Third Party Logistics Management Writing Assignment

Third Party Logistics
Student’s Name
Institution
Third Party Logistics
The past decade has seen an increased usage of 3PL services by firms. While there are benefits of using 3PL services, there are also risks involved. As a logistics VP in a fortune 500 company, I would first evaluate the benefits and costs of the undertaking. It is a fact that a majority of fortune 500 firms are utilizing the services of 3PLs (Siegel, 2017). Therefore, 3PL would be a major consideration but the decision would have to be made after an evaluation of the risks and benefits involved.
Before outsourcing transportation, I would consider a number of factors. One of the factors is whether or not transportation is a core function of the business. If it is not, then I will have a reason to outsource transportation while firm concentrates on its core functions. Another factor that I will consider is the availability of 3PL providers to meet the exact needs of the business. A major factor for the success of many companies is customer service. If 3PLs cannot maintain goo...