Cutting
transportation costs have been one of the top strategic challenges in the
logistics industry at the global level. This article revolves around the top
logistics challenges that all businesses should be prepared to overcome. If
you're facing one of the following hindrances, working with a 3PL provider can
help you out. Here's what you need to understand about the challenges faced by
the logistics industry and where you can gather optimal solutions.
Staying on top of business processes is another challenge. As new opportunities emerge, it will give you the advantage to adapt and implement these changes for better service. It can be expensive and challenging without the right full-service freight brokerage solutions. Therefore, a 3PL or 4PL provider will work as an extension of your business. They help you improve your process with planning, strategy, and required services.
Fuel Costs
Fuel
cost is one of the biggest logistics challenges. Higher fuel rates will
significantly impact the cost of wages and transportation for shippers. Working
with a third-party logistics partner will help you meet these changes with
flexibility. A visibility software can also assist you to streamline these
challenges.
Better Customer
Service
Today’s
customers want to have tracking information and real-time updates for shipment.
They also look for faster shipping, such as two-day or same-day shipping. A 3PL the provider can help you achieve full visibility throughout your supply chain so
you can provide your customers with the information they require.
Manpower
Management
Another challenge in today’s logistics industry is managing manpower. Dealing with your
warehouse staff, drivers, and transporters should be handled efficiently.
Logistics companies such as freight broker manage employees better by assigning managers in some major service
areas and scheduling solutions.
Inventory Control and Visibility
Knowing what inventory you have in stock and where it is located
are the primary features of inventory visibility. This aspect is important to all
businesses, but gaining this visibility and controlling it can be a challenging
task. A 3PL provider helps you with visibility via the use of advanced technology
in the warehouse. They can make you more efficient use of your time, improve
the predictability of inventory movement, increase security and quality
control, and more.
Tech Development
The cost of adapting to the advanced technology used in the supply chain is high, but it is a crucial requirement. A 3PL partner will help out, as many of these organizations are equipped with the technology. These technologies include radiofrequency identification for barcoding and scanning (RFID) and material handling technology. Employing these technologies is expensive, that’s why you can take advantage of a 3PL provider.
