Factors to take into account when choosing a 3PL Company

Factors to take into account when choosing a 3PL Company

Feb 11

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Finding a good 3rd Party Logistics Company can be challenging. Many companies claim to be the best so it is important to look at a number of different factors when choosing a provider for your company. Taking your time looking at these critical success factors will help ensure that you choose the best 3PL company for your business -



Communication -
  • Objectives should be precise.
  • Goals should be measurable.
  • The agreement should be clear.
  • Storage & shipping scheduling should be spot on.
  • The management should be highly competent & professional.
Financial Snapshot -
  • Good Financial Status.
  • Age of the company.
  • Strength of the company.
  • Commitment of Workforce.
Transportation -
  • Condition of vehicles they own.
  • Minimizing costs of the same.
Flexibility -
  • Should be able to tailor a plan for you.
  • Should be equipped to handle radical changes in business environment.
  • Should be able to accommodate expansion.
Technology -
  • Do they stay up to date with the latest processing, shipping, tracking tools and technology.
  • What systems are in place for dealing with reporting order processing, system limitations integration and inventory control.
People -
Do they have the ability to -
  • Develop your company’s objectives
  • Identify new opportunities
  • Stay on top of regulatory and legislative issues
  • Impact your business now and in the future
  • Build a mutual trust worthy relationship
There are a lot of things to consider when looking for a 3PL Company to do your storage and shipping. As you can probably see, it takes a company with a full scale offering that can function on multiple levels. There are a lot of 3PL companies that perform well in one area or a couple of areas, but partnering with a company that can offer all of the above attributes will put your company in the best possible situation.

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