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What steps can you take to ensure your 3PL provider maintains product quality?

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When you outsource your logistics operations to a third-party logistics (3PL) provider, you expect them to deliver your products on time, in good condition, and at a reasonable cost. But how can you ensure that your 3PL provider maintains product quality throughout the supply chain? Here are some steps you can take to minimize the risk of quality issues and protect your brand reputation.

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Andrew Kennedy

Logistics Manager at Kitagawa Europe Ltd.
Marisol Aparicio

Planeación Estratégica y Operativa | Planeación Financiera | Análisis y Ejecución de proyectos | Cadena de Suministro |…
Francisco Javier Castellanos Avi?a

Supply Chain Manager | Integrated Business Planning IBP S&OP | Procurement | Consultant and Coach | Demand & Supply…

1 Choose a reputable 3PL provider

The first step is to select a 3PL provider that has a proven track record of quality performance, customer satisfaction, and industry standards. You can check their credentials, certifications, references, and reviews to verify their reliability and expertise. You can also visit their facilities, inspect their equipment, and observe their processes to assess their capabilities and compliance.

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Francisco Javier Castellanos Avi?a

Supply Chain Manager | Integrated Business Planning IBP S&OP | Procurement | Consultant and Coach | Demand & Supply Planning, Distribution, Production Planning | 4PL | WMS | Green Belt
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Visita las instalaciones y verifica su experiencia demostrable en procesos similares a los que requieres, productos similares y clientes similares. Si es posible habla con los clientes actuales, entiende los pros y contras desde su perspectiva.

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Jessica Anais Echeverria Valles

#Logística #CSCP #APICS 14 a?os de experiencia en área de #CadenadeSuministro #IMMEX
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Importante ir a visitar las instalaciones y evaluar el proceso puntos críticos a revisar son: -Control de accesos. -Proceso de recibo. -Almacén. -Proceso de Carga. -Procedimiento de seguridad. -Cámaras. Hay que revisar que se haga una validación de sellos de las unidades, corroborar que realicen conteos, observar el orden de las evidencias, preguntar acerca de los tiempos totales de recibo, si han detectado incidencias al momento de recibir la mercancía y cual es el procedimiento en ese momento, validar como se realizan los acomodas en almacén, los sistemas el proceso de carga de la unidad y sus procesos de seguridad principalmente.

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2 Communicate your expectations

The second step is to communicate your expectations clearly and consistently with your 3PL provider. You should define your quality requirements, specifications, standards, and metrics and document them in a service level agreement (SLA). You should also establish regular communication channels, feedback mechanisms, and escalation procedures to ensure that your 3PL provider understands your needs and responds to your concerns.

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Andrew Kennedy

Logistics Manager at Kitagawa Europe Ltd.
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Working with an any 3PL is a two-way street. The 3PL can provide you with a brief of their services and you can provide a brief of the services you require. If these do not match then you should consider looking around for a more matched supplier. There are many different types of supply chain so your supply chain model (and requirements) will not necessarily be the same as other companies. Clearly outline your requirements and your expectations. I have found transparency and clear communication works best. Do not listen to all the sales promises - look for results. Anyone can say they can deliver but not all do. Try a trial shipment and see how it goes. Once successful setup metrics to measure performance and continue to monitor.

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Marisol Aparicio

Planeación Estratégica y Operativa | Planeación Financiera | Análisis y Ejecución de proyectos | Cadena de Suministro | Compras
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La comunicación siempre es importante, al hacer un acuerdo con 3PL, siempre, siempre debe existir un contrato con claridad en los requisitos y ?muy importante! Penalizaciones, en caso de diferencias, mala calidad, etc Entre más claro, más sana será la relación, ?recuerda!los contratos son para cuando existen los problemas

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Eduardo José Delgado Flores

Supply Chain Management | Logistics | International Business Operations | 3PL & 4PL | Lean - Six Sigma | Cold Chain
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After choosing a reputable and confident service provider, I believe one of the most important aspects for the relationship to succeed is to communicate clearly what are the expectations from a customer’s perspective. As provider, knowing what are the most critical and relevant control points of the product will set our awareness and if this happens from the first point of contact, it is highly probable that these won’t be overlooked.

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3 Monitor and measure performance

The third step is to monitor and measure the performance of your 3PL provider against the agreed-upon quality criteria. You can use various tools and methods, such as audits, inspections, reports, dashboards, and surveys, to collect and analyze data on key performance indicators (KPIs), such as delivery accuracy, damage rates, defect rates, and customer satisfaction. You should also review the performance results periodically and discuss them with your 3PL provider to identify areas of improvement and corrective actions.

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Piotr Skoba?o

Supply Chain Strategist | Expert in End-to-End Supply Chain & Operational Excellence | Relentlessly Driving Customer Value | MBA Lecturer | Podcast Host
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Protip: implement a bonus/malus incentive appendix which changes the price based on the quality execution of the KPIs. Protip: work together with the logistic provider on improving the quality. Its a proces were both sides have duties.

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4 Implement quality control systems

The fourth step is to implement quality control systems that ensure that your products are handled, stored, and transported safely and securely by your 3PL provider. You can use various techniques and technologies, such as barcodes, RFID tags, sensors, cameras, and software, to track and trace your products throughout the supply chain and prevent loss, theft, damage, or contamination. You can also use quality management systems, such as ISO 9001, to ensure that your 3PL provider follows best practices and procedures for quality assurance.

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5 Collaborate and innovate

The fifth step is to collaborate and innovate with your 3PL provider to enhance product quality and customer experience. You can share information, ideas, and feedback with your 3PL provider to identify opportunities and challenges and develop solutions and strategies. You can also leverage their expertise, resources, and networks to access new markets, technologies, and trends. By working together, you can create value and competitive advantage for both parties.

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6 Reward and recognize performance

The sixth step is to reward and recognize the performance of your 3PL provider for maintaining product quality. You can use various incentives and rewards, such as bonuses, discounts, referrals, or testimonials, to motivate and appreciate your 3PL provider for meeting or exceeding your quality expectations. You can also use various recognition methods, such as certificates, awards, or social media posts, to acknowledge and celebrate their achievements and contributions.

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7 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?

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KUNAL BHAT , PMP

I help Fortune 1000 organization drive digital transformation through SAP S/4HANA, IBP & MM integration | Solution Architect | 40% efficiency gains | PMP
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Clearly define quality standards, conduct regular inspections, and establish communication channels for immediate issue resolution. Utilize performance metrics to assess the 3PL's adherence to quality guidelines. Foster a collaborative partnership by providing comprehensive training on your product specifications and quality expectations. Regularly review and update contracts to align with evolving quality standards. Open and transparent communication is key to promptly address any concerns and ensure continuous improvement in the 3PL's performance and product quality. Regular audits and performance evaluations further enhance accountability and maintain high standards.

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What steps can you take to ensure your 3PL provider maintains product quality?

1

2

3

4

5

6

7

1 Choose a reputable 3PL provider

2 Communicate your expectations

3 Monitor and measure performance

4 Implement quality control systems

5 Collaborate and innovate

6 Reward and recognize performance

7 Here’s what else to consider

Logistics Management

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What steps can you take to ensure your 3PL provider maintains product quality?

1

2

3

4

5

6

7

1 Choose a reputable 3PL provider

2 Communicate your expectations

3 Monitor and measure performance

4 Implement quality control systems

5 Collaborate and innovate

6 Reward and recognize performance

7 Here’s what else to consider

Logistics Management

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