According to a report by Armstrong and Associates, a 3PL market research firm, a whopping 90% of Domestic Fortune 500 companies have worked with at least one 3PL for outsourced logistics. The report, published in 2017, finds this 90% a significant increase from 2001 when Armstrong began tracking the number at 46%.
In an interview with Dick Berman of Logistics Management , Dick Armstrong explained that shippers outsource often “in order to control costs and increase supply chain efficiency.”
We believe that when shippers partner with a great 3PL, they reap the benefits of a 3PL’s logistics knowledge and experience in the industry. After all, specialization in logistics offers shippers many advantages. 3PLs like AM Transport Services access a core carrier base and cultivate strong relationships with logistics professionals all along the supply chain. These benefits help to reduce costs and boost efficiencies for shippers.
What about technology?
In addition 3PLs have the resources to study, invest in, and implement the most innovative technologies in the logistics industry. A recent article in Inbound Logistics examines four strong reasons shippers might outsource their technology needs to a Third Party Logistics company.
In “Leave IT to Your 3PL” Inbound Logistics cites Evan Armstrong, president of Armstrong & Associates, a 3PL market research firm, Curt Sardeson of Open Sky Group, and Michael Manzione of Rakuten Super Logistics to come up with four strong reasons a shipper might use a 3PL for technology.
The list is good and includes the money saving benefits of allowing a 3PLs technology and relationships to provide better pricing. They also cite the advantages to shippers in terms of growth explaining that outsourcing to a 3PL allows shippers to navigate fluctuations more efficiently.
Our favorite item on their list is #2: Shippers recognize the value that comes with turning processes over to experts. Here at AM Transport, we are passionate about technology and the benefits it offers the enlightened shippers who partner with us. With 30 years in the transportation industry we couple our vast industry knowledge with innovative technology to offer shippers an unparalleled shipping experience.
What about OUR technology?
Our online client portal is a shipper’s one-shop stop on the information highway. It’s easily navigable on all devices, provides real-time load tracking and visibility, and offers customizable reports. Customers have 24/7 access to invoices, bills, orders, inventory, as well as, market info and instant messaging with experts!
Our Transportation Management System (TMS) is powered by Salesforce, the world’s #1 cloud ecosystem, offering improved informational organization, automation of everyday tasks, greater efficiency for multiple teams, and advanced analytical data and reporting. Our TMS dramatically reduces the amount of labor required to manage your freight and gives you the information you need to act proactively instead of cleaning up problems.
Technology AND More!
Of course, technology is only one reason in a variety of excellent reasons to partner with a 3PL. Enlightened shippers know the experts at AM Transport Services provide incomparable technology in addition to clear advice and analysis, creative solutions, and the hands down best customer service!