Archive for 3PL

How Transparent Is Your 3PL Network?

When dealing with the nuances of complex transportation networks, an organization often relies upon multiple transportation-focused 3PL providers, ultimately resulting in a fragmented network that lacks visibility and effective communication. Often this isn’t by design, but organically manifests itself due to different parts of the business being run by different groups. Furthermore, it can be seen frequently in companies that have grown through acquisition or consolidation. In these instances, one business unit used 3PL A […]

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5 Reasons Why LTL Rates Are Changing & What to Expect

If you’ve been in transportation or logistics for any length of time, you already know that nothing stays the same for long. Recent less than truckload (LTL) rates and capacity levels have been below the historical levels we saw from 2005-2010. But that could change—and it’s already started. Most general rate increases (GRIs) happened late last fall. They’re typically on an annual cycle, so we expected to see them come this fall. But they’re here […]

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Leveraging Network Effects to Improve Managed Transportation

Jeff McDermott, the Sr. Vice President of Transportation at GEODIS, made the point in a conversation with me that there have been several new entrants providing managed transportation services. “Cloud-based transportation management systems (TMS) have lowered the barriers of entry in this field. But small players don’t have the economies of scale.” By economies of scale, Mr. McDermott is referring to network effects; being able to leverage visibility to large numbers of transportation moves and […]

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8 Things Keeping Supply Chain Professionals up at Night

As 2017 fast approaches, shippers are hard at work forecasting what the new year may bring. Unfortunately, with this planning comes a host of trends and challenges that leave supply chain professionals feeling uneasy. Pressure to reduce transportation costs, adapt to changing customer demands and a constantly changing, uncertain market are constantly on the minds of shippers, but here are a few trends and challenges that are keeping supply chain professionals up at night. The […]

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3 Ways to Measure the ROI on a Pop-up Distribution Center

Holiday peak season. New product launches.  Flash sales. Does the mere mention of these make you anxious? In a supply chain, the balancing act of supply and demand can be tricky and at times costly. Forecasting, previously accepted as an art, now demands near science in order to succeed in today’s dynamic retail environment. However, your supply chain can only prepare for and react to the volumes based on the resources readily available within a […]

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3 Market Challenges Overcome Through Freight Consolidation Services

Flashback to 2013, just three short years ago, and you will be reminded of an unstable shipping market with high freight demand and capacity issues for shippers. Today, the slowing global growth of the economy and success of the omni-channel world have shifted those challenges. Multi-channel retailers are working to keep up with consumer expectations created by eCommerce companies.   And with the increased demand from consumers, shippers are now faced with even more pressures from […]

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6 Answers for Your Top TPP Agreement Questions

You’ve probably heard about the Trans-Pacific Partnership (TPP) agreement in the last few weeks in some form or another. Since the release of the final text for the TPP agreement, along with President Obama’s announcement on November 5, 2015, that he intended to sign it, the TPP agreement has been a fairly hot topic—across all industries—with some aspects being more controversial than others. While we’re still sorting through the full text, we wanted to provide […]

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Declining Oil prices, Fluctuating Currency Hold Back Growth for 3PLs in Second Quarter 2015

The 3PL market has shown negative growth in the second quarter of 2015 mainly because of the declining reporting currency of the 3PLs. Below is the list of y-o-y comparison of various currencies in which the 3PLs report their revenues. Reporting Currency Y-O-Y Decline % Danish Krone -19.4% Euro -19.4% Kuwait Dollars -6.7% South Korean Won -6.1% Swizz Franc -5.6% Yen -15.7% ARC Advisory Group (Logistics Viewpoints) tracks the quarterly revenue results of the most […]

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3PLs Engage in Too Much White Labeling

When a shipper decides they need to significantly lower their freight spend while maintaining or improving on time deliveries, there are two main paths forward. They can implement a transportation management system (TMS).  Or the shipper outsource transportation planning and execution to a 3PL; This is a managed transportation services (MTS) engagement. A 3PL white label strategy involves buying software solutions – like TMS – from leading providers, but then giving this solution their own branded name, leaving […]

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3 Reasons Why Intermodal Transportation is an Attractive Alternative to Long-Haul Trucking

A shortage of drivers in the trucking industry is creating some painful dilemmas for transportation buyers and logistics managers. With the average age of a truck driver now in the late fifties and a dwindling interest in the trucking career path among young workers, it’s getting harder — and more expensive — to find drivers to carry long-haul loads. Truck drivers are required to spend long hours away from home without the company of co-workers. […]

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