Handling your business operations can be done in-house. However, you must agree that this model is not the most productive option for you. This is especially true if you are managing an eCommerce business. This type of business can expand its operations while still operating on a shoestring. It is possible by partnering with 3PLs.
Measuring Performance of 3PLs
Just because you have decided to use third-party logistics providers (3PLs), it does not mean that your business operation will go on smoothly. Keep in mind that not all third-party logistics are created equal. You still have to measure its performance. Make sure that you partner with the one that can keep up with your business needs.
Have a Single Point of Contact with 3PL
If you choose to use its service, make sure that you only have one point of contact. It can be the company’s senior employee. Or you can just request it to your 3PL to designate a person who will deal with your business. It reduces the issue of having to talk to various employees before an issue can be resolved. The appointed contact person will have the decision-making capabilities to quickly resolve any problem with your business operations.
Set Expectations Clearly
Your 3PL is an important partner for your business to flourish. But before you even enter into this partnership, make sure that you have already set clear expectations from the beginning. Make sure to stick to them throughout your partnership. When setting up expectations, you need to define the methods of resolving any issue that may arise. In setting your expectations, you may use Key Performance Indicators (KPI). This will help the third party to determine whether or not it is fulfilling your needs. It will also ensure it can improve some areas that you are not so thrilled about.
Keep the Communication Lines Open
When you have a business, you partner with a lot of companies and people. And 3PL is one of them. It is your business partner. Thus, it is vital to inform the company of changes in your organization that can affect the partnership. You must not assume that your partner knows that your product has changed or what is going on in the business. Open communication will ensure that any problem will be mitigated so it won’t affect your business operation.
Research the Right 3PL
As mentioned, not all 3PLs are the same. That’s why you must take the time to approach different providers before you sign any contract. Make sure that you read the contract to know what the company can and can’t do for your business. Does it provide yard spotting or management too? How can it prevent late deliveries?
Keep Your Operations Running Smoothly
When it comes to 3PLs, EGA Logistics stands out from the rest. Our company provides yard management and warehousing services. We would love to talk to you about how our services can help your operations run smoothly. Call us here for more information: (888) 496-1102.
