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Treat Your 3PL as a Partner
August 2, 2007
Everyone knows that managing your global logistics costs is one of the key responsibilities of a modern supply chain manager, but you must mange these costs responsibly, especially when it comes to your 3PL.
A 3PL should be viewed as a strategic partner who helps your supply chain function smoothly and efficiently. If they are mistakenly viewed as another source of product cost to be pushed to the wall of profitability, the results will be bad for, your 3PL, your supply chain and you.
Efficiency is important, but so is having the right incentives in place to keep your supply chain's eyes and ears (your 3PL) motivated and focused. This article does a good job of hammering that point home.
Posted by Andy Mulkerin on August 2, 2007 | Comments (4)
In response to: Treat Your 3PL as a Partner
Eric commented:
Your post is absolutely true, but rarely followed by large corporations looking to squeeze every last cent from their business processes. 3PL profitability is the key to their investment in a customer relationship. Unfortunately many 3PL customers either dont care, or are unaware of 3PL cost to serve.
In response to: Treat Your 3PL as a Partner
John-3PL commented:
We all know that, don''t we? But the problem is "they" don''t understand it. How do you convince them? Any sure ideas?
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