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Vendor Compliance from a 3PL Perspective:
Creating a Realistic Implementation Plan

Scott Weiss, Taylored Services


No longer is the logistics industry characterized by smaller, unsophisticated companies. Today's successful integrated logistics provider is a dynamic firm utilizing a combination of systems, facilities, transportation, and material handling techniques. It is managed and staffed with logistics professionals. Very often, it is better qualified than its clients to perform the production distribution function.

There are many reasons for outsourcing, but here is a look at the top 7 reasons companies might decide to outsource their warehouse and distribution needs:

  1. Get a better return on your assets. By reducing the significant investments in warehouse facilities as well as material handling and order picking labor, you are able to eliminate huge upfront capital costs and your returns can be enhanced significantly.
  2. Save time and increase personnel productivity. By emphasizing your core business and focusing your time on what you do best - selling and marketing your product - utilization of your personnel can be more effective.
  3. Real estate and labor flexibility. As new markets and new products are developed, it is often impossible to predict future logistics needs accurately. Similarly, as existing market and product characteristics change, logistics needs change as well. Many companies experience great seasonality throughout the year. The use of a warehouse provider greatly reduces the risk of misplaced labor, outdated facilities, and equipment.
  4. Eliminate the headache of labor issues. While labor issues can be somewhat delicate depending on your own labor environment, labor considerations should not be ignored when considering outsourced warehousing. Third party warehouse providers have the human resource expertise to effectively manage their workforce and stay on top of constantly changing requirements.
  5. Achieve cost savings. In addition to capital savings, outsourcing results in lower cost and improved savings than what could be generated internally.
  6. Increase customer satisfaction. In today's environment of error-free, prompt deliveries and unique business and consumer requirements, customer service has to be the most important consideration for any firm.
  7. Improve technology. Whether you are engaged in e-commerce, retail fulfillment, or both, increasing demands for new information technology systems and resources can often be met more efficiently through outsourcing. Because warehousing is their core business, a third party warehouse provider has the resources and expertise to invest and maintain robust warehouse management systems, stay on top of routing guide requirements, generate required EDI transactions, and enhance systems as needed.

Outsourcing may be exactly what your company needs to become a best-in-class supplier.


Based in Southern California, Scott Weiss has been a 3PL industry expert since 1996. As Vice President, Client Solutions for 3PL Taylored Services, Scott is responsible for sales, marketing, and client satisfaction. Taylored operates multiple distribution centers strategically located by the Ports of Los Angeles, Long Beach, New York/New Jersey and works with apparel, footwear, and housewares importers to ensure compliance with retailer routing guide requirements. Scott may be reached at sweiss@tpservices.com or (562) 977-7620.

 
 
 
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