1. How has the internet revolutionized the 3PL industry?
The development of the internet has allowed the creation of a new 3PL type called
non-asset based 3PL. A non-asset based 3PL is unique because of the following:
Acts as a service integrator and is not restricted to using any particular warehouse or
transportation company in providing services to its clients
Inherently unbiased in its decision making because of their unlimited freedom to work
with the diverse transportation/warehousing companies
Allows for automation of more complex transactions
Allows optimization & activity-based costing tools to the transportation companies
Aids to minimize transaction and transportation costs for the shippers
Provides shippers with transportation procurement tools
Provides shippers with global tracking, management of freight payment, oversight of
customs management and landed costs assessments
Increases freight density across the transportation company carrier base by utilizing unused
capacity
Provides value-added logistics management services such as internet-based load tendering,
carrier availability notices, routing solutions, etc
Provides a faster medium of payment which better utilizes capital for the carriers
Provides a method to monitor real-time status of shipments which allows for better
scheduling
2. As suppliers move toward 3pls, which players in the industry will benefit and which
players will lose?
The players in the industry that will benefit are those capable of:
Offering a wide range of services i.e. a one-stop shop of inventorying, order management,
warehousing, customs clearance, inventory ownership, and intermodal transportation
Globalizing services due to our increase in imports and exports as well as the emerging
markets of China and India
Maintaining talented management
Providing customer satisfaction through:
