5 Myths About 3PLs Exposed

Blog, logistics, logistics costs, News, performance, 3PL Partner

April 11, 2017

Screen-Shot-2017-04-10-at-3_56_09-PM.pngEvery year, a significant number of organizations plan to move their logistics and fulfillment operations in-house. One study of this phenomenon found that, on average, 35% of outsourcing companies were planning to return to insourcing some of their logistics activities, and 35% of 3PL respondents had observed that some of their customers were insourcing certain logistics activities.

But this happens despite Clients’ overall satisfaction with 3PLs. A full 93% of companies reported that their relationships with 3PLs generally had been successful, 75% agreed that 3PLs provided new and innovative ways to improve logistics effectiveness, and 70% agreed that use of 3PLs contributed to reducing our overall logistics costs.

Why the disconnect? We think it can only be explained by the pervasiveness of certain common misperceptions—“myths”—about 3PLs that fuel-reactive decision-making.

We thought that these were common enough, and damaging enough, that they needed to be analyzed in a separate white paper, which you can now download here.

In this paper, you’ll learn:

- Why surveys about 3PL performance might be misleading

- How outsourcing to a 3PL can actually give you more control of your logistics

- Four proven ways 3PLs save you money

- Different kinds of operational control, and why in-house has its own control issues

- The importance of integration and scalability in logistics operations

In the end, although most 3PL myths are false, they can still offer us cautionary tales telling us what to look for in a best-in-class 3PL. Get your copy and, when you’re ready, give me a call to discuss how a 3PL can help you save money and time while giving you more control of your operations:

Bill Young, 314-692-7545, byoung@materialogic.com