Obviously, selecting the right third-party logistics provider (3PL) for your supply chain is an important decision in supply chain risk management, but not every country decides in the same manner. While Americans focus on commitment, Germans appear to rely more on trust. Why is that?
Historically, third-party logistics providers, or 3PLs, provided traditional logistics services, such as transportation and warehouse management, and nothing more than that, but 3PLs have evolved to becoming orchestrators of supply chains that create and sustain a competitive advantage.
Outsourcing and relying on a third-party provider for logistics, or 3PL in short, can be quite a cost-saver, but is not without caveats. While there are significant benefits, there are also a number of challenges: current requirements, future growth, information exchange and security.
