Effective 3PL Management Tips for A Successful Startup

 The services of a third-party logistics (3PL) provider may be beneficial to small businesses and startups, especially at the earliest operational stages. Rather than handling all the supply chain operations in the house, your startup could outsource it to a reputable company, so you can focus on other important business-related tasks. Once you have found the right 3PL for startups, you need to implement sound management practices that can lead to your success and to allow them help you more effectively. Here are some 3PL management tips for you:

 

Maintain transparency at all times

 

Set clear expectations from the start, and maintain transparent communications with the 3PL provider. Keep in mind that by partnering with 3PL for startups, you are establishing a professional relationship with them. Make sure they know your expectations of their service and share your key performance indicators (KPIs) with them. Your KPIs should help you measure their level of performance, while letting them know exactly what you require and expect from them.

 

Make sure your interests are aligned

 

Successful 3PL management for startups should ensure that you and the service provider have the same interests, which should help drive a successful partnership. That encompasses factors like the company culture and their pricing.

 

Have a trusty point of contact

 

There should be a person assigned by the 3PL company to work closely with you. That way, it is easier to get in touch with them and address any challenges or problems in the supply chain as soon as possible. That can also help ensure that both parties can make informed decisions efficiently and quickly when up-to-date information is exchanged through that individual.

Keep them updated

 

Your 3PL provider is responsible for overseeing critical areas of your supply chain. Therefore, it’s important to ensure open communication with them, in case you have any new developments or changes in your company. Keep them in the loop on any recalls, year-end activities, product instructions, and other critical requirements, so they can keep up with them and meet those needs promptly.

Review their performance

 

Establish performance and quality standards when contracting with 3PL for startups. You should also consider reviewing their services from time to time and communicate any issues you might have with them immediately. Findings from your regular performance reviews should also be communicated with them, so they can determine if they are meeting your expectations.

 

Visit their site regularly

 

You may not be completely sure of the quality of the daily operations of your preferred 3PL provider, so it makes sense to pay them a visit to see how they are doing.

 

That said, it might not be feasible for you to do on-site visits when you have chosen a 3PL from another country. In that case, it’s in your best interest to have a trustworthy representative in that country to do quality control checks and facility inspections on your behalf.

Keep them involved in your long-term planning

 

As your business thrives, discuss your long-term plans with the provider of 3PL for startups. That way, they can adjust their service offerings to meet your changing needs.