Understanding 3PL Solutions With Rick White 

Third-party logistics, or 3PL, is where a provider handles your warehousing, transportation and final-mile delivery.

For businesses, this cuts down the admin costs associated with managing suppliers and minimises mistakes. But only if you partner with a 3PL provider that understands your operation.

An off-the-shelf solution won’t cut it. You need support that interweaves innovative technology and personal support. And to prove it, we’ve asked our Director of 3PL Services to explain why. 

How would you describe a good 3PL service?  

Any 3PL service worth its salt should provide a single point of contact for every client. This way account managers can act as an extension of your business and better understand your products. 

Only then are they able to simplify your shipping process and offer ways that improve efficiencies and reduce costs. That’s our approach at Cardinal, and it’s helped the businesses we work with overcome the obstacles of the last few years. 

What have been the biggest challenges facing the industry in 2022?   

There have been a few. From Covid-19 to the subsequent supply chain chaos, the last 18 months have made it almost impossible to forecast freight volume. Throughout, our clients have experienced unusual trading patterns and so we’ve had to be agile at all times. Not least during the recent port strikes, which have made it especially challenging to manage goods coming in. 

In this circumstance it’s difficult to manage client expectations. These kinds of cancellations typically cause demurrage and quay rent fees, which can be financially crippling for some of the businesses we work with. That’s why we do everything we can to help you navigate these costs. 

How do you think the 3PL service will change in the future? 

These challenges have led to some clients dropping their own warehouse space and moving towards a 3PL solution. As we ourselves have experienced, the unpredictability of the current climate can prove too much of a risk, and by moving to a 3PL solution you can rely on the infrastructure of an international leader.  

This avoids the headache of fixed costs and other challenges of owning your own lot. As a result, we expect to see a surge of 3PL providers in the space, claiming to have the ultimate solution to current shipping standards. 

How is Cardinal unique? 

As we’ve said before, you can’t rely on a one-size-fits-all approach to 3PL support. You need a supplier that you can trust. That’s why we place transparency above all else. 

We don’t overcomplicate our pricing structure like many warehouses, we like to keep things simple. Through the Leda platform, we provide more than just the limited standard inventory reports. We offer our clients much greater analysis of their stock and orders, giving them a complete overview of their operation.  

What’s more, to address the growing demand for 3PL support, we’ll be providing additional capacity on stream in early 2023. So if you like the sound of how we work, get in touch with a member of the team today and we’ll walk you through our range of options.