To retain and keep profitable customers in today's economic environment, 3PLs must provide innovative solutions that make the supply chain more efficient for both the customer and the provider, says John Dillon of APL Logistics.
The Lead Logistics Provider model is gaining traction in all areas of the world as companies that use multiple logistics providers look for help in managing that complexity, says Stefano Arganese, CEO of DHL Freight. He explains DHL's new branded service GreenLink that consolidates the company's LLP services.
Among the biggest things that will affect the freight markets this year are the return of pricing power to carriers and the re-shoring/nearshoring phenomenon, according to CarrierDirect's semi-annual forecast on the state of the domestic freight industry.
Across industries, manufacturers pride themselves on quality but put top emphasis on reducing overall costs. And while these may seem like conflicting priorities, they can be explained by the concurrent demands of the internal economic drivers of an organization and the external customer requirements for quality and efficiency. As such, these priorities are here to stay, especially as the consumer becomes increasingly empowered and publicly vocal. In recent years, product quality and safety have become tightly integrated with traceability and supplier scorecards. But for manufacturers with foresight to proactively implement a comprehensive traceability system before a contamination problem occurs, there is an opportunity to provide their organizations with the ability to dramatically improve response time, implement corrective measures, and minimize repercussions to the bottom line and the brand, should a problem arise.
Easy access to multiple modes of transportation is a big boon to any business involved in shipping products to a wide array of destinations. For companies that supply parts needed in manufacturing operations, intermodal access has become essential as more manufacturers adopt just-in-time and similar supply chain management strategies. Cities throughout the United States have done what they can to respond to the needs of shippers.
As head of IT for Global Supply Chain Solutions at Ryder, a major third-party logistics provider, Gregory Knott well understands the issues surrounding technology integration between third parties and customers. Here he offers useful advice to outsourcing partners on both sides of a contract.