Ask small business owners if they are spending too much time processing orders; the answer is undoubtedly “yes.” If being a small business owner, your response to the previous answer is also yes; then it’s time to outsource logistics to a third-party logistics firm.
A good 3PL company is not just another seller, it’s an extension of your team, supposed to handle important aspects of your business. It’s about leveraging your strengths – your company excels at what it does. You put much effort into this area, but warehousing, inventory management, and shipping are not your forte. You may be unable to make the most of your team’s time and expertise.
This is the right time when a third-party logistics (3PL) provider might step in.
What is 3PL Actually, And How Can It Help Your Business?
3PL helps SMBs solve (or even avoid) complex delivery challenges in an ever-changing demand. These time-saving and cost-effective services help businesses improve and simplify their shipping process.
There is no shame in asking for help, particularly when you’re still trying to make a name for yourself. In fact, choosing to outsource one or more logistics elements gives you the breathing space and time to focus on the things that need your most attention.
Below is a short list of areas where 3PL providers can assist in providing you the much-needed help.
Customer Service: 3PLs can often employ this feature in small businesses to ensure someone can take customer calls and fulfill orders.
Fulfillment: 3PL companies can pick, pack, create shipping labels, and track shipments after the goods leave the warehouse.
Reverse Logistics: If you need to return an item due to damage or delivery error, your 3PL company can handle this.
Shipping: Because 3PLs handle more shipments than they can handle alone, they often charge higher shipping rates to carriers such as FedEx and UPS, etc.
Warehouse Management: Monitor the flow of products through warehouse facilities, determine the most efficient placement of products, and provide reporting and analysis.
Warehousing and Distribution: From raw materials to parts to finished goods, 3PL suppliers can store, move, and track all types of goods.
Why Your Business Should Hire a 3PL:
Why Small Businesses Use 3PL’s? Third-party logistics (3PL) providers can offer a range of benefits for small businesses looking to improve their supply chain operations.
Here are some of the key benefits of using a 3PL:
Cost savings: A 3PL can help small businesses reduce costs by providing access to their established network of carriers, warehouses, and distribution centers. This can result in better shipping and storage rates and reduced labor and overhead costs.
Scalability: 3PLs offer flexibility and scalability, allowing small businesses to adjust their logistics needs based on changes in demand or growth. This means they can avoid the costs and complexities of setting up their own logistics infrastructure.
Saves time: Outsourcing logistics to a 3PL frees small businesses to focus on their core competencies and growth strategies rather than spending time and resources on logistics operations.
Access to Expertise: 3PLs have extensive knowledge and experience in logistics and supply chain management, which can benefit small businesses that need more expertise or resources to manage their logistics effectively.
Improved Customer Service: 3PLs can improve customer service by providing faster and more reliable delivery times and offering value-added services such as order tracking and returns management.
Provide the network: Maintaining constant communication with everyone involved in your supply chain can be challenging. The broker has already built a network of professional providers and will select the one that best suits your needs.
Reduced Risk: 3PLs can help small businesses reduce the risks associated with supply chain management, such as inventory management, order processing, and shipment tracking. They also help reduce the risk of compliance issues by ensuring that all regulatory requirements are met.
Overall, 3PLs offer a range of benefits that can help small businesses improve their supply chain operations, reduce costs, and improve customer service while freeing up resources to focus on core competencies and growth strategies.
Bottom Line:
Successful entrepreneurs know the value of working with an experienced 3PL. By partnering with a 3PL, you can benefit your business from a modern warehouse facility without adding extra or unnecessary costs. Warehousing and distribution are core competencies for 3PL vendors. The infrastructure and skills needed to manage it well and reduce the overall cost of supply chain operations.
Leaving shipping logistics to 3PL experts can make a big difference in how your business operates, allowing you to focus on improving overall customer value.
Final thoughts? Your supply chain strategy should address your unique needs. Connect today to explore how EZDC 3PL can help you to overcome challenges in your industry.
