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What to Look for in Third Party Logistics Providers
===================================================

 ![Icon denoting blog author information in Lojistic’s content layout](/images/pages/blog/icon-author.svg)Rich Harkey

 ![Calendar icon used to display blog post dates on Lojistic’s website](/images/pages/blog/icon-calendar.svg)March 25, 2013

When it comes to 3rd party logistics, not every company is familiar with the considerations involved. There are many major third party logistics advantages, but capturing them means first finding the right 3rd party logistics company for you. In a field that is growing very fast, getting a handle on the world of 3PL is not necessarily easy.

Still, it is worthwhile for you to delve into 3PL if you want the many third party logistics advantages that you could capture in speed, efficiency, cost savings, and overall satisfaction for your end user. Paradoxically, organizations with minimal expertise in 3PL logistics have the most to gain from a lucrative agreement with established 3PL companies.

This being the case, it’s a good idea to have a starting point for your inquiries. As with many other decisions about vendors, the process usually begins by looking at the “features” or deliverables that you want and then drilling down to the specific merits of the 3PL companies that you are considering.

Keep these crucial selling points in mind when contemplating 3PL logistics:

**True Carrier Expertise**

In order to get full advantages from a logistics consultant, you should be sure that company brings the knowledge you need to the table. Delving deep into a morass of carrier invoices and finding what could be millions in overcharges, for example, requires assistance from experts. They must have insight into the operations of firms like DHL, UPS, FedEx, and others.

**Contract Negotiation Clout**

A logistics consultancy should be able to help you manage all of your carrier relationships, even if your own company is relatively small. Small firms need a “secret weapon” in order to capture the best contract terms and revise these terms favorably as their volume grows. The right kind of logistics consultant brings its clout to the table and compels carriers to take notice.

**End-to-End Logistics Optimization**

For total logistics optimization, you will need to deploy the right kind of logistics management software. Not all companies have either the access to this software or the expertise required to operate it. Ideally, software should operate on a cloud-based, “Software As A Service” model so that its features can be accessed equally by all of your global logistics stakeholders.

**International and Global Expertise**

Of course, your logistics consultant’s skills and services should match with the stage of growth that you are in right now. However, ultimately, your company will probably want to capture growth through international operations. Worldwide logistics is orders of magnitude more complex than local, regional, or national logistics – so seek the advantage of experience.

At Source Consulting, we offer all of these advantages and more to our enterprise clients. With our help, you can capture savings that represents a significant fraction of every logistics activity throughout your network. As your firm grows, the savings will deepen, potentially saving you millions or even tens of millions of dollars each and every year.

**More About Logistics From Source Consulting and Around the Web**

[Major U.S. Logistics Summit Convenes in Atlanta](http://savannahnow.com/exchange/2013-03-19/logistics-summit-convenes-atlanta)

[What Logistics Pros Need to Know on Iran Sanctions](http://www.lexology.com/library/detail.aspx?g=bbcb617b-09b3-4721-8d72-e9b0cee57ca1)

[New Logistics Program Starts at St. Lawrence’s College](http://www.cornwallseawaynews.com/News/2013-03-20/article-3203783/New-college-logistics-program-will-begin-in-September/1)

 ![Rich Harkey Headshot](https://www.lojistic.com/assets/public/users/rich.png) 

Author

Rich Harkey

Rich Harkey

Senior Strategy Manager

Rich Harkey is a results-driven professional with extensive experience in the logistics and supply chain industry.

As the Senior Strategy Manager at Lojistic, Rich leverages over three decades of expertise to help businesses improve their shipping strategies and reduce costs. With a deep understanding of the requirements of shippers and the operational intricacies of carriers, he excels in everything from optimizing business rules and managing carrier invoices to negotiating carrier contracts.

Rich's comprehensive knowledge of the logistics industry, combined with his strategic insights and passion for data analysis, has enabled thousands of companies to gain visibility into their shipping expenses, driving impactful results.

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