You’re looking for a logistics provider. What are the key factors to consider?

Given today’s volatility you need to be sure you have a logistics partner that is the right fit across several dimensions. Advanced technology, great account management and a continuous improvement mindset. Forecasts will be wrong and unplanned issues will emerge, but it’s the ability to quickly and collectively resolve and improve that sets both companies up for success and a long term partnership.

Proveedores de logística siempre hay y todos hacen las cosas bien. El problema es que muchas veces no se define correctamente lo que buscamos. Es importante realizar un análisis interno de lo que estás buscando, que es lo que fabricas, como lo fabricas, temperaturas, mercados a los que se han de enviar, etc. Con toda esa información, encontrar un proveedor adecuado siempre será más fácil. Por incorporar otro concepto, siempre se valora la proactividad, que reporte incidencias correctamente, que vea problemas para poder anticiparte. La combinación entre coste-servicio tiene que estar equilibrada siempre.

Unless you are not in for a ringa-ringa-roses game, I believe that this is the most crucial stage while considering any logistics company to be considered as a partner. The ideal way is 1) Plot your entire logistics journey and carefully map all the touch points, add on your future expansion plans and frame the journey around it. 2) Create a scoring system for each touch points depending on the complexity and importance 3) Start reading and rating your partners on those pointers, ask questions! 4) Ask your partner to do the same with yourself as a client. The most efficient partnership would be the one where both the parties enjoy a symbiotic relationship and benefit from it. This way, both have an incentive to grow with each other.

In my personal experience I noticed most customers usually select the logistics provider that better understands their business and that is flexible enough to adapt to their needs.

Few Factors which one may have in their checklist before zeroing down a LSP : > Fleet Strength & variety > Geographical Footprint > Feedback from existing customers >Risk taking appetite >Modus operandi >Technology adoption in operating the fleet and execution of SLA's

Ensure that when you are assessing a Third-Party Logistics (3PL) provider, you allocate EXPERIENCED personnel who are well-versed in supply chain management, transportation, and logistics software. Should your team lack such expertise, consider engaging a boutique consultancy or a subject matter expert to thoroughly evaluate the technology stack and software solutions in use. Indeed, the choice of software plays a crucial role and significantly impacts the effectiveness of your logistics operations.

Ao selecionar um provedor de logística, priorize a tecnologia e a inova??o. Escolha um provedor que utilize sistemas avan?ados de gest?o de armazém e transporte, ofere?a rastreamento em tempo real, integra??o de dados, automa??o e análise de dados. Certifique-se também de que o provedor esteja comprometido com a inova??o contínua para garantir eficiência e visibilidade em suas opera??es logísticas.

Make sure that whenever you're evaluating a 3PL that you assign EXPERIENCED resources in supply chain, transportation, and logistics software. If you don't have such resources on staff, hire a small consulting firm or a subject matter expert to evaluate the tech stack and software. Yes, software matters. A lot.

1. Experience: you can look for business cases (previous clients) or use business references. This will allow you to have previous opinions and to start a pilot to test the provider in a controlled environment. 2. Business structure: how many employees they have, a brief description of org structure, and how they will operate on a day-to-day basis. This will allow you to understand how well prepared they are to scale and overcome peak scenarios, and maintain a positive cash flow to run the logistic operation on your behalf. 3. Technology: how they recruit and train their drivers? Are they using an app or platform to monitor their warehouse and routes? It is importante to understand the technological maturity of your future provider.

When choosing a logistics provider, it is essential to consider their adaptive strategy regarding technology. Look for partners who are constantly updated with the latest technological trends and demonstrate agility in incorporating new solutions into their business model. This includes the ability to quickly implement innovative software and systems, such as artificial intelligence platforms for demand forecasting, route optimization, and process automation. Choosing a provider with an adaptive technology strategy ensures that your logistics operation is always aligned with best practices and ready to tackle the challenges of the constantly evolving market.

I agree that reputation and reliability are very important factors when choosing a logistics provider. From my own experience, I can tell you that having a good reputation can make a big difference in attracting and retaining customers, as well as building long-term relationships with them. A good reputation can also help you stand out from your competitors and gain a competitive edge in the market. That is why I would guard my reputation with my life if needed, and I always strive to deliver the best service possible to my customers. I think that is the key to success in the logistics industry.

Trust is the cornerstone of any business relationship. I scrutinize a provider's track record, seeking testimonials and case studies that attest to their reliability, on-time delivery, and ability to navigate challenges seamlessly.

El sector del transporte históricamente ha sido un sector en el que las cosas siempre se han hecho "a pulmón". Donde no llega la tecnología, llega el capital humano. El problema reside en la erosión constante de los márgenes económicos que impiden ofrecer soluciones alternativas directas y dirigidas a solventar las incidencias. Entregar mercancía en horario comercial, en empresas, es relativamente sencillo. Entregar en hospitales antes de la operación, en clientes particulares en su domicilio, en horarios de conveniencia; entregas nocturnas y en áreas remotas con una alta fiabilidad es lo difícil. Si mezclas los datos B2B con las entregas complicadas, parecerá que eres bueno, aunque en realidad no lo seas. La Calidad vs la realidad.

This is key. You MUST ask for at least 3 top references and have a good list to quiz them on when it comes to that providers stability , reputation , communication , service and years served. Many will give you small examples or references but I would be looking to talk to key decision makers within those companies or the references provided and companies that are large and within the scope of the service you require.

I think that trust should be the main driver in any relationship, it may sound Corny,but a strong relationship with a 3PL must be based on background and a vision of a business partner

I see soooooooo many companies overpay for 3PL services. Contracts should be structured in such way that the 3PL shares in financial gains but they're punished if they don't add value. For example, if a 3PL reduces transportation costs by several hundred thousand dollars or even more than a million dollars, they should receive a portion of the savings. Negotiating is about trading. 3PLs want long-tern contracts so they have predictable and stable work. Customers want improved service and reduced costs. Reward 3PLs with contract extensions and gain sharing every time they implement strategies that reduce costs and increase performance.

Create a value chain that includes your 3PL suppliers for the long run. Many businesses like the security and predictability of per piece unit costs however so many factors go into the initial price negotiations that many risks are either built into the price so you're paying too much or the 3PL is risking their own stability by under pricing (which hey, whaddyaknow suddenly becomes your business continuity risk down the track). Routinely reviewing the business and financials together, sharing where value is created and cost structures, being clear and aligning on what actions you and they can take to avoid waste or improve efficiency will eventually lead to a mutually beneficial value chain.

El costo puede ser alcanzable por casi cualquier empresa de transporte, la diferencia está en el valor. Existen empresas que tienen un coste muy contenido ofreciendo un servicio aceptable, mientas otros tienen un coste superior ofreciendo un valor excelente. La dificultad del comprador de transporte reside en cómo valorar las consecuencias económicas de usar el primero frente al segundo. Si los costes los introduces en un excel, compararás Empresas de Transporte A vs B. En realidad no serán comparables, pero ?cómo cuantificas el valor de la A frente a la B? Solo la experiencia te generará confianza para trabajar con una u otra empresa.

Sin duda la relación costo/ valor, costo beneficio es una de las más importantes para evaluar , porque realmente a través de ella puedes identificar cómo el Mercado se está comportando frente a tus necesidades. Buscando siempre el costo mas razonables con las mayores ventajas competitivas donde un operador logístico puede aportar a una Cadena logística con su experiencia y conocimiento. Hoy en día mucho operadores se queda con mínimo necesario cuando l diferencia está en su servicio, en su tecnología, en l analítica de datos, en la inteligencia artificial que aplique en sus centros de distribución para disminuir costos, donde busca cadenas circular les con los proveedores de sus clientes para generar valor diferencial a su competencia.

I believe cost ands value should noy only be the 4th thing to consider but do that much earlier. One advise; do not only go for the lowest as you will get very dissappointed afterwards missing deadlines etc. if you squeeze till the end, you will get a bad service, on the contrary, respect is knowing everyone would want to make some acceptable profits, such as you do too, they want that too!

Customer service and communication are the pillars of customer relationship management and long-term relationship building with your partners. Proactive communication, problem-solving, and consultancy are key factors to look for when evaluating a logistics provider. - Do you alert them of problems they need to handle, or do they alert you when they are handling/have handled them? - Do they have a habit of suggesting solutions to issues, or leaving you with no options?

Effective communication and responsive customer service are essential for a smooth and satisfactory experience. Evaluate how a service provider communicates with clients, responds to inquiries, and handles feedback or issues. Look for clear channels of communication, dedicated account management, and prompt resolution of concerns. A provider that prioritizes customer service fosters transparency, trust, and collaboration, laying the foundation for a successful partnership.

En el sector del transporte hay empresas con un servicio de atención al cliente excelente y otras con un servicio pésimo. Cuanto mayor sea el cliente, más posibilidades de poder contar con un equipo personalizado de atención y gestión de incidencias. Los clientes peque?os casi nunca estarán contentos con ninguna empresa de transportes. Todas fallarán en algún momento y no te podrán ofrecer opciones de solución de incidencias asumibles salvo que aciertes con la empresa adecuada. Contar con un gestor de cuenta es fundamental. Cuanto más experimentado, mejor.

Effective communication and responsive customer service are non-negotiable. I value providers who prioritize clear, proactive communication, keeping me informed at every stage of the logistics process and promptly addressing any concerns or inquiries.

Lo que valoro es la prontitud en responder consultas y la transparencia en la información sobre el servicio. Como responsable de Logística, priorizo asociarme con proveedores que brinden un servicio de excelencia y mantengan una comunicación clara en todo momento para garantizar que la experiencia de nuestros Clientes sea satisfactoria.

As a responsible corporate citizen, I am increasingly conscious of the environmental and social impact of my business decisions. I seek logistics partners committed to sustainability, minimizing carbon emissions, reducing waste, and upholding ethical labor practices throughout their supply chain.

In an increasingly conscious world, sustainability and social responsibility are no longer optional but imperative. Assess how a service provider integrates ethical and sustainable practices into their operations, from environmental initiatives to community engagement efforts. Look for certifications, partnerships with NGOs, or corporate social responsibility (CSR) programs that demonstrate a commitment to making a positive impact beyond profit margins. Choosing a socially responsible partner aligns your business with values-driven practices and contributes to a better future for all.

Seguran?a da informa??o, em caso de problemas com o servidor ter uma op??o ou uma resposta mais assertiva evita do o achismo.

Os desafios ambientais deixam claro que a sustentabilidade é um ingrediente que deve ser considerado na sele??o de operadores logísticos. Assim, é preciso tomar o rumo do desenvolvimento sustentável e voltar o olhar para dentro e fora da empresa (seus fornecedores). Para isto, a empresa deve verificar como o operador logístico lida com o tema: desempenho e conformidade às normas vigentes e se vai além do que é exigido por lei, com outras formas de contribui??o para o bem da sociedade e do meio ambiente. conhecer melhor o impacto dos bens e dos servi?os do operador logístico sobre o meio ambiente e a sociedade. Saber o quanto é sustentável.

With growing awareness of environmental and social impact, partnering with a logistics provider committed to sustainability and social responsibility can align with your corporate values and enhance your brand reputation. Whether through eco-friendly packaging, carbon-neutral initiatives, or ethical labor practices, prioritizing sustainability can contribute to a more sustainable future.

1. Experiencia y reputación: Busca rese?as, testimonios y referencias de clientes anteriores para evaluar su desempe?o. 2. Capacidad y alcance: para manejar tus necesidades logísticas, incluyendo la infraestructura, tecnología y recursos humanos necesarios. 3. Servicios ofrecidos: asegúrate de que se ajusten a tus requerimientos. 4. Calidad y seguridad: cumpla con los estándares requeridos. 5. Flexibilidad y adaptabilidad: A tus necesidades cambiantes, especialmente en un entorno logístico dinámico. 6. Tecnología y seguimiento: La tecnología juega un papel crucial en la logística moderna. Al evaluar un operador logístico en función de factores mínimos, que beneficie a tu cadena de suministro y contribuya al éxito de tu negocio.

Speed of available equipment turnarounds to your locations for JIT/ JIS (specifically to shipping containers). Having a provider always ready with your required equipment or with a contracted partners who also services the area is crucial to success and stability in your operation.

En un mundo tan cambiante y volatil , es necesario e imprecindible que la busqueda de opciones contenga una mezca de todos los factores . Todos los factores son complementarios, y dependen en gran o menor medida del cliente (intermedio o final) y sus necesidades. Tecnología avanzada, excelente gestión de cuentas y una mentalidad de mejora continua y respeto por las personas y el medio ambiente. Capacidad de resolver y adaptarse a los cambios, es una constante que se busca. El precio siempre es la variable, pero esta de por si sola no genera una vinculacion en el tiempo con los clientes

Beyond the core factors outlined above, I also consider factors such as geographical coverage, flexibility to accommodate changing business needs, scalability to support future growth, and compatibility with my company's values and culture.

Critical factors in the selection of a logistics partner encompass customer service, reputation, specialized expertise, financial robustness, and collaborative relationships. A strong partnership with a third-party logistics provider (3PL) can optimize supply chain operations, reduce expenses, and elevate customer service standards.