Are you a manufacturer? Do you produce products for use or sale using labour and machines, chemical and biological processing, or formulation? Maybe you are involved in engineering and industrial design?
As a Manufacturing company you spend a lot of time looking for ways to be better than your competition. In a highly competitive industry, manufacturers look for any edge they can get over the competition.
3PL providers offer many services that will improve your supply chain and give you that edge you are looking for.
Here are 5 reasons why a Manufacturer should consider using a 3PL logistics provider to minimize transportation and warehousing costs.
1. Better Routing Management
3PL Logistics Providers are experts at executing proper routing management. Many manufacturers may not have a staff member who has any routing management experience; if they do, they are usually not experts whose sole focus is the task at hand. 3PL providers are equipped with the necessary tools to suggest the best carrier on a specific route, based on cost effectiveness, customer service and whether than can meet the manufacturer’s business needs.
2. Reduced Costs
Retailers have quite a different view on shipping costs than manufacturers. Retailers see the cost of shipping as items that are sent to them. Manufacturers focus more on the cost of shipping items out to vendors separate from the cost of goods.
A 3PL Logistics company assists with the administrative (bills of lading) and customer service aspects of routing (freight scheduling) to reduce the costs of shipping products to the vendors.
A Manufacturer can eliminate payroll costs, benefit and liability costs that are necessary with in house staff. There are also no costs associated with managing a fleet, additional insurance and/or equipment upgrades.
3. Freight Bill Auditing
The choice 3PL provider provides a Manufacturer with freight auditing services. Freight auditing allows a manufacturer free up time for their accounting team in no longer having to audit freight invoices. A 3PL will also ensure that the proper class and discounts have been input on their freight invoices to ensure maximum value of transportation and warehousing services.
4. Invoice Consolidation
3PL providers can consolidate invoices on a weekly or monthly basis. This would mean paying just one bill either each week or each month, rather than having several invoices weekly or monthly. Most invoices have a net 30 term. 3PL providers offer extended payment terms on consolidated invoices. This can be a significant time and money saver for a manufacturer.
5. Improved Customer Service
A great 3PL logistics company will take responsibility of a manufacturers products, how they get to the customers, and ensuring it is done cost effectively. This can save you both time and money. A 3PL logistics provider works to manage supply chains and inventory to customers quicker and at a lower cost.
FMi Logistics takes responsibility for caring for your customers and your products as if they are our own. We try to meet or exceed your own high-performance standards.
Why should you chose FMi Logistics to be your 3PL partner?
Our team of professional Warehousing, Ground, Ocean and Air people care about your products and respect the relationships they build with all clients.
We deliver, store, and warehouse your products as if they are our own. We set standards to exude excellence with each and every transaction. We are driven to provide you with the most economical and viable solutions for all your warehousing, transportation and logistics needs.
Give us a call or Request A Quote today. We would be happy to discuss how we can help your business.
