Choosing a trusted 3PL is a challenging task as there are hundreds of 3PL companies in Singapore. There’s an abundance of factors that should be considered to choose the best and the most trusted 3PL companies in Singapore.
It is necessary to check the company’s abilities before signing a partnership with it. 3rd party logistics companies that plan to provide the transportation services should be able to demonstrate special ways in which the customer company can save money and time.
A highly efficient and uninterrupted 3PL represents the foundation for any successful business. 3PL companies should work in a manner that allows the customer company to continue all other operations and processes without worrying about the storage and supplies of materials and products. If you are considering adding a 3rd party logistics service provider make sure that partnering with 3PL will increase your business value or will increase your expenses. Here are some things that should be considered when choosing a 3PL provider.
● Previous Record
● Scalability
● Handle Sudden Growth
● Innovative IT Platform
● Fulfilment centres and Shipping Options
● Location
● Perfect Solutions
Previous Record:
Every 3PL company can get the job done but the 3PL company that can complete the job in the most efficient way without wasting time will be considered best. A company should have a previous record of using the best ways and methods that helped the customer company to save the money and delivered the goods on time to the market.
If the 3PL company you choose has customers who have been loyal to them for years then it is a clear sign that they are providing the best services. 3rd party logistics companies that take the time to provide high-quality practices will be recognized as perfect.
Scalability:
The most important factor that a 3PL company should provide is the ability to scale its business processes and operation to keep pace with your growing needs. The scalability should be bi-directional as it will have a direct impact on the performance of your supply chain. When demand contracts for any reason, 3rd party logistics Singapore should respond immediately and minimize operations while mitigating costs and maintaining an efficient flow of goods.
Handle Sudden Growth:
You should choose a 3Pl that can handle a sudden increase in demands easily and efficiently. Organizations face growth challenges and an authorized 3PL services provider should have experience handling these types of situations in a way that can benefit the organization. So, finding a 3PL that has customers of all sizes will ensure that they fit your needs with increasing or decreasing needs and can make adjustments accordingly.
Innovative IT Platform:
A 3PL company that puts innovation and technology at the forefront of its business indicates a strong base ad competition. A good 3Pl will always invest in the latest technology to provide better services and this type of 3PL will be able to provide real-time data and feedback on all aspects of its clients’ operations. When reviewing potential 3PL providers ask about the IT systems and techniques they use to get a clear view of their IT compatibility and integration.
Fulfilment centres and Shipping Options:
Choose the 3PL company that provides a wide range of fulfilment centres and transportation options that suit your business operations. Having different options and alternatives create opportunities in the supply chain.
If 3PL has extensive relationships with multiple vendors, you should take advantage of the low-cost option. This makes the technology platforms even more important in managing these options, identifying them more effectively, and putting processes into practice without any interruption.
Location:
Estimating the location of the 3PL provider is largely determined by the target range. If a company headquarter is with a 3PL supplier but the fulfilment centre or warehouses are regional then it makes sense to choose a local supplier. While choosing the 3PL on the basis of location keep the future in mind.
Perfect Solutions:
The 3Pl provider should be an extension of the company that provides the most efficient and effective solutions. The solutions should be flexible and meet the needs as stated by the company. A custom solution has to be made to the extent that the 3PL provider will tailor its services according to the organization’s requirements.
An effective way to estimate 3PL in this regard is to talk to the customer base of your existing 3PL provider. Ask them how 3PL suppliers meet your needs by placing an order on key performance indicators (KPIs).
How does 3rd Party Logistics help in COVID-19 Pandemic?
We are currently living in the threat of COVID-19 pandemic and it is necessary to follow all the precautions to stay healthy and safe. Also, the demands have been increased as people are staying at home and they require everything to be delivered at their doorstep. With precautionary measures taken after the Covid-19 pandemic, 3PL can ensure that products are protected from external exposure.
There are still possibilities of increase in the coronavirus spread. Your 3PL provider will ensure that all your logistics tasks are completed without any delay with the help of their trained delivery staff, even if the company’s facilities are to be shut down after this pandemic.
As the retailers continue to receive orders, 3Pl will manage the sorting and distribution of the products sold. 3Pl will make sure that all your products are protected and the packing should be sanitized periodically until it reaches the destination.
Conclusion:
Outsourcing logistics is a big step that requires a lot of considerations. The purpose of this article was to tell people about the major considerations when choosing an efficient 3rd party logistics in Singapore. Using an outsourced logistics provider can allow a company to gain a competitive advantage in today’s business world.
There are many trusted and well-reputed 3PL services providers in Singapore. Proximity and long-term relationships between 3rd party logistics buyers and suppliers can be a key factor in the success of establishing a fully integrated outsourced logistics system.
