Choosing a Logistic Service Provider: Things to Consider

Increasing competition and growing expectations on efficiency, speed, and cost-effectiveness have given birth to the concept of a logistics service provider. Today, multiple companies engage the services of a third-party logistic company(3PL) which can take care of possibly all the various functions involved in the supply chain –from shipping and warehouse stocking to inventory management and cargo, these service providers handle it all.

However, choosing a reliable logistic service provider is of utmost importance here. For, the repute and success rate of your brand depends to a large extent on how reliable the logistic service provider is in the performance of its role. To simplify things for you, we guide you here on how to choose one for your business.

Tips on Choosing a Logistics Service Provider

1. Gauge their abilities:

Agreed, a logistic company has a specific role to follow and certain specific goals to meet. But you still need to carefully assess that the abilities they possess are sufficient to meet both your short-term and long-term goals. Having said that, you must be able to figure out whether a logistic company promises to deliver all that you ask for without having any specific set of competencies.

2. Check for their promptness in service:

Efficient customer service is the next criteria by which you can test an ideal service provider. And how to test that? Speak to the old or existing customers of the logistic company and get reviews about their service – how prompt and responsive are they to customer problems and their eagerness to contribute to problem solving.

3. Look for one with a good safety record:

The safety of your goods being carried is of prime importance. These goods belong to the customers and eventually need to reach them safe and sound. It’s therefore important to choose a carrier that can prove an impressive safety record.

4. Partner with someone who’s stable:

Hiring the services of an efficient logistics service provider for your business is an investment in itself. As such, you need to be doubly sure about whom you’re partnering with. Try and settle for a company which has a strong stability record in the past and doesn’t bend in too easily whenever problems strike.

5. Compare pricing:

In the face of strong competition among similar players, logistic companies too are focusing on bringing their service costs down so as to expand their business. The same should work in your favour too because you’re going to pay the service provider in the end. Do your homework well and look up a few choices, asking to give their quote before zeroing in one.

To Sum Up

To provide ease of convenience and better and efficient service to the customer, the need for logistic service providers can be strongly felt by most businesses today, big or small. However, it’s also important to choose the right service because it puts your brand credibility at stake too in the long run.