Selection of 3PLs
/From "Selecting A Third Party Logistics (3PL)" Provider
By Martin Murray, About.com Guide
...After the bids have been received by a company from the prospective 3PL’s, an evaluation would take place where a multi-discipline team will review each bid based on a pre-defined set of criteria. These will include some of the following.
- Does the 3PL provide the services required?
- Does the 3PL have the technology required to perform the tasks required?
- Does the company have the required warehouse space, dock capacity, warehouse personnel, etc.?
- Is the 3PL financially sound?
- Are the 3PL’s geographical locations suitable to cover the network?
- Does the 3PL have the flexibility to respond to changes?
- Are the 3PL’s environmental policies compatible?
- Are the costs of the services detailed enough for comparison to other bids?
- Are the customer references acceptable?
- Is the 3PL a good cultural fit?