Logistics–the process of getting goods and materials from one location to another–-requires arranging transportation/shipping, managing warehousing, providing packaging, distributing stored supplies, and ensuring security.
A third-party logistics provider (3PL) may offer a variety of integrated warehousing and transportation services tailored to meet a customer’s specific requirements. But generally, a 3PLs receives and/or warehouses your goods, manages your inventory, picking, packing, and shipping, and handles returns.
3PLs also form long-term working relationships with their clients and ensure efficiency by having more direct oversight of their supply chain. They manage all the stressful aspects of customs, like trade compliance requirements and freight forwarding. They can find you the best deals and the right level of service for your freight. They may help you consolidate less-than-truckload (LTL) freight, secure insurance documents, manage freight payments, and fulfill your orders quickly and efficiently.
A Little 3PL History: What's going on with 3PLs these days?
Thanks in part to the Council of Supply Chain Management Professionals, the term “3PL” came into vogue in transportation contracts in the 1970s. The (2008) Consumer Product Safety Improvement Act further legally define a 3PL.
Meanwhile, a 2017 report from Armstrong & Associates noted that 90% of domestic Fortune 500 companies rely on 3PL providers to handle logistics, compared to 46% in 2001.
Today, 3PLs are growing in large part due to the massive increase in online sales and increasing consumer demand for faster delivery and lower prices. 3PLs utilize tracking technology for extended supply chain visibility and can tap into Internet of Things (IoT) technology for improved tracking metrics for trucking and other carriers. Non-asset-based 3PLs (those 3PLs who do not own their own trucks and/or warehouses) are adept at dealing with the pandemic backwash that is still forcing so many carriers out of business and skewing trucking capacity and costs.
How do shippers benefit from using a 3PL like Nexterus? What Nexterus offers.
Working with a 3PL like Nexterus is an excellent approach for reducing costs. We are one of America’s oldest third-party logistics services provider, so you benefit from our experience and partnerships with qualified transportation providers who bring the most cost-effective, reliable services–whether dock-to-dock LTL, retail transportation, temperature-controlled/frozen freight, dry-van, or flatbed.
Our international team also handles import/export and ocean/air/customs clearance. Our multiple licensed Customs brokers analyze each product line, shipment configuration and lane to book shipments with qualified, cost-effective, efficient carrier providers.
We manage freight forwarding, customs clearance, government compliance advice, and shipment tracking requirements, relying on our global network in every developed country of the world. We also arrange daily logistics between non-US countries.
Nexterus also provides you with access to BrillDog, our global transportation management system (TMS)–a proprietary software that eliminates manual processes and delivers customized reports, rate quotes, dozens of standard reports, e-dispatch, bill of lading creation, shipping label creation, status tracking, cargo claims management, freight bill audit, payment processing, and automated billing.
To manage warehousing and optimization of your network, inventory, and freight, we use powerful business intelligence software and analytical tools. This software helps eliminate risk and guesswork in supply chain planning.
Lastly, Nexterus helps manage your freight through a 24/7/365 customer care team. You’ll be assigned a dedicated strategic account manager as your point of contact to resolve any problems. We perform all administrative services, including a three-level audit on each freight bill, and we pay all transportation invoices timely on your behalf. We can handle any loss/damage claims.
Nexterus is a non-asset-based 3PL. That means we don’t own any trucks or warehouses. If our customers need to ship something, we find a suitable carrier. If you need to store some inventory, we find warehouse space. We’ll secure your best options. We have over 75 years of experience ensuring clients’ supply chains run smoothly and efficiently. We provide the best combination of people and technology to manage your freight 24/7/365 – so you can focus on growing your business. Want to get started with a leading 3PL? Contact Nexterus today.