Anyone conducting e-commerce understands the importance of customer satisfaction and the overall success of the company. Your company will only succeed if your customers are happy with the goods and services offered on your website. Handling all this by yourself can be quite difficult, especially if you don’t have enough personnel for the various tasks. It is important to get yourself a 3PLs team (third-party logistics team) to help out with various tasks.
Third-party logistics has various streamlined processes that ensure smooth transactions between you and your client. Hiring a 3PL crew will enable easier handling of goods, storage, and processing the products until they get to the client. The company has 3PL warehouse management software to enable smooth operations in various orders. The software provides an integrated view and speedy validity for success.
Read on as we discuss the processes for 3PL warehousing and their benefits.
What is a 3PL warehouse?
3PL is an abbreviation for third-party logistics, as mentioned above. Order fulfillment is a word that is often used interchangeably with 3PL. 3PL warehouse delivers comprehensive e-commerce fulfillment services including, order processing, warehousing, shipping, and picking.
Most 3PL warehouses offer other services, including client support, handling returns, processing orders, and customization services. This model is commonly outsourced by many e-commerce businesses to handle various tasks regarding an order. A 3PL warehouse streamlines order fulfillment and distribution for companies that outsource these services (manufacturers, retailers, and other businesses).
3PL warehousing entails the following processes:
- Warehousing and storage
- Inventory management
- Shipment and receiving
- Fulfillment and delivery
When to use 3PL warehousing services
Most businesses in the world don’t have warehouses. And, those with warehouses may be lacking the expertise or team that will take on the complexity of shipping and receiving. Instead of handling the task, they involve a third-party company that will provide all the required experience, equipment, and facilities.
A business with specific requirements for the supply chains will benefit from 3PL warehouse operations for inventory tracking. There are other major reasons why many companies need to look for a logistics partner who will handle all their warehouse operations. These reasons include;
- Intensify inventory volume
- Grow the distribution paths
- Modify business primacies
- Maximize productivity while saving costs
- Seek all-encompassing warehousing services
In other cases, a business switches to a third-party logistics supply center when there is no longer space in their current warehouses. The business can also seek 3PL warehouse services if it is looking to upgrade its fulfillment and delivery system. Other than tracking your stock, 3PLs help with numerous elements in the business, thanks to their experience with logistics operations.
Major distributing, manufacturing and retailing facilities depend on 3PL warehousing services to ensure smooth operations with the respective supply chains. This frees the business from worrying and thus puts all focus on other things in the company. What’s more, it reduces the overall cost for the whole process because of the 3PL experience in the field. You will skip acquiring or renting a warehouse and employing staff to handle the tasks when you involve 3PLs.
Saving with 3PL warehouse management
Partnering with a third-party logistics company is beneficial to your business in many ways. A 3PL company offers efficiency, flexibility, proficiency, and improved productivity for your company. All these are factors that contribute to saving costs in your business. Once you outsource a logistics company, you will no longer have to worry about the unforeseen expenses in your budget. The 3PLs handle everything while you remain productive in your business.
When you partner with a logistics company, you are guaranteed safe business.