Logistics Companies and Selecting a good Logistic service provider:Supply Chain Management

Logistics Companies and Selecting a good Logistic service provider:


Logistics in general is implemented by a detailed organization through a complex operation. In a supply chain management or general business to fulfill customer needs from production point to point of consumption delivered through a logistical process. In other areas such as military organization also there are great needs of logistical process and logistic service provider. Usually logistic officers manage how and why resources to be placed as they are needed.


Various logistic related issues

Procurement logistics includes market research, necessary planning, procurement decision, logistics service provider evaluation, order control etc. Supply Chain value addition is the main objective of a business, so that cost reduces and skill increases in the supply chain management. Main thing in advanced logistics is planning of distribution logistics it is on time delivery of products to the end user.


Production and fabrication related logistical processes

In a business or supply chain various types of production process are used. Usually after getting an order production is pursued and sold to the end user. Sometimes goods are produced first and orders are received later. Then the produced items are sold and distributed. Sometimes various products are gathered assembled to sell.

Sourcing and selection processes

Actually sourcing and selecting are very much intertwined. When production and design phase is under process 80% of cost is ascertained supply chain surplus is also determined. When the production is very urgent air shipment is required, when production lead time is not too short low cost sea shipment can be allowed. On the other hand, a helpful forwarder can be helpful to both shipper and buyer. Sometimes buyer is compelled to choose a 3PL forwarder who may be more powerful to handle the cargo.

Logistics provider and intermediaries:

It is very important to choose a good logistic service provider for any company either they are involved in inbound logistic or outbound logistics or both. For a Apparel manufacturing and exporter company of Bangladesh both inbound and outbound logistic provider is important. For FOB shipment they can negotiate with importer of garments to select a good forwarding company either 2PL, 3PL or 4 PL. Working as a logistic manger in the garment industry is stressful and at times challenging in both exporter and importer side. Garment is very time sensitive cargo and being late with your delivery to the customer may cause your company extra money because of late delivery chargebacks or even further, cancelation of the entire order. The clock is always ticking and you constantly need to be aware of your shipment status. Your boss calls and asks you about the shipment status for one of his most important customers. You checked your shipment record but you don’t have the updated information, you call your freight forwarder and they said they don’t know if it has shipped. They tell you they need to check with their China office and will get back you tomorrow. Meanwhile your boss is holding on the other line for updated information from you. This is certainly not the service you want from your forwarder, they should be on top on of very shipment, with updated information.


Supply Chain visibility:

The supply chain management platform perpetually gauges material dynamics against shipment milestones and avails monitor at-risk or critical orders. A trend analysis of performance versus prior periods of accommodation level commitments, provides score-carding of carriers and suppliers predicated on lead-time, fill rate, or on-time rates, and tracks key performance indicators (KPIs) for sundry utilizer orientations, such as buyer, seller, carrier, or forwarder can make it understandable which logistic accommodation provider is better.

Top ten 3PLs in the global arena:

According to gross revenue earned the top 3PLs are as follows:

10.UPS Supply Chain Solutions, 09.GEODIS, 08. Sinotrans, 07.XPO Logistics,

06.DSV, 05.C.H.Robinson, 04.D.B.Shenker, 03.Nippon Express, 02.Kuehne+Negel,

01.DHL Supply Chain and Global Forwarding

Some great 4PLs in the global arena:

UPS 4PL Services  (HTTP://WWW.UPS-SCS.COM/SUPPORT/4PL.HTML), 2.Accenture 4PL Services(WWW.ACCENTURE.COM), XPO Logistics: 4PL Services (WWW.XPO.COM), 4PL Insights LLC (WWW.4PLINSIGHTS.COM), Geodis Wilson 4PL Provder ( WWW.GEODISWILSON.COM), Deloitte: 4PL(WWW.DELOITTE.COM), Global 4PL Supply Chain Services (WWW.GLOBAL-4PL.COM), 4PL Group(WWW.FOURPL.COM), Logistics Plus 4PL (WWW.LOGISTICSPLUS.NET) etc.




In contemporary logistics related issues many things are related. Some are outside reasons, some are quite internal. System integration, technology, supplier appraisal etc. are proved to be very important to create a better supply chain surplus.

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