9 Factors To Consider When Choosing The Right Logistics Partner For Your Business
- by Mina Natividad
- 2 months ago
Logistics plays a key role in the flourishing e-commerce business. It's safe to say that the reputation and success of the business may depend on their logistics partner's reliability and efficiency. Next to how great your goods are, how the goods are delivered is also a crucial factor that can make or break the customer experience.
Do you need a logistics provider for your business? When choosing the best logistics partner, here are 9 factors to consider.
1. Area of Expertise
What is the specialty of the logistics provider?
Transportation, warehousing, distribution, shipping, and receiving - these are the services provided by the logistics companies. However, not all companies provide for everything. Many businesses need only a few core services and they use several third party logistics (3PL) providers to service their specific needs, instead of relying on one provider for everything.
Match your needs with the area of expertise of the logistics provider. Know their specialty in a particular area of logistics, modes of transport, or a specific region.
2. Good facilities and assets
Ask about their basic facilities. For example, if you need a logistics provider specializing in trucking or transportation-based services, you need to dig deeper into their delivery capabilities. We’re talking about truckload distribution and access to dedicated trucking assets.
Who knows? Your fuel business' need for diesel fuel delivery might not be their cup of tea.
3. Company Stability and Reliability
Partnering with a stable, reliable logistics provider is vital. See if the company has long-term proven sustainability and success.
Every load that doesn’t arrive on time, or gets delivered with the wrong kind of truck, may cause delays and stress on your end. While no one can stop the bad weather, a good logistic partner is prepared with the best game plan to resolve the issue and deliver.
4. Network of Locations
Are you anticipating business expansions? Look for a logistics provider who can scale with your business.
The right logistics company offers strategic solutions to cater to your business distribution needs with optimal efficiency. They have a wide network of located facilities. They also can open new locations to cope with your operations and respond to your changing needs.
5. Customized Solutions
Go for providers with a firm grasp of your business requirements and can provide solutions for your short-term and long-term needs. See if they can make appropriate recommendations on how to best serve your customers through supply chain improvements.
6. Safety and Security
Safety is a key parameter which when choosing a quality logistics service. The last thing you want to happen is having your goods stolen or damaged due to natural disasters or human errors.
Take the time to check the logistic provider’s safety awareness. See their relevant facilities and ask about their safety management. You can even go to a government-oriented site to check their safety rating.
7. Customer service
Are they responsive? Do they provide fluid lines of communication? Do they offer effective solutions to urgent problems? Will they be able to solve the problem alongside you and provide accurate information about what’s happening with your delivery?
See if the logistics service provides excellent customer service. Authoritative customer support is needed so you can resolve the shipping issue promptly.
Is the logistics company utilizing the right technology to optimize its services? The transparency and integration of Information Technology systems for transport and warehouse management is imperative.
How long have they been in business? How do they treat other people they’re working with? What do the reviews tell about them? Find out whether the logistics firm has a good or bad reputation with customers, employees, and suppliers. Stick to logistics companies with proven infrastructure and established relationships in the industry.
Author Bio: Carmina Natividad is a daytime writer for Refuelling Solutions, a fuel management company, offering small and large scale diesel fuel delivery, logistics, information, and analysis to keep their client’s business moving. Writing about business and logistics is her cup of tea.