The Growing Reliance on 3PLs

Susana Vargas
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September 13, 2024
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minutes

Logistics is no longer just a part of a business—it is the business. For companies, the difference between staying ahead or falling behind often comes down to how well they manage the flow of goods. But as consumer demand skyrockets and global supply chains grow more complex, even the most efficient businesses find themselves struggling to keep up.

Over the last few years, small businesses that once managed logistics in-house suddenly found themselves overwhelmed with orders. Warehouses became cramped, shipping times stretched, and costs spiraled out of control. Companies faced a choice: build an expensive logistics infrastructure or partner with experts who could handle it all.

Here’s when third-party logistics providers (3PLs) came to rise as the behind-the-scenes operators changing how companies manage their supply chains. Businesses that once struggled are now thriving thanks to these logistics' allies, allowing them to scale, reduce costs, and focus on their core offerings.  

Why Are Businesses Shifting Gears Towards 3PL?  

So why are so many businesses turning to 3PLs? Let’s explore a few key reasons—some of which may hit home for your own operations.

  1. Logistics is Tricky

Picture this: You’ve got a ton of orders to ship out, but finding the most efficient shipping routes, keeping track of warehouse inventory, and navigating unexpected delays feels like solving a never-ending puzzle.  

For many businesses, this puzzle is simply too complex to solve alone. That's where 3PLs have cracked the code, helping you cut costs, speed up deliveries, and handle logistics challenges.

  1. Scaling Without the Stress

Remember when your team could manage everything in-house? It was easy when orders were manageable. But as your business grew, you may have felt like you needed more hands to juggle the complexity. With 3PLs, your businesses can grow and scale without the pressure of building massive logistics departments. You can focus on building your brand while your 3PL manages the heavy lifting—literally.

  1. The Fun Side of 3PL: Problem Solvers at Heart  

3PLS are full of tools you didn’t even know you needed! Got a peak season coming up? No worries, they’ll ramp up warehouse staff. Need faster delivery? They’ll find a way to optimize the supply chain. Some 3PLs even offer tech solutions like real-time tracking, AI route optimization, and invoice auditing turning logistics into a data-driven process.

Companies that partner with 3PLs often feel more secure during high-demand periods like Black Friday, knowing their needs are being met and problems can be solved through a broader network of resources.

The Pain Points of DIY Logistics: When It’s Time to Partner Up

There are some clear pain points when businesses try to manage logistics on their own. These are often what push businesses to make the switch to 3PLs:

  • Cost Overruns: Unexpected shipping fees, storage costs, or delays can eat away at your budget. A 3PL helps by optimizing processes and cutting unnecessary costs.
  • Missed Deadlines: Managing orders, tracking shipments, and balancing inventory is a full-time job. Without a solid system, deadlines slip, and customers are left waiting. 3PLs provide the infrastructure to prevent these issues  

A New Era for Logistics

What’s interesting is that this reliance on 3PLs is part of a growing trend. As businesses adopt more flexible, tech-driven solutions, 3PLs are adopting and investing in technology at rates that most shippers just don’t have the expertise or resources to implement at scale.  

Companies predict that 3PLs will fully embrace digital transformation, offering seamless integration with e-commerce platforms and AI-powered supply chain solutions.

Whether you’re a small business struggling to manage logistics or a large corporation looking to scale, the answer could be as simple as finding the right 3PL partner. From cutting costs to improving customer satisfaction, 3PLs give you the flexibility to focus on your core business while letting logistics experts handle the rest.

3PLs and Lean Solutions Group

With Lean Solutions Group, you can empower your 3PL operations with the right talent, tools, and technology to stay ahead of the curve in an increasingly complex logistics environment.

Lean Solutions Grup doesn’t just provide staffing; we offer an end-to-end partnership. From recruitment to onboarding, training, and ongoing support, we ensure that your logistics workforce is equipped and ready to drive your 3PL operations forward. We take care of the human side of logistics, so your 3PL can focus on what they do best: managing the movement of goods.

ABOUT THE AUTHOR

Susana is a content creator with a passion for research. She has journalism and digital marketing as her professional background. Susana loves music, concerts, movies, and traveling. As a hobby, she collects vinyl records of all genres of music.

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