There are many terms in logistics that can be easily confused if you’re new to the industry. Third-party logistics (3PL) companies and freight forwarding services are two terms that may seem to be interchangeable but are completely different in the world of logistics. Importing and exporting are key components of many businesses, and it’s important to know the difference between 3PL services vs. freight forwarding in order to make the best choice for your company. Keep on reading to find out about freight forwarders and 3PL providers in logistics so that you can make an informed decision.
Whether you manage your fulfillment operations on your own or if you make use of a 3rd party fulfillment center, there will come a time when you will question whether setting up an additional center is a good idea. Making this sort of decision is not easy since getting additional fulfillment centers can start making more or less sense depending on numerous factors, market niches, or other forces. Take the following considerations into account when weighing the situation in order to get a better sense of the best direction to take.
It’s important that before you begin any shipping and logistics of your products that you think about partnering with a third-party logistics (3PL) company. 3PLs are built to manage some or all of your logistics, depending on the needs of your business. But knowing how to choose a 3PL provider is the first step. There are many questions you should be asking and certain characteristics the third-party logistics company should already have in place.
Logistics has changed and grown to encompass many facets of delivery. In order to fully understand all of the different functions of a 3PL, we must first define exactly what a 3PL is. A 3PL ( or third-party logistics) company is contracted to provide logistics services to partner companies. So if your company needs help managing the movement of its products, you would partner with a 3PL to make this happen.
This management can take different forms, which we will discuss in more detail throughout this article.
Public warehousing companies and 3PL service providers overlap in a few key areas but also differ in many more. As a result, it’s important not to confuse the two when searching for public storage options since it can lead to having either inflated expectations about what you’ll be receiving or you could assume some key service isn’t being provided that you could in truth be taking advantage of.
What is a Public Warehouse?
A public warehouse is a lot like the name implies. It is a company that offers storage space to various businesses on a short or long-term basis with fees usually scaling based on duration and the amount of space needed. A public