3pl is something that is often heard about in the business world and is utilized by a large range of different companies from small to large. To understand this, it is first important to understand the importance of the supply chain and logistics processes. The supply chain is defined as the stages that a product goes through in a business operation, from its conception to distribution to customers. A product will start in its development, where it is put together and packaged. From here, it must be stored in a warehouse for customers to purchase. Then, the package must be picked and distributed to customers all over the country and/or the world. This process must be managed very well, as it is essentially the backbone of the entire business. New business owners often find this difficult, and this is the part of the operation that can drive up costs if not managed properly. 3pl involves outsourcing the supply chain and logistics processes to another company who specializes in exactly this, and who know what they are doing. Essentially, the idea is to allow this company to manage the processes completely as their sole focus, whilst you can focus on other aspects of the business operation. In doing so, you pay a small cost for access to resources, qualified and experienced 3pl professionals and unrivalled management of your supply chain and logistics processes. You can save on costs, ensure proper storage and inventory management and ensure distribution adheres to the various rules and regulations in place.
Qualified and Experienced Professionals
Qualified and experienced professionals are necessary and are the hallmark of 3pl outsourcing companies. These professionals are specifically trained and qualified in the supply chain, and will have the knowledge, experience and resources to be able to make your business operation their sole focus. In doing so, you are guaranteed proper management of your supply chain, and you can rest easy knowing that 3pl professionals with a wealth of experience, knowledge and resources are looking after your business.
Access to Core Resources
Core resources are vital to the efficient and effective management of your supply chain. A 3pl company will have a number of modern resources in place which allow them to do so. These would include software such ERP technology which can be used to document events, generate reports and allow communication all over the company. A 3pl company will rely heavily on these technologies and will typically use the newest and most innovative technology to do their job well. They will have the knowledge and experience to not only operate this technology, but also know which tools are best suited to supply chain and logistics management.
Access to Warehousing
Warehousing is crucial to the supply chain, as it is where you store your product whilst they await purchase and distribution. With a 3pl company, you gain access to their warehousing. This is good as you only pay for what you need exactly in terms of storage space. Outside of a 3pl company, you are paying for space you might not use, as you need to upgrade to larger stores as your demand increases. With an outsourced company, you only pay for what you use, thereby driving cost savings.
Here at BCR, we provide you with the finest 3pl services to ensure the best possible management of your supply chain and logistics processes, as well as to drive your cost savings. Our 3pl professionals are highly skilled and experienced at handling supply chains and will be able to manage your efficiently and effectively.