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What Is a Third-Party Logistics Provider?

Understand how a Third-Party Logistics Provider fits into the supply chain

Third-party logistics (3PL) providers oversee the outsourced third-party logistics and related services for a company. Responsibilities of a 3PL provider include negotiating competitive freight rates to minimize costly supply chain disruptions, ensuring freight networks run to maximum efficiency, generating customized freight management plans, decreasing cost while increasing efficiency, facilitating supply chain optimization, creating increased value and more. Growth in this field has led to a significantly larger range of service offerings available to shippers and customers.