Question

In: Operations Management

1. Which resources are used to deliver services by 3PL? (3PL - third-party logistics providers) 2....

1. Which resources are used to deliver services by 3PL? (3PL - third-party logistics providers)
2. What is geographical coverage of 3PL?

Solutions

Expert Solution

Third part logistics are the service providers which work independently and provide various services which includes, Logistics,Warehousing and fulfillment of service.

Requirements of different organization are different and for which resources to used by 3PL team varies from organization to organization and also varies as per the need of customer and service provider.

The more common things that 3PL team use to deliver their service are:

1. Logistical Resources which includes trucks , containers , pickers and dropping ,Packing facilities, etc

2. IT resources & Requirements which includes Computers, soft wares,Tracking System, Payment Gateway websites , printers, inventory management system , SAP, etc

3. Skilled Manpower which can handle the work and manage the inventory effectively, Having good communication & Negotiation skills which helps to better interact with customers and main service providers.

4. Physical shaded area to store the materials and goods and where an office can be established with working staff.

5. Last but not the least, Funds which is the major resource requirement for Conducting any business activity.

Geographical coverage of 3 PL means, the Established network of the service provider within the country or outside the country. Wide geographical coverage means, More numbers of customers are being served with the particular 3PL team.

In simple words, How much the service of the Third part logistic is spreaded over the country or across international boundaries.


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