Keys to Choosing a Third Party Logistics Provider

Not all Third Party Logistics Providers (3PL) can offer the same solutions to you, and not all 3PL's are right for your needs. There are several keys that you should cover when choosing a freight broker that is tailored to your product, for your customers.

Basics

What is a 3PL? In a nutshell the proper 3PL should provide you with the expertise necessary to integrate your supply chain management with their logistics solution. The proper 3PL can provide you with a cost effective solution to the most challenging of shipments.

A key to any choice is first understanding your own needs.

Financial Stability

Choosing a 3PL with financial stability and who has a proven track record should be a good foundation for your choice. All freight brokers should have a Motor Carrier Authority #, but not all freight brokers do. That should be one of your first questions. This offers you the coverage and peace of mind to you that all parties will get paid in the forms of a surety bond.

Another important consideration is if the 3PL you are looking at offers additional insurance which would top up any insurance from the carriers they would use for your shipment which guarantees you proper coverage.

References

Ask for references as you would when selecting any service. A good start is any freight brokers testimonial page, or reference links.

Warehousing Options

The proper 3PL for you should offer you with access to warehousing options that suit your product and shipping needs. Allowing you access allows you to consolidate your smaller shipments into one with less downtime, and transit time. This cost savings always ends up to you the customer.

Contact Canex Global Logistics for how we meet these needs for you.


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