How to choose a third-party logistics provider to help you focus on your core business
March 9, 2020
A third-party logistics (3PL) provider manages a company's logistics and supply chain services, which consist of transportation, warehousing, inventory management, materials procurement, shipment tracking, customs brokerage, order fulfillment and freight audit. Working with a 3PL company can minimise the overall logistics costs, save warehouse space and bring greater flexibility, so your company can focus on the core business. We've put together some of the crucial points to consider on how to choose a professional 3PL provider.
How long has the provider been in business?
An established company stands firm amid market ups and downs and has built a network of relationship in the industry. Its infrastructure and experience are in placed to serve you better.
Do they offer customized solutions?
3PL has its standard operation of pick, pack and ship, but you can always check whether the provider can customize to achieve your requirement or business development. Arrangements like labelling, quality inspection, leaflet insertion and customized packaging can generate a greater flexibility and promote a better impression for smaller companies. For larger companies, a helpful provider coordinates all aspects of the supply chain.
Are they reliable?
Check with the provider whether they offer any guaranteed handling times and reimbursement of missing deadlines, especially arrangements on peak period such as the year-end. Performance can be measured by rate of returns due to shipping damage, shipment service quality and accuracy, and rating of timely delivery to provide the highest efficiency.
Do they have strong IT systems?
It is important to choose a provider with streamline processes to support the supply chain management systems, synchronize sales order, increase accuracy and ensure security. The partnership drives the capacity of your business.
Working with Crown Logistics, you will discover more possibilities for increasing your business and adding value to your brands in Hong Kong and Greater China. We specialized in fashion, cosmetics and health products supply chain management as well as hotel and retail logistics.
Talk to our logistics professionals for a solution tailored to your need.