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Third-Party Logistics (3PL) Warehousing Guide: Process, Resources, and Benefits 15 Dec 2022

Third-Party Logistics (3PL) Warehousing Guide: Process, Resources, and Benefits

Outsourced logistics services are indeed considered third-party logistics. It includes pick and pack, inventory management, and order delivery. The third-party logistics partners are able to handle logistical tasks that would be quite wasteful or expensive to handle. If you utilize 3PL services, then it will result in cost reduction.

The services that logistics firms provide for 3PL fulfillment are quite diverse. Actually, the entire supply chain is covered by third-party logistics services. The following are examples of 3PL fulfillment services:

  • Distribution
  • Receiving and shipping
  • Transportation
  • Warehousing and managing a warehouse

It’s critical to pick a fulfillment company you can trust to handle your inventory, provide a positive customer experience, maintain a high level of customer satisfaction, and ultimately help you grow your business.

The greatest option for you, if you’re seeking 3PL Singapore warehouse storage, is without a doubt PAL Line. Thanks to our strong and reliable network that is dispersed around the world, we will be able to manage even cross-border deliveries.

Process, Resources, and Benefits of 3PL

3PL, or third party logistics, is sometimes contrasted with 3PL warehouse services. The 3PL services increase the distance between your company and your logistics partner. Companies might hire a 3PL to provide 3PL services. The 3PL partner is in charge of overseeing the 3PL partner’s connection.

Stage one: Receiving

Without inventory on hand, a third party logistics provider in Singapore cannot send orders. In a 3PL warehouse, receiving inventory refers to accepting incoming goods and then storing them.

Each 3PL provider has its own processes and spaces for receiving and storing goods.

Stage two: 3PL Warehousing

We keep your products at our fulfillment centers when we receive your inventory. Whether it’s a shelf, a container, or a pallet, each SKU has its own dedicated storage area.

Storage capabilities vary amongst 3PLs; not all 3PL warehouse space is created equal. Working with a 3PL warehousing that has more storage capacity than you now need is essential; as your product range and order volume expand, your 3PL storage must be scalable.

Stage three: Picking

The 3PL fulfillment process can start once a consumer puts in an order. This is the first part of the term pick-and-pack fulfillment, which you may have heard before.

You may need to manually upload orders to some 3PLs’ systems. Spreadsheets including order information, client shipping information, and other information are occasionally used in this. Order management in this manner may be challenging and ineffective.

Stage four: Packing

Once all of the goods in the order have been selected, packaging may begin. This will get the goods from your customers ready for shipping. The instruments of the profession include boxes, bubble mailers, packing tape, poly bags, and bubble wrap. You could discover that some 3PLs add these packing supplies as an extra line item to their invoices.

Stage five: Shipping

Once your order has been packaged, it’s time to ship. Printing shipping labels will be done on your behalf by your 3PL partner. Some of your partners will ship your items using their preferred carriers, while others will network with several shippers to get the lowest price for you.

The merchandise will be picked up by the designated carrier at the warehouse. Shipping times vary depending on what your company offers.

Stage six: Returns

There are customer returns. Reverse logistics describes the process of bringing products back to the warehouse. When a client returns an item, it could be put back into stock, reconditioned, repurposed, or thrown away. Reverse logistics should be a part of any e-commerce company’s plan.

How 3PL can benefit your business?

Expense Savings:

Compared to independent shippers, 3PL providers have superior connections with freight firms. They may receive appropriate concessions depending on volume and order frequency because they operate with many different consumers.

Flexibility in scaling:

Demand fluctuations throughout the year are a serious problem for businesses. 3PL providers assist in navigating these market uncertainties. 3PL firms eliminate the danger of delay so you do not need to commit funds. With 3PL companies, the company may test out new markets without having to make big expenditures or lease a lot of warehouse space.

Improved client experience:

Due to their extensive distribution networks, 3PL companies can ship quickly to any location in the world. Due to the growing popularity of same-day or next-day deliveries, 3PL providers are also taking a closer look at a company’s reputation in addition to shipping speed.

Reduce risk:

Shipping delays do occur frequently. To complete your orders on schedule, 3PL suppliers even accept responsibility for such delays and make alternative arrangements.

Even documentation, customs, tariffs, and other costly tasks that delay shipments are handled by 3PLs for a foreign company. Who would be better to handle your logistical needs than a business that specializes in logistics, especially if you’re just starting?

Why Choose PAL Line?

With the right infrastructure, targeted experience, and solutions, 3PL providers may be advantageous to a corporation regardless of the industry, size, or location of the firm. PAL Line is the firm to choose if you’re looking for a 3PL warehouse in Singapore. They can deliver the greatest services because of their moral policies and reliable network.