Thursday, July 23, 2020

You Know the Definition of Third Party Logistics, 

Now We will discuss What are the Different Types 

of Third Party Logistics Services:


The following are the characteristics of the different types of third party logistics services:

Transportation Based Third Party Logistics Services
  • Services extend beyond transportation to offer a comprehensive set of logistics offerings.
  • Leveraged 3PLs use assets of other firms.
  • Non-leveraged 3PLs use assets belonging solely to parent firm.
Warehouse/Distribution based Third Party Logistics Services:

Rather than pay the increasing costs of warehousing and distribution operations, many companies prefer to invest the capital into additional locations, or reserve it to reduce the corporate debt. Third Party warehousing and Distribution makes that possible.

For many Retail businesses, third party warehousing and distribution is the only viable option. The costs associated with owning and managing a warehouse, from space and infrastructure to labor expenses, it simply not feasible.


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