A third-party logistics provider is much more than a public warehouse. It is a complete supply chain resource, offering all aspects of warehouse management, inventory management, order fulfillment and processing, distribution, transportation management, and other forms of logistics. In other words, any function necessary to get your goods from Point A to Point B is offered by a 3PL.
In fact, a 3PL is extremely valuable for helping businesses develop efficient and cost-effective supply chain management solutions. These solutions can help companies save thousands of dollars every year and ensure a streamlined process for moving goods to their applicable destination.
Take a look at three areas in particular where a 3PL like Brendamour Warehousing, Distribution & Services can offer cost-effective supply chain solutions.
A supply chain management strategy consists of the following stages: transporting raw materials into production; coordinating distribution of materials and parts needed for assembly from vendors; packaging; and distributing finished merchandise to distribution channels or directly to the consumer.
A supply chain network strategy sets policies and procedures for inventory management, warehouse management, transportation management, government regulations and taxes, and tracking and reporting.
A good strategy evaluates how decisions will impact everyone touched by the supply chain. Efficient and cost-effective supply chain management starts with a cohesive distribution network that is flexible to respond to changes and complexities in the global marketplace. Since a 3PL works daily in this industry, it has the expertise to keep logistics costs down while continually updating the supply chain strategy to respond to trends and changes.
As a 3PL, Brendamour has the expertise to analyze a company’s existing supply chain network and offer solutions to make the strategy more effective. We analyze how goods are being transported and distributed from manufacturers and suppliers, how much is being spent on labor, utilities, taxes and logistics, the destination of finished goods, and whether transportation management strategies, such as cross-docking, are being utilized.
In most cases, deep savings can be realized with our supply chain network solutions.
2. Transportation Management
A transportation management system is essential for an effective supply chain network. Focusing solely on transportation operations, it is strategically aligned with order management and warehouse distribution to ensure goods reach their final destination.
Transportation management encompasses load optimization, route planning optimization, carrier management, execution, and freight audit and payment settlement processes. It serves both inbound and outbound orders.
Brendamour can help businesses identify transportation management solutions that reduce costs, allow for delivery flexibility, and improve accountability.
Some of the areas we examine are how the current transportation network is being utilized, how it responds to and overcomes problems in the transportation process, the service metrics in use, in-house receiving protocols for all distribution destinations, the cost of the existing transportation process, and how IT is gathering information and how it is being used.
Brendamour also examines all the transportation routes available by land, air, rail and sea, and determines the most cost-effective and efficient routes for transporting your goods.
Achieving an efficient supply chain depends on all the people involved, the performance of the in-house or public warehouse, and the resources used to move goods along the supply chain network. Any misstep along that network, in terms of inefficient use of time or resources, ends up costing a business a substantial amount of money, and could impact customer service.
Streamlining the supply chain network is another key way to efficient operations. This can be done by choosing vendors that offer numerous levels of service so there is one point of contact, and designing logistics that can be flexible to respond to specific needs of the end customer.
For example, it may be less costly to ship a full truckload of goods, but if the end customer cannot handle the large quantity of merchandise, the method is not efficient. A better option may be a less than truckload shipment, with the business still saving money by utilizing a public warehouse and sharing freight space with others to make a full truckload.
A 3PL is equipped to identify and address any inefficiencies and get the supply chain back on track quickly. For instance, Brendamour Warehousing can analyze typical inefficiencies found in warehousing storage methods, technology, shipping times, tracking, and costs of transportation methods, and implement measures to make supply chain processes more efficient, easy to follow, and cost-effective.
Brendamour’s Supply Chain Solutions
With its full complement of warehousing and distribution services, Brendamour Warehousing, Distribution & Services can help your business operations run smoothly and efficiently so your company can compete in the global marketplace.
We understand how warehousing, distribution and other logistics interconnect, and have the expertise from years of experience in the industry to eliminate inefficiencies to maximize your profits.
At Brendamour, we’re also dedicated to helping businesses with small margins to control their transportation and distribution costs so they can realize greater profits.
Let Brendamour Warehousing help you realize business success. Put our state-of-the-art facility, advanced technology and equipment, skilled and knowledgeable team, and our shipping partnerships to work for you.
Get in touch and see how we can keep your goods moving along the supply chain in the most efficient and cost-effective manner possible.