Lecture 8 Flashcards
3PL (Contract Logistics)
3PL, or third-party logistics, is essentially a variety of services and processes that are provided to a business by an external company in order to reduce costs, improve efficiencies and expand capabilities.
It refers to services such as transportation, warehousing, terminal operations, simple manufacturing tasks, packaging, labeling.
Risks:
- Loss of control inbound and outbound activities.
- Possible mistrust between the companies
Fourth-party logistics providers (4PL):
A 4PL provider is a supply chain integrator that concentrates on the development and organization of customer supply chain and offers (strategic) consulting services.
- Solution
- Consulting
- Supply chain
Service Provider Pordolio: Hertz and Alfredsson 2003
- Standart transport team( normal companies)
- Integrators (DHL, FedEx ) (whole range of solutions but doesn’t adapt to the customer)
- Traditional house brokers or warehousing firms ( adapt to our needs if you need warehouse outside the town)
- 3Pl/ 4Pl (Service Developer, Customer Developer, Standard 3PL provider, Customer Adaptor)
2PL / 1PL
2PL - Traditional logistics service
1PL - A company’s own transport service