advanced inventory management systems.
- Order fulfilment: Efficient processes for picking, packing, and shipping orders.
- Transportation: Access to a network of reliable carriers for timely deliveries.
- Returns Management: Effective handling of returns and exchanges.
- Technology Integration: Advanced IT systems for real-time tracking and reporting.
Under one roof, a comprehensive 3PL service offering will cover all your logistics requirements.
The rapidly expanding cosmetics business Glossier has partnered with a third-party logistics (3PL) provider to handle its logistics and fulfilment requirements. The 3PL provider has provided Glossier with various services, including warehousing, order fulfilment, shipping, and returns management. Through this, Glossier efficiently managed its increasing order volume, reducing operational costs and increasing customer satisfaction. This collaboration enabled Glossier to concentrate on product development and marketing, which led to continued growth and enhanced consumer experience.
Prolog Fulfilment provides all 3PL services, including picking, packing, storing and shipping.
Commitment to Customer Service and Communication
Effective communication and exceptional customer service are essential for a 3PL fulfilment partner. Making use of it, they earned 961.8 billion US dollars in 2020. Your 3PL company should act as an extension of your business, prioritising your customers’ satisfaction and maintaining open lines of communication with you.
The most important factors of customer service and communication are:
- Proactive Communication: Regular updates on order status, inventory levels, and potential disruptions.
- Responsiveness: Prompt and effective responses to inquiries, issues, and requests.
- Problem Resolution: Efficient handling of issues and swift resolution of problems.
- Customer Support: Dedicated account managers or service teams can address your needs.
A fulfilling partner dedicated to first-rate customer care will interact directly with you to grasp your company needs and offer customised support. They should foresee possible difficulties and provide fixes for them. Excellent customer service and communication guarantee a cooperative, open connection and dependability.
One 3PL partner that Blue Apron worked with was known for having great communication skills. This helped the company run better. The provider’s real-time data and helpful tools for working together made it easier to keep track of stock. It became easier to get in touch with providers, and problems with customers were solved quickly. Fewer mistakes were made, delivery times were shortened, and customers were happier when everyone worked together. These things made Blue Apron get bigger and work better.
Advanced Technology and Data Analytics
Technology is key to improving the supply chain, so a forward-thinking 3PL fulfilment partner will use cutting-edge technology and data analytics to improve logistics speed, accuracy, and accessibility. The 3PL company can connect with 75% of shippers thanks to cloud technology. Some important technology skills to look for are:
- Real-time Tracking: GPS tracking and RFID technology for real-time monitoring of shipments and inventory.
- Warehouse Management Systems (WMS): Automated systems for inventory control, order processing, and warehouse optimisation.
- Data Analytics: Advanced demand forecasting, route optimisation, and performance measurement analytics.
- Integration Capabilities: Seamless integration with your e-commerce platform, ERP system, and other business software.
Another 3PL company is Prolog Fulfilment, a digital company that offers mechanised solutions, key decision-making, and robust analyses to improve transportation rates. In addition, it allows you to track the status of these orders and inventory, thus enhancing real-time visibility. Real-time requires a logistics-savvy fulfilment partner who can help integrate your supply chain to modern standards and bring logistics into today’s efficient and inexpensive formula.
The rapidly growing startup company that supports sustainability in shoemaking, Allbirds, has chosen innovative 3PL. That is why, with the help of increased inventory management and order processing, Allbirds’ logistics became better in this provider. These integrations minimised cost, enhanced delivery time, and increased customer satisfaction due to the accuracy of the information provided. As a result, there would be minimal wasted efforts that would bring an organisation’s existence to a halt. Still, Allbirds could instead focus on development and improvement while ensuring efficiency.
Scalability and Flexibility
Business expectations are dynamic and easily changed depending on company development or market trends. The scalability and adaptability of a committed and trustworthy 3PL fulfilling partner should make these developments possible without compromising service quality. Of them, 55% stated that the 3PL’s IT capabilities impressed them. Scalability allows your 3PL partner to expand their services efficiently based on your current demand.
On the other hand, flexibility establishes how adequately the 3PL fulfilment partner can meet your specific needs and wants. This may involve how they prevent damage to goods, how they devise appropriate measures to contain goods, or how they meet odd shipping needs. This is why this flexible fulfilment partner, Prolog Fulfilment, can easily slot in with your existing workflow and alter its services according to your goals.
While choosing a 3PL provider, ask about their capability to accommodate the growing business and their flexibility to adapt to changing needs. An ideal 3PL partner should have the potential to expand its services to meet the growing needs of the business and be in a position to change direction when necessary.
Conclusion
Choosing the right 3PL fulfilment partner for your company is tricky because a suitable one may affect your business’s victory. On the other hand, if you concentrate on skill and involvement, a complete run of services, scalability and adaptability, advancing innovation, and a dedication to client benefit on a fulfilment partner, you will be able to identify a satisfaction accomplishable that fits your goals and enhances your supply chain operations. More efficient and cost-effective supply chain operations will finally follow from time and effort spent analysing possible 3PL partners depending on these critical criteria.