Feb 16, 2023 | 3PL Warehouse Management, Article
Your business deserves the best. And you can’t get that unless you utilize business processes that work for you. Software is the top resource for “shortcuts” in our world today. When many of us encounter a problem or a task which is terribly time-consuming and manual, what’s the first thing we do? Find an app or software to fix that problem. Warehouse management software solutions can help with laborious warehouse processes such as putaway, inventory control, and cycle counting, whether you’re a 3PL or a DTC brand looking for a 3PL. Here we’ve included insight into the top 3PL WMS software available to enhance your business and how to maximize the benefits they offer. Enjoy!
What is 3PL in WMS?
As you likely know, 3PL stands for Third-Party Logistics. In the context of warehouse management systems (WMS), 3PL refers to a service provider that manages the storage and distribution of goods on behalf of a company. When it comes to WMS, a 3PL provider can use the software to manage their client’s inventory, track and trace goods and shipments, and optimize warehouse operations, inventory visibility, vendor support, and customer support for their clients. This can include receiving, storing, picking, packing, and shipping of goods, as well as providing real-time visibility into inventory levels and order status. The 3PL provider takes care of the physical handling of goods, while the WMS software helps them to manage the inventory, orders, and logistics operations, such as tracking and reporting.
What is 3PL WMS Software?
3PL WMS software is a comprehensive and sophisticated warehouse management system designed to streamline and optimize the operations of third-party logistics companies. It encompasses a wide range of functionalities, such as inventory management, order fulfillment, transportation management, and analytics, all aimed at increasing efficiency, reducing costs, and improving the overall performance of the warehouse.
Benefits of Third-Party Logistics Software
With its advanced features and intuitive interface, 3PL software empowers logistics providers to effectively manage their warehouse operations, from receiving and storing goods, to picking and shipping orders, to tracking and reporting on inventory levels. This technology is an essential tool for companies that rely on third-party logistics providers to manage their warehouse and supply chain operations, as it enables them to gain real-time visibility into their inventory, improve their operational efficiency, and enhance customer satisfaction.
How to Maximize the Benefits of 3PL WMS Software
Implementing 3PL software is just the first step in maximizing the benefits it can bring to your warehouse operations. To truly get the most out of your software, it’s essential to customize it to your specific needs. This means configuring the system to optimize it for your warehouse operations, such as automating repetitive tasks, creating custom reports, or integrating with other software. By customizing the software to your specific needs, you’ll increase efficiency and get the most out of the software.
Another key tactic to keep in mind is continuously monitoring and analyzing data. By regularly monitoring the system’s performance and analyzing the data it generates, you’ll identify areas for improvement and make adjustments as needed. Additionally, you can use the data to make informed decisions and optimize your operations. By doing this, you’ll keep your warehouse operations running smoothly and efficiently.
Much 3PL software also has mobile apps that allow you to access and manage your warehouse operations from anywhere, at any time. This can be especially useful for warehouse managers and supervisors who are always on the go. Utilizing this mobile capability can help you stay on top of your warehouse operations even when you’re away from the office.
Another benefit of 3PL software is the ability to plan and optimize your inventory. The software can provide real-time data and analytics, which will help you keep track of what products sell well and what products don’t. This will allow you to make informed decisions about what products to order and how much of each product to stock. By doing this, you can optimize your inventory and reduce the costs associated with overstocking or stockouts.
Finally, good 3PL software can also help you improve customer service. By providing real-time data on inventory levels and order fulfillment, you’ll provide accurate and up-to-date information to customers. This will allow you to resolve any issues quickly and improve customer satisfaction.
ShipHero’s WMS can do all this and more, check us out!
The Role of AI in 3PL WMS Software
Artificial intelligence can make warehouse work safer and more efficient. WMS for 3PL synthesizes vast amounts of data at every moment and can find the relevant answers to your employees’ and clients’ questions before they even think to ask. As soon as employees log into their dashboards on their mobile devices, they will see which items they need to pick for today’s orders and where they can find these items. With its streamlined integrations, the WMS instantly uses the input from the scanners every time an employee scans the item, so that it updates the inventory in real-time. Inventory management software can do its job much faster with the help of artificial intelligence, rather than if employees had to enter all the inventory data into Netsuite or Oracle manually. The real-time updates lead to cost savings and flexibility for 3PL providers and eCommerce enterprises alike.
Automation rules the day in many industries, including supply chain management (SCM) and fulfillment centers. Data collection, data interchange, and analytics help business owners make decisions about everything from warehouse workflows to retail pricing. The best WMS for 3PL providers, like the best freight broker software, will even make their own decisions if you authorize them to do this. For example, you can automate the reorder process to the extent that you let the WMS decide which stock levels should trigger a reorder of certain items.
Artificial intelligence algorithms are the modus operandi of search engines like Google. An AI algorithm in an order management WMS functions in a similar way, except that they are searching within the data set of your company’s warehouses or the supply chain of which your warehouse is a part, instead of the entire searchable internet. Of course, the more comprehensive WMS suites also have applications where they can analyze data from the World Wide Web. These algorithms can study market trends among brick-and-mortar stores and online retailers. These market trends can help with predictive forecasting.
AI analytics applications are very efficient at researching multiple trends that you would not think to research. While you are busy concentrating on what is going on within the walls of your warehouse, your WMS can research trends in weather and in the price of airline tickets. Therefore, it can accurately predict how much room you will need to make in your warehouse for cute swimsuit coverups (in a summer where travel is affordable and an area where temperatures are hot) or backyard “splash park” type sprinklers (where the weather is hot and when prices are high and the labor market is in the doldrums, so no one can afford to travel). It can even study which cooking videos are trending on YouTube in which areas so that it can guess where and when customers of the eCommerce companies that store products at your warehouse are going to start buying konjac noodles so that they can make low-carb fettuccine alfredo. Your warehouse will have exactly as many boxes of konjac fettuccine as it needs by the time you have even navigated to Wikipedia to find out that the konjac plant is also called the voodoo lily, devil’s tongue, and elephant yam, among other colorful names, and that you can, in fact, make noodles out of it.
How to Get Started with 3PL WMS Software
Whenever you start with new software you must define what you need the software to do for your business. That way, once you have identified software that fits your needs, you can set it up to improve your business processes based on the KPIs you need to see improvement from. This software is often used for automating repetitive tasks, creating custom reports, or integrating with other software. And don’t forget your team. Training your team on how to use the software is crucial to ensure the smooth implementation and operation of the system. Once implemented, monitoring and analyzing the data generated by the system will help you identify areas needing adjustment and a regular maintenance cycle will ensure continuous uptime.
Future Trends in Warehouse Management
According to the Start Us Insights website, warehouse management systems are one of the biggest trends in warehouse management in 2023. WMS ranks behind warehouse automation as the second most important warehouse management trend of the year. Other notable priorities this year are inventory tracking, wearables, the Internet of Things, immersive reality, warehouse security, sustainable warehousing, and fleet management.
WMS software is not new, and it is always evolving. Software developers are continuously analyzing the copious amounts of data they receive from warehouses that use their products and are always finding ways to make the WMS better serve the needs of the clients who use the software and of society at large. For example, if you have been using the same WMS for several years, you may find that its user interface is more intuitive than it was when you first implemented it several software upgrades ago. You might also find that it offers a greater variety of features and pricing plans.
Only the oldest warehouse employees remember what it was like when warehouses had to operate without computers, and employees had to keep a record of everything by using pen and paper. The older generation will also tell you what an adjustment it was when computers first came to warehouses. Today, mobile devices are ubiquitous in warehouses, so developing user-friendly and versatile mobile applications for warehouse management is a priority. Ensuring that WMS works with every iPhone, Android, or other mobile device is the key to successful warehouse management.
The partnership of analytics and automation is another trend that is helping 3PL providers operate more efficiently. The new versions of WMS keep track of where every person and every machine goes in the warehouse at every moment and how long each product stays on the shelves. Based on this, they can generate maps for how you can better arrange your warehouse and can guide you through the process of changing your warehouse layout, either just to improve efficiency or because you have signed a contract with a new client and need to make room in your warehouse to accommodate the new client’s stock. Analytics and automation can also help you ship products from the appropriate warehouses as quickly and inexpensively as possible. An algorithm can figure out whether, on a given day, the customer that just ordered the low-carb fettuccine will receive it more quickly if it arrives by plane from the Denver warehouse or by truck from the Atlanta warehouse.
Warehouses can only be profitable if the planet can support a human population. Therefore, environmental sustainability is as much a priority in 3PL as it is in other industries. Warehouses endeavor to reduce packaging and to use packaging materials made from biodegradable or recycled content when possible. They can also organize their operations so that all the trucks that leave the warehouse are full, instead of spending all that fuel to transport only half a truckload of freight. This may involve timing outgoing shipments strategically or partnering with other warehouses to share truck space.
What Features Should You Look For in a 3PL WMS Software?
When purchasing a 3PL WMS software, it’s essential to look for specific features which will enable you to optimize your warehouse operations and gain a competitive edge in the market. Here are a few lesser-known tips and tricks to keep in mind:
- Scalability: Look for a solution that can scale your business as it grows. This will ensure the system can handle an increase in volume and complexity without any disruptions.
- Automation: Automation is key to increasing efficiency and reducing errors. Look for a solution that offers automation capabilities for tasks such as inventory management, order fulfillment, and transportation management.
- Integration: The ability to integrate with other systems and software is crucial to achieving a seamless and efficient warehouse operation. Look for a solution that can integrate with your existing systems, such as your ERP or accounting software.
- Real-time data and analytics: Real-time data and analytics is crucial for making informed decisions. Look for a solution that offers real-time data and analytics capabilities, allowing you to monitor inventory levels, track orders, and gain insights into your operations.
- Mobile compatibility: With an increasing number of warehouse workers using mobile devices, look for a solution that is mobile-compatible, allowing you to access and manage your warehouse operations from anywhere, at any time.
- Cloud-based: Cloud-based systems are increasingly popular as they can be accessed from anywhere with an internet connection, which can be more cost-effective than on-premises solutions.
Customizability of 3PL WMS Software
Every warehouse operates in its own unique way. Therefore, it helps to be able to customize business software. If you have been working at the warehouse for a long time, you probably remember how cumbersome it was when you first started using QuickBooks to keep records at the warehouse. Over time, you were able to adapt and customize it so that it fits the needs of your company. The eCommerce companies that partner with your warehouse have probably had a similar experience with business software. They have probably customized their own shopping carts and other features to something that works for them.
If it were generic and not customizable, then WMS would offer little advantage over simply entering data manually into spreadsheets, except that it would be faster. One of the benefits of using WMS for 3PL, instead of just using generic business software, is that you can customize many of the features so that they accurately reflect your warehouse processes. For example, you can customize customer billing and order fulfillment features, since the details of these processes vary from one 3PL provider to another and one warehouse to another.
With WMS for 3PL, you can customize the analytics features so that the software asks the right questions about the data. Sometimes customization features of WMS for 3PL are called decision support tools. They let you enter “what if” scenarios and then predict outcomes based on the data. The more sophisticated decision support tools can even propose scenarios to analyze and predict.
WMS for 3PL also makes it easy for you to customize the workflows in your warehouse. Without customizable WMS, cycle counting is an endless and tedious process. With customizable WMS features, you can decide based on the data which counts you need to do and at what intervals to do them. You can automate cycle counting with your WMS. Even better, the software doesn’t miss a beat if you change the layout of your warehouse and then have to pick up where you left off with the counting process. Because everything integrates so smoothly with the warehouse employees’ mobile devices, nothing seems out of the ordinary to them, because the WMS adapts so smoothly to changes in your warehouse.
How Much Does a 3PL WMS Software Cost?
The cost of 3PL WMS software can vary widely depending on the vendor, features, functionalities, warehouse size, and number of users, and it can range from a few thousand dollars for a basic system to tens of thousands of dollars for a more advanced solution, you should also consider the ongoing costs such as maintenance, support, updates, and additional modules. Do your research, compare different options, consider the benefits the software will bring to your operations, and find the one which best fits your needs and budget, considering also that some vendors may offer lower upfront costs but have higher ongoing costs, while others may have a higher initial price but offer more features and support.
Best 3PL WMS Software
1. Shiphero
ShipHero’s WMS (Warehouse Management System) software streamlines and automates the process of managing warehouse operations with its advanced features and intuitive interface. You can easily track and manage inventory, fulfill orders, and optimize operations for maximum efficiency and productivity. Using ShipHero’s WMS software saves you time and money because you can customize ShipHero’s WMS software to meet the specific needs of your business whether managing a small stockroom or a large distribution center. The software also provides real-time visibility into inventory and operations, allowing you to quickly identify and address any issues that may arise. This avoids stockouts, reduces errors, and improves customer satisfaction.
2. WithoutWire
WithoutWire’s WMS software is a cloud-based solution that helps companies manage and optimize their warehouse operations. It offers a range of features such as inventory management, order fulfillment, and real-time tracking to help businesses increase efficiency and productivity in their warehouse operations. WithoutWire software has a focus on the fashion and apparel industry, offering specific features tailored to this market such as style and size matrix management, and pre-pack functionalities. They also utilize RFID tracking and automated warehouse robots to enhance their speed.
3. Logiwa WMS
Logiwa provides a range of features such as inventory management, order fulfillment, real-time tracking, and advanced reporting to help businesses increase efficiency and productivity in their warehouse operations. This software offers advanced features such as multi-client and multi-warehouse management, and integration with multiple sales channels and shipping carriers, which can help companies to streamline their order fulfillment operations, and manage more complex logistics operations. Additionally, Logiwa WMS also offers an advanced barcode scanning functionality and mobile device compatibility, which allows for real-time inventory tracking and warehouse operations management.
4. Synapse WMS
Synapse WMS provides a range of features such as inventory management, order fulfillment, real-time tracking, and advanced reporting to help businesses increase efficiency and productivity in their warehouse operations. Synapse software offers advanced features such as multi-channel integration, EDI integration, and RFID scanning, which can help companies to streamline their order fulfillment process, and manage more complex logistics operations. Synapse also offers a more robust analytics and reporting functionality, which can help businesses make data-driven decisions about their warehouse operations.
5. 2Ship
This company focuses on leveling the playing field within shipping. Their software will search all carrier rates so you can select the best service for the best price. It is a multi-carrier shipping platform built for eCommerce businesses that help business owners know their products will be shipped in good hands. Plus through their software, you can track shipping from any carrier and you have access to performance indicators to measure their efficiency. Please note, while this is not a WMS software, it is focused on relieving your stress when it comes to your shipments so it’s a worthwhile platform to consider.
What 3PL WMS Software Does Your Business Need
Choosing the right 3PL WMS software requires a strategic approach that involves defining your business objectives, researching different software options, considering scalability, and looking for automation capabilities and integration options. By taking the time to carefully evaluate different options and considering the key factors that are essential to your business, you can ensure that you select a 3PL WMS software that is tailored to your specific needs and will help you achieve desired outcomes such as increased efficiency, reducing costs, and improved performance of your warehouse.
Security Measures in 3PL WMS Software
Cybersecurity and data privacy are major concerns for business owners in many industries. We have all heard news stories about class action lawsuits against businesses that suffered data breaches, leading to data theft that resulted in financial harm to the company’s customers, vendors, or employees. The dangers of data theft are even more serious for companies that, in the course of their work, must store data belonging to many different individuals and businesses. Cybersecurity is important for all businesses, but it is especially important for eCommerce businesses and 3PL providers. To get a sense of how much you stand to lose from data breaches, think about the financial losses your company would suffer if a single item were stolen from your warehouse, and then think about what you would lose if a Social Security number or bank account number got stolen from your company’s devices. The theft of a piece of identifying information or financial data harms your company more than the theft of a pair of sunglasses or a lemon juicer. Now think about how many bank account numbers, credit card numbers, and pieces of identifying information such as Social Security numbers, birth dates, and passwords are stored in your system. Clearly, you have a lot to lose.
Businesses should review their cybersecurity policies periodically, sometimes with the help of cybersecurity consultants. Even though new computer viruses, and new protections against them, are developing all the time, some data security best practices remain consistent across time. For example, cloud-based software is more secure than storing sensitive data on the hard drives of your devices. If you use cloud-based business software, including cloud-based WMS for 3PLs, then your warehouse’s data is safe on the cloud even if hackers are able to breach your company’s devices.
Another way that 3PL providers can protect their data is to require employees to use strong passwords and to update them on a regular basis. For example, the WMS might require each employee to update his or her password after a certain number of logins or every 90 days, whichever happens sooner. It should only accept passwords that are strong. Characteristics of a strong password are that it has at least one capital letter, one lowercase letter, one number, and one special character. The password should be at least eight characters long, and it should not contain numbers in sequence, nor should it include words found in the dictionary. Some WMS for 3PL also have employees set up security questions, which the system prompts them to answer after entering their password. The WMS can propose a list of security questions from which employees can choose, such as, “What street did you live on in third grade?” or “What is your paternal grandmother’s name?” The purpose of these security questions is that the answers to them are unlikely to change (unlike “What is your favorite food?” or “How old is your youngest child?”), but other people are unlikely to be able to guess them or look them up (such as “What city were you born in?” or “When is your wedding anniversary?”).
Two-factor authentication is an increasingly prevalent feature in business software in general and in WMS for 3PL in particular. With two-factor authentication, an employee must confirm, through another device such as a mobile phone, that he or she is trying to sign into a company computer. The leading WMS for 3PL companies offers online support and phone support for questions about security matters relating to the software.
Key Takeaways
The WMS you choose for your company should not only fit your needs but also be easy to use. The goal here is to find software that gives you more power and time back in your day. While the initial setup of any software can be painful, the WMS you choose will likely have a consultant to help walk you through every step of the setup. If you want to speak to an eCommerce WMS expert, come chat with us at ShipHero!
3PL WMS Software FAQs
What is a Tier 1 WMS?
A Tier 1 WMS, or Warehouse Management System, is a type of software that is typically used by larger organizations or those with more complex warehouse operations. These systems tend to have a wide range of functionalities and capabilities and are typically more expensive than other types of WMS software. They are often used by companies that operate multiple warehouses, have a high volume of SKUs or require advanced features like RFID and real-time tracking. They also tend to integrate with other enterprise systems such as ERP, CRM and eCommerce platforms. Tier 1 WMS solutions are often provided by large, well-established software vendors, and are known for their robustness and scalability. They are designed for large companies with a significant investment in warehouse operations and logistics.
What are the Four Types of 3PL?
There are several different types of third-party logistics companies (3PL), but the four main types are:
- Traditional 3PL: These providers offer a wide range of logistics services, including transportation, warehousing, and distribution. They typically handle the entire logistics process from start to finish, taking on the role of a full logistics provider.
- Dedicated contract carriage: These providers focus on transportation services, such as trucking and rail, and manage a dedicated fleet of vehicles for a specific customer. They typically handle all aspects of transportation, including scheduling, routing, and compliance.
- Lead logistics provider: These providers act as a coordinator and managers of logistics services, working with multiple service providers to create a comprehensive logistics solution for a specific customer. They are typically responsible for managing the overall logistics process and coordinating with other service providers.
- Value-added logistics: These providers focus on providing specialized logistics services, such as packaging, assembly, kitting, and labeling. They typically handle only a specific aspect of the logistics process, but they add value to the overall logistics solution by providing specialized services that the customer may not have in-house.
It’s worth noting that some providers may offer a combination of these services and that the line between these categories can sometimes be blurred, depending on the specific 3PL provider and the services they offer.
What Are the Latest Trends in WMS?
The integration of artificial intelligence (AI) and robotics, IoT devices, and cloud technology is revolutionizing the warehouse management system (WMS) industry. AI and machine learning algorithms are used to optimize warehouse operations and provide real-time data and analytics. Robotics are used to automate tasks such as picking, packing, and transportation. And IoT devices allow for real-time monitoring and tracking of inventory and equipment, and cloud-based WMS allows warehouse managers to access their data and control their operations from anywhere at any time and also allows for easy scalability. These trends enable warehouse managers to optimize their operations, improve efficiency, and reduce costs.
Feb 16, 2023 | Blog
E-commerce keeps evolving, and so must businesses. One way to stay ahead is through a discreet shipping service, an approach to fast delivery that promotes privacy. This piece explores the ins and outs of discreet shipping, its role in e-commerce, and its implementation in e-commerce business.
Understanding Discreet Shipping
Discreet shipping refers to concealing a product’s identity during shipping and packaging. Instead of transparency, it leans towards privacy. Discreet packaging is typically white in a plain box, generic packaging, usually unbranded, and any revealing details are left out, protecting the recipient’s privacy throughout.
The Perks of Discreet Shipping for E-commerce
Discreet shipping is a win-win for online sellers and e-commerce businesses for several reasons:
- It safeguards the customers’ privacy when ordering sensitive items.
- It prevents potential negative associations between brands and certain products.
- It enhances the security of the product by reducing the risk of theft or damage.
- It helps avoid potential embarrassment for customers due to explicit labeling.
Why Customers Prefer Discreet Shipping
The rise in the popularity of discreet shipping can be attributed to its ability to provide high levels of privacy for ecommerce businesses, brands and customers. It uses plain, unmarked packaging, a preference for customers who want their purchases to remain private. This boosts customer loyalty and trust in a company, online store or brand.
Discreet shipping and packaging now means more to consumers than just keeping things private. It reflects a shopping experience that respects their needs. Studies show about 90% of customers favor businesses that offer more discreet packages and shipping services, underlining its role in shaping consumer preferences.
What types of products benefit from being shipped discreetly?
Discrete Shipping offers customers the privacy and respect they deserve. This important aspect can help an e-commerce company establish credibility by identifying and addressing customers’ needs. There are numerous product categories that require absolute confidentiality and request discreet shipping in all their delivery procedures.
Types of Discreet Packaging
Various discreet packaging options can also be used by businesses in a variety of ways. Diligent packaging used for valuable items within an organization can vary depending on its specific needs and preferences. For more flexibility, some companies opt for plain packaging and shipping labels while others may prefer more secure packaging.
Successful Applications of Discreet Shipping
Some companies have managed to integrate discreet shipping smoothly into their operations.
- Amazon: Amazon allows customers to pick a specific delivery day via ‘Amazon Day’, ensuring privacy for customers who prefer receiving their packages personally. Adult product companies like LELO use unbranded boxes and a non-descriptive business name for shipping, safeguarding customer privacy.
- Subscription Boxes: Companies like Stitch Fix, Birchbox, or Blue Apron employ discreet shipping methods. While they may have a logo on the box, the contents are not immediately discernible. These brands have managed to make their packaging a part of the overall experience while maintaining a certain level of discretion.
- Fitness Supplements: Businesses selling fitness supplements, such as protein powders or vitamins, often use discreet shipping to maintain customer privacy. Some customers may prefer to keep their fitness routines private, and companies like MyProtein and Bodybuilding.com respect that by providing unbranded or subtly branded packages.
- Maternity and Baby Products: Companies like The Honest Company, which sells baby products and diapers, often employ discreet shipping. This prevents any possible awkwardness for parents who may not have publicly shared the news about their pregnancy or a new baby.
- Adult Novelties: One of the biggest industries using discreet shipping is adult novelties. Companies like Lovehoney and Adam & Eve have made it a selling point to offer discreet shipping. Given the intimate nature of their products, these companies prioritize customer privacy. Their packages arrive in plain boxes or envelopes without any external hints to the package’s contents.
- Tech Companies: Businesses selling high-value tech products often use discreet shipping to avoid theft during the transit process. Companies like Apple often ship their products in plain packaging, especially for their higher-priced items such as iPhones or Macbooks.
These examples show how various sectors have successfully implemented discreet shipping, both for extra cost, enhancing customer experience and maintaining privacy. It’s a strategy that proves beneficial across industries.
The Influence of Discreet Shipping
Discreet shipping is essential in industries with high value products like healthcare, adult products, personal items, and jewelry, where privacy is vital. Many e-commerce businesses use this approach not only to respect their customers’ privacy but also to establish a lasting impression of their brand or online store’s quality and credibility. Discreet shipping, coupled with expedited shipping, gives an unmatched customer experience.
The Logistics of Discreet Shipping
Discreet shipping usually involves using plain, unbranded mailer boxes. Shipping labels don’t provide any details about the contents of packages or bubble mailers themselves, maintaining mystery and privacy. To add another layer of privacy, some businesses add extra packaging inside the mailer box to prevent any revealing noise.
Overcoming the Obstacles in Discreet Shipping
While offering discreet shipping hides many benefits, discreet shipping presents its own challenges. Companies with high value items might find it hard to showcase their brand using unmarked packaging shipped discreetly. Extra costs for special packaging and logistical issues are other hurdles. However, strategic planning and competent supply chain management can help tackle these challenges. Businesses can think of innovative ways to include branding subtly or partner with experienced 3PL providers for streamlined discreet shipping.
Navigating Legal Boundaries in Discreet Shipping
When implementing a discreet shipping approach for pharmaceutical products, companies must keep in mind the legal rules that guide this process. This might include particular laws related to shipping of medical devices, supplies or adult products. Balancing legal compliance and customer privacy is key, especially as leaving out sender details on the shipping box can create legal roadblocks if returns or disputes occur.
Ecommerce opportunity: Product categories and sales pages
Many businesses have a discreet shipping page or tag to their checkout page for adult goods that can let visitors view adult goods in a single location. So if you are looking to find out whether companies offer discreet delivery or not and you want to see how it works, consider adding “service” to your search for the information you require. This could also make it a great option for sellers in the ecommerce space. If you’d like to explain your own discreet shipping labels or policy to the readers of a page, try including examples in your list of products below.
UPS offers discreetly delivered items to its customers without additional charges. Major couriers maintain an extreme degree of confidentiality, allowing deliverymen to know exactly when your order arrived. It is shipped in a standard box that includes only the client’ s name and address. The box and packaging itself may even be branded to protect customers’ privacy. They follow these practices even for international shipping.
FedEx charges no additional fees for discreet shipping and does not ship to PO Boxes. Instead, you are delivered your package using a plain box that only contains your company logo. Moreover, if delivery people think the surroundings are unsafe, they can return the product to another location to test the situation. This was confirmed in FedEx courier policies. Fedex ships provide you special offers for discreet services such as the following:
Leveraging 3PL Providers for Effective Discreet Packaging and Shipping
3PL providers, with their deep-rooted expertise in logistics and fulfillment, are invaluable to discreet package shipping. They can support businesses with unbranded packaging materials, courier companies maintain discretion during packaging, and handle returns while ensuring privacy. Working with a reliable 3PL provider allows businesses to offer discreet package shipping without heavy investment in new infrastructure or materials.
The Importance of Technology and Discreet Billing in Discreet Shipping Services
Technology has played a crucial role in perfecting discreet packaging and shipping. With innovative packaging solutions and safety measures for electronic devices like delivery signatures, businesses can ensure their products remain concealed while in transit. Additionally, discreet billing is an essential counterpart to the discreet packaging and discreet shipping work. It maintains privacy for customers even after purchase by keeping billing details as nondescript as possible.
Wrapping Up
Discreet shipping has become a key player in the whole ecommerce business i-commerce scene. It’s an investment that leads to improved customer trust and repeat business for the ecommerce business merchants. With the right expertise, ecommerce businesses can tailor discreet shipping to their needs, ultimately improving customer satisfaction and their bottom line.
Feb 16, 2023 | Blog
As eCommerce needs continue to evolve, choosing the right 3PL consultant has become increasingly important for business owners. A good 3PL consultancy will guide you through selecting the best features and services, understanding pricing structures, managing your inventory, and creating efficient supply chain processes beyond contract negotiations with carriers and fulfillment centers.
When considering potential consultants, keeping these strategic elements in mind can help you land one that makes sense for your specific situation. This blog post will unpack How to Choose the Best 3PL Consultant options to fit your business needs!
What is Third-Party Logistics?
Third-Party Logistics (3PL) is a business outsourcing service in which a company contracts out its logistics and distribution functions to another company. 3PL providers handle many logistics functions, such as transportation, warehousing, and inventory management, allowing the outsourcing company to focus on its core competencies. 3PL providers can also offer value-added services such as packaging, assembly, and reverse logistics.
What are 3PL Consultants?
3PL consultants are professionals who specialize in helping companies optimize their logistics operations by using third-party logistics providers. They work with companies to understand their logistics needs and help them find the right 3PL provider to meet them.
Experienced consultants typically have a deep understanding of the logistics industry and can provide a range of services and resources, such as:
- Assessing a company’s current logistics operations to identify areas for improvement.
- Identifying the most appropriate 3PL services for a company’s needs.
- Helping a company evaluate and select the best 3PL provider from a group of candidates.
- Negotiating contracts and service-level agreements with 3PL providers.
- Managing the implementation of new logistics processes and systems.
- Monitoring the performance of 3PL providers to ensure they are meeting the company’s expectations.
How Do 3PL Consultants Work?
3PL consultants typically work with companies in several key stages:
- Initial Assessment: The consultant will conduct an initial assessment of the company’s current logistics operations, including key questions regarding transportation, warehousing, inventory management, and other logistics-related activities. This assessment will help the consultant understand the company’s specific needs and identify areas for improvement while planning.
- Recommendations: Based on the assessment process, the consultant will recommend how the company can improve its logistics operations using third-party logistics providers. This may include identifying the most appropriate 3PL services for the company, such as transportation management, warehousing, or inventory management.
- Provider Evaluation: The consultant will then help the company evaluate and select the best 3PL provider from a group of candidates. This may involve reviewing the providers’ capabilities, costs, references, and conducting site visits.
- Implementation: Once a 3PL provider has been selected, the consultant will help the company implement new logistics processes and systems. This may include negotiating contracts and service-level agreements with the provider and managing the transition.
- Monitoring: After the implementation, the consultant will monitor the performance of the 3PL provider to ensure they are meeting the company’s expectations and that the operation of the new logistics is running smoothly. The consultant may also make additional recommendations for improvements as needed.
Ways to Work with a 3PL Consultant
For those who would like comprehensive logistics operations management, full-service consulting is the way to go. Working with a 3PL consulting service can be tailored to address a client’s specific needs and goals. This covers everything from the initial assessment and planning to implementation and ongoing monitoring of the company’s operations.
For projects that require short-term assistance, project-based consulting works well for quick results. Advisory services give the advantage of having a specialist available when needed throughout an organization’s lifetime, while retainer-based consulting locks in a set number of hours per month from the consultant for support and advice. Whatever need arises, there is likely an option to match it!
How to Use a 3PL Consultant to Find a New 3PL Vendor
When evaluating and selecting a new 3PL vendor, a 3PL consultant typically uses a set of objective criteria to ensure that the vendor is a good fit for the company’s specific needs.
Objectives
- Services Offered: The consultant will evaluate the vendor’s capabilities and services, such as transportation, warehousing, inventory management, packaging, assembly, and reverse logistics, to ensure that they align with the company’s needs.
- Costs: The consultant will review the vendor’s expenses, including transportation rates, warehousing fees, and other charges, to ensure that they are competitive and in line with industry standards.
- Quality and Reliability: The consultant will evaluate the vendor’s reputation for quality and reliability, including the quality of their equipment and facilities, the reliability of their transportation fleet, and their track record for meeting or exceeding service level agreements.
- Technology: The consultant will assess the vendor’s technology capabilities, including their warehouse management systems, transportation management systems, and other logistics-related technologies, to ensure they can provide the level of automation and visibility the company requires.
- Scalability: The consultant will consider the vendor’s ability to scale their services up or down to meet the company’s changing logistics needs over time.
- Compliance: The consultant will check if the vendor complies with industry regulations and standards, such as safety and transportation regulations, customs laws, and environmental standards.
- Customer Service: The consultant will evaluate the vendor’s customer onboarding and service, including their responsiveness, ability to communicate effectively, and willingness to work with the company to resolve any issues that may arise.
- Location: The consultant will consider the vendor’s location, including whether they have multiple warehouses or transportation hubs that are geographically well-suited to the company’s needs.
These criteria will help the consultant ensure that the vendor is a good fit for the company’s specific needs and can help the company achieve its logistics goals.
Scope
The scope of a 3PL consultant’s work is comprehensive, ranging from helping companies assess the pros and cons of outsourcing versus insourcing to evaluating existing 3PL relationships and improving upon them to tendering and negotiating with new potential providers.
With their expertise and market knowledge of logistics, 3PL consultants are equipped to provide insights into various solutions that can help businesses streamline their operational efficiency and reduce warehouse and fulfillment services costs. By assessing and asking the right questions and selecting and using the right contract logistics solutions that match the needs of a specific business, these consultants ensure businesses can remain competitive in the ever-evolving market.
Methodology
A 3PL consultant can be essential in helping a company find the right vendor for their logistics needs. To ensure that the selected vendor is the best fit, the consultant follows a disciplined methodology that begins with defining the company’s requirements and researching and identifying potential vendors.
The consultant then evaluates and shortlists them, issuing a Request for Proposal (RFP) to solicit detailed responses from each. Once these are evaluated, the consultant selects the best vendor and helps with the implementation process.
Finally, they review and monitor the performance of the new vendor toward meeting business goals. In this way, companies that use 3PL consultants gain access to an accounting professional who can help them make informed decisions regarding their supply chain strategies, goals, and objectives.
Deliverables
The deliverables for a 3PL consultant when selecting a vendor can vary depending on the specific project and the company’s needs. However, in general, a consultant’s deliverables may include the following:
- Initial Assessment Report: This report will summarize the consultant’s initial assessment of the company’s current distribution operations and identify areas for improvement.
- Vendor Shortlist A list of potential 3PL vendors that have been researched, evaluated and shortlisted by the consultant as suitable for the company’s logistics needs.
- Request for Proposal (RFP) Document: The shortlisted vendors will send a detailed description of the company’s requirements, expected service levels, and other relevant information.
- Vendor Evaluation Report: A report summarizing the consultant’s evaluations of the potential vendors, including an assessment of their services offered, costs, quality and reliability, technology, scalability, compliance, customer service levels, and location.
- Vendor Selection Report: A report recommending the best vendor from the shortlist, including the rationale for the selection and any negotiations or agreements made with the vendor.
- Implementation Plan: An implementation assistance plan outlining the steps and timelines for development and implementing the new logistics operation, including transferring data and inventory and coordinating any necessary training or support.
- Performance Monitoring Report: A report on the ongoing performance of the new 3PL vendor, including a review of the vendor’s service level agreements and any recommendations for improvements.
- Final Report: A final report summarizing the consultant’s work, including an overview of the entire process, an assessment of the results achieved, and any recommendations for future improvements.
How to Choose the Best 3PL Consultants
Choosing the best 3PL consultant for your company can be a challenging task, but there are several key factors to consider that can help you make an informed decision.
- Experience: Look for a consultant with a proven track record of market knowledge and success in logistics. They should have a deep understanding of the industry, including the latest trends and technologies, and a history of helping companies optimize their logistics operations.
- Industry Knowledge: Look for a consultant who has a thorough understanding of your industry and the specific logistics requirements of your business. This will help ensure that they can provide relevant recommendations and solutions.
- Technology Expertise: Look for a consultant with experience and expertise in logistics-related technology, such as warehouse and transportation management systems. This will ensure that the consultant can help you select a 3PL vendor to meet your technology needs.
- Communication and Collaboration: Look for a consultant who can communicate effectively and collaborate with your team. They should be able to understand your needs and provide relevant and actionable recommendations.
- Flexibility: Look for a consultant who is flexible and willing to adapt their approach to your specific needs. They should be open to feedback and ready to make adjustments as needed.
- Reputation: Look for a consultant with a good reputation in the industry. They should have a strong network of contacts and good references that speak to their ability to deliver results.
Capability Evaluation During the 3PL Selection Process
Selecting the right 3PL partner for a company’s logistics operations is an important task that should not be taken lightly. A consultant must have both IT and Industry IQ to choose the most suitable vendor.
IoT IQ ensures that the selected vendor has all the technical capabilities needed, such as integration with existing systems, security, scalability, support, and maintenance.
Meanwhile, industry knowledge is necessary to recommend suitable vendors that align with the company’s goals and evaluate their performance against competitors in the market.
A consultant possessing a strong technical understanding and industry insights can help make sure that the right 3PL partner is chosen and guarantee successful collaboration between both parties.
Key Takeaways
Here are some key takeaways from the information provided about 3PL consultants and the 3PL selection process:
- 3PL consultants help companies optimize their distribution operations by selecting and managing 3PL vendors.
- A 3PL consultant can work with a company in different ways depending on the company’s specific needs and goals, such as full-service consulting, project-based consulting, advisory services, and retainer-based consulting.
- When evaluating and selecting a new 3PL vendor, a 3PL consultant typically uses a set of objective criteria such as services offered, costs, quality and reliability, technology, scalability, compliance, customer service, and location.
- The methodology of a 3PL consultant when selecting a new 3PL vendor typically includes several key steps such as defining requirements, researching and identifying potential vendors, evaluating and shortlisting them, issuing a Request for Proposal (RFP), evaluating vendor responses, selecting the best vendor, assisting in the implementation process and monitoring the performance of the new vendor.
- Deliverables can vary depending on the specific project and the company’s needs but typically include reports, documents, and plans that help the company evaluate, select, implement, and monitor its new 3PL vendor.
- IT IQ plays a crucial role in the 3PL selection process by ensuring that the selected vendor has the necessary technical capabilities to meet the company’s needs, including integrating existing systems, security, scalability, and support and maintenance.
- Industry IQ plays a critical role in the 3PL selection process by ensuring that the consultant understands the logistics industry and the company’s specific requirements and can provide valuable insights and recommendations throughout the selection process.
- When choosing the best 3PL consultant, consider factors such as experience, industry knowledge, technology expertise, communication and collaboration, flexibility, and reputation.
3PL Consulting Efficiency
Businesses need to look for a 3PL consulting firm that can provide them with an integrated eCommerce logistics solution. This will allow the company to manage its inventory better, understand pricing structures, and create efficient supply chain processes. Choosing the best 3PL consultant can be overwhelming, with so many options available. But by considering these strategic elements, you can find a consultancy that fits your business needs perfectly!
3PL Consultants FAQs
What Does 3PL Stand for?
A 3PL (third-party logistics) provider offers outsourced logistics services, which involve the management of one or more facets of procurement and fulfillment activities.
What is 3PL Consulting?
3PL consulting evaluates the economics of outsourcing some or all of the business’s warehouse operations to a third-party logistics provider.
What is the Best Third-Party Logistics 3PL Software?
ShipHero is the best third-party logistics (3PL) software for businesses looking to be maximally efficient, cut costs, and offer complete customer visibility. ShipHero’s WMS solution can dramatically amp up your warehouse output by 30% while substantially reducing mis-ships and smoothing task optimization, simplifying your shipping processes. With ShipHero, you’ll have the tools to navigate an increasingly competitive industry successfully while being equipped with reliable insight into every action to improve operations, build customer satisfaction, and ensure your business reaches its full potential.
How Do You Evaluate the ROI of 3PL Consultants?
To evaluate the ROI of 3PL consultants, assess the cost savings and operational efficiencies they bring to your business. This includes improvements in supply chain processes, reductions in shipping costs, better inventory management, and increased customer satisfaction.
A successful 3PL consultant should help streamline your logistics to result in long-term savings and growth.
What is a 3PL Specialist?
A 3PL specialist is an expert in third-party logistics, focusing on optimizing the supply chain by selecting, managing, and overseeing relationships with 3PL providers. They help businesses improve their logistics operations to ensure efficient inventory management, transportation, and fulfillment, all while minimizing costs and enhancing service quality.
Feb 16, 2023 | Blog
Streamlining operational processes and maximizing efficiency is critical to a successful business model. Using 3PL Inventory Management Software, companies can manage their products and receive orders accurately – all while maintaining oversight of their entire supply chain system! Read more about how this innovative technology helps businesses flourish.
What is a 3PL Inventory System?
A 3PL (Third-Party Logistics) inventory system offers a sustainable cost-saving solution for businesses that may otherwise have difficulty managing and maintaining their inventory. By outsourcing these tasks to a third-party logistics provider, companies gain access to specialized resources, including advanced inventory management tools and tracking systems.
The advantages of using a 3PL inventory system are numerous, from reducing overhead costs to freeing up internal resources for more strategic projects. Ultimately, this system can maximize efficiency and optimize processes for higher-quality outcomes.
What is 3PL Inventory Management Software?
3PL inventory management software provides various tools and features to help third-party logistics providers manage a company’s inventory more effectively. These solutions streamline processes, providing an integrated and automated business workflow for receiving and tracking inventory, managing orders, creating shipping labels, and producing reports.
The software also brings real-time inventory management visibility into inventory levels from an array of data points, so companies can take advantage of important reorder points or unintentionally order beyond their needs. This offers companies greater efficiency in their supply chain operations and order fulfillment services.
Benefits of 3PL Inventory Management Software
Using 3PL inventory management software has numerous advantages to help your business grow. When utilizing this software, you can enjoy improved accuracy, efficiency, visibility, cost savings, scalability, and flexibility. With real-time data tracking of your inventory levels, you can reduce stockouts or overstock by making informed decisions promptly. Outsourcing your warehouse and inventory management saves costs associated with maintaining them within your organization. Furthermore, the software is designed to quickly scale up or down as needed to accommodate business growth or seasonal fluctuations in demand. And it is also very customizable so that no matter what your business needs are, the software has you covered!
Reduced Costs on Both Ends
3PL (Third-Party Logistics) inventory software allows providers to manage and track their inventory, which can help to reduce costs in several ways. For example, the software can help to minimize stockouts by providing real-time visibility into inventory levels, which can help to avoid lost sales and the need to rush-order items.
Additionally, the software can help to optimize inventory levels by providing insights into sales trends and demand patterns, which can help to prevent overstocking. This can reduce storage costs and minimize the risk of obsolete inventory.
For clients, using 3PL inventory software can also help reduce costs by providing real-time visibility into inventory levels and delivery status. This helps to improve planning and forecasting, which helps avoid stockouts and minimize the need for emergency shipments.
Additionally, the software can optimize order processing and fulfillment, which helps to speed up delivery times and reduce transportation costs.
Time Saved Through Automation
3PL (Third-Party Logistics) inventory software can save time by automating many tasks involved in managing and tracking inventory. Some examples of the basic capabilities of automation include:
- Automated inventory tracking: The software can automatically update inventory levels and track stock movements in real time, eliminating the need for manual data entry and reducing the risk of errors.
- Automated ordering: The software can automatically generate purchase orders based on predefined reorder points, reducing the need for manual order placement.
- Automated receiving and put away: The software can automatically process receiving and put away transactions using barcode scanning and RFID technology, reducing the time required for manual data entry and searching.
- Automated picking and packing: The software can automate the pick and pack process and optimize it for speed, accuracy, and efficiency by using different techniques such as wave picking, zone picking, and more.
- Automated shipping: The software can automatically generate shipping labels and documents, reducing the time required for manual data entry and preparation.
- Automated reporting: The software can automatically generate real-time reports on inventory levels, stock movements, sales trends, and more, providing users with the data they need to make informed decisions quickly.
Overall, the automation features of 3PL inventory software can streamline inventory management, improve efficiency, and save time by reducing the need for manual data entry and repetitive tasks.
Customization and Scalability
3PL (Third-Party Logistics) inventory software can offer customization and scalability in several ways:
- Customizable workflows: Many 3PL inventory software solutions offer customizable workflows that can be configured to match the specific needs and processes of the user. For example, the software can be configured to handle different types of inventory, such as serialized or lot-controlled items, and can be configured to handle different types of transactions, such as receiving, put away, picking, packing, and shipping.
- Customizable reports: Many 3PL inventory software solutions offer customizable reporting capabilities that allow users to create reports tailored to their specific needs. Users can create reports that provide real-time data on inventory levels, stock movements, sales trends, and more.
- Scalability: 3PL inventory software is designed to scale with a company’s growing needs. It can handle different inventory volumes, transactions, and several users. Many software solutions can be easily integrated with other systems and configured to support multiple locations, which can help support a business’s growth.
- Integration with other systems: 3PL inventory software can be integrated with other systems such as accounting, CRM, WMS, TMS, and more. This can help streamline processes and improve efficiency by eliminating manual data entry and reconciliation.
Overall, 3PL inventory software can offer customization and scalability by providing customizable workflows, reporting capabilities, scalability, and integration with other systems, which can support a business’s growth and changing needs.
Lower Risk for Error
3PL (Third-Party Logistics) inventory software can offer lower risk for error in several ways:
- Automated inventory tracking: By automatically updating inventory levels and tracking stock movements in real-time, the software eliminates the need for manual data entry, reducing the risk of errors.
- Barcode and RFID scanning: By using barcode and RFID scanning technology, the software can automatically process receiving, put away, picking, and packing tasks, which can help to ensure accuracy and reduce the risk of errors.
- Real-time visibility: The software provides real-time inventory management visibility and stock movements, which can help minimize stockouts and overstock, reducing the risk of errors in inventory management.
- Error checking: The software can include features that automatically detect and alert users to potential errors, such as duplicate or missing data.
- Customizable workflows: By offering customizable workflows that can be configured to match the specific needs and processes of the user, the software can help to reduce the risk of errors by ensuring that procedures are followed correctly.
- Audit trails: The software can also provide an audit trail of all transactions, which can be used to identify and correct errors and track inventory movements.
Overall, by providing automated inventory tracking, barcode, and RFID scanning, real-time visibility, error checking, customizable workflows, and audit trails, 3PL inventory software can help to reduce the risk of errors in inventory management.
Insight into Your Clients’ Business
3PL (third-party logistics) inventory software can give insight into a client’s business by providing detailed information about their inventory levels, sales data, and shipping and receiving information. This can include real-time tracking of inventory movements, alerts for low stock levels, and reporting on sales trends and customer behavior.
The software may also provide information on the cost and efficiency of logistics operations, allowing the client to identify areas for improvement and make informed decisions about their supply chain management. Overall, 3PL inventory software can provide valuable insights into clients’ business complex operations and help them optimize their inventory and logistics processes.
How Does 3PL Software Help eCommerce Businesses?
Cost Reduction
3PL (third-party logistics) software can help online retailers’ businesses with cost reduction in several ways:
- Automation of logistics processes: 3PL software can automate many logistics processes, such as order processing, shipping, and tracking, which can help reduce labor costs.
- Route optimization: 3PL software can optimize logistics routes to minimize transportation costs.
- Volume discounts: 3PL software can help eCommerce businesses negotiate volume discount rates with logistics providers, reducing shipping costs.
- Inventory management: 3PL software can provide real-time inventory tracking and management, helping eCommerce businesses avoid stockouts and overstocking, which can reduce inventory carrying costs.
- Reduced errors: 3PL software can help reduce mistakes in logistics processes, saving money by reducing the need for rework and returns.
Increased Transparency
3PL (third-party logistics) software can help online retailers’ businesses increase transparency in several ways:
- Real-time tracking: 3PL software can provide real-time tracking of orders and shipments, allowing eCommerce businesses to monitor their logistics processes and provide accurate delivery estimates to customers.
- Inventory management: 3PL software can provide real-time inventory tracking, allowing eCommerce businesses a clear view of their inventory levels.
- Data analytics: 3PL software can provide data analytics and reporting capabilities, allowing eCommerce businesses to gain insights into their logistics processes and identify areas for improvement.
- Electronic data interchange (EDI): 3PL software can integrate with EDI systems, allowing eCommerce businesses to exchange data with logistics providers and other partners in a standardized format, increasing transparency and reducing errors.
- Access to information: 3PL software can provide a centralized platform that allows eCommerce businesses to access all the information they need about their logistics processes in one place, increasing transparency and making it easier to identify issues and make decisions.
Customer Experience
3PL (third-party logistics) software can help eCommerce businesses improve customer experience in several ways:
- Real-time tracking: 3PL software can provide real-time tracking of orders and shipments, allowing eCommerce businesses to provide accurate delivery estimates to customers and keep them informed about the status of their orders.
- Automation of logistics processes: 3PL software can automate many logistics processes, such as route optimization, order processing, shipping, and tracking, which can help reduce the chances of errors and improve delivery times.
- Inventory management: 3PL software can provide real-time inventory tracking and management, helping eCommerce businesses avoid stockouts and overstocking, which can improve availability and reduce delivery times.
- Returns management: 3PL software can automate returns management processes, making it easier for customers to return items and reducing the time it takes to process returns.
- Customer service: 3PL software can integrate with customer service platforms, providing customer service representatives with the information they need to quickly and accurately resolve customer inquiries and complaints.
Real-Time Visibility
3PL (third-party logistics) software can help eCommerce businesses gain real-time visibility into their logistics processes in several ways:
- Real-time tracking: 3PL software can provide real-time tracking of orders and shipments, allowing eCommerce businesses to monitor the status of their logistics processes and respond quickly to any issues.
- Inventory management: 3PL software can provide real-time inventory tracking, allowing eCommerce businesses to have a clear view of their inventory levels and to make informed decisions about inventory management.
- Data analytics: 3PL software can provide data analytics and reporting capabilities, allowing eCommerce businesses to gain insights into their logistics processes and identify areas for improvement.
- Electronic data interchange (EDI): 3PL software can integrate with EDI systems, allowing eCommerce businesses to exchange data with logistics providers and other partners in a standardized format, increasing transparency and reducing errors.
- Access to information: 3PL software can provide a centralized platform that allows eCommerce businesses to access all the information they need about their logistics processes in one place, increasing visibility and making it easier to identify issues and make decisions.
The Three Types of Logistics Management Software
Warehouse Management Systems
Warehouse management software (WMS) is a third-party logistics software application that helps businesses manage and track inventory levels, orders, sales, and deliveries within a warehouse or distribution center. It is designed to support the day-to-day operations of a warehouse by providing real-time data and insights on inventory levels, stock movements, and order fulfillment.
A warehouse management system can also be integrated with other systems, such as transportation management systems (TMS) and supply chain management systems (SCM), to provide a more comprehensive view of the entire supply chain.
Some key features of a WMS include inventory tracking, barcode scanning, order fulfillment, and real-time data reporting. It also helps to improve warehouse efficiency, reduce labor costs, and increase customer satisfaction by providing accurate and timely information.
SCM Suites
SCM suites are software solutions that provide businesses with a comprehensive view of their supply chain. They typically include a combination of different software applications, such as transportation management systems (TMS), warehouse management systems (WMS), and enterprise resource planning (ERP) systems, that are integrated to provide a seamless and unified view of all supply chain activities.
SCM suites are designed to help businesses manage and optimize the flow of goods, services, and information from suppliers to customers. They can help companies to automate and streamline supply chain processes, such as demand forecasting, production planning, inventory management, transportation management, and order fulfillment. SCM suites can also provide real-time data and insights on supply chain performance, enabling businesses to make data-driven decisions and improve their overall supply chain efficiency.
ERP Systems
Enterprise resource planning (ERP) systems are software solutions that help businesses manage and automate their core business processes. They are designed to integrate and streamline various business functions, such as finance, accounting, human resources, procurement, and manufacturing, into a unified system.
ERP systems typically include modules for managing financials, accounting, procurement, manufacturing, inventory, and sales, among others. They also provide real-time data and insights on business performance, enabling businesses to make data-driven decisions and improve their overall efficiency.
ERP systems can help businesses automate and streamline operations, improve data accuracy and visibility, and increase efficiency and productivity. They can also help companies to manage and control their financials, including budgeting, forecasting, and reporting.
ERP systems can be deployed on-premises or in the cloud and can be customized to meet the specific needs of a business. Some examples of ERP systems include SAP, Oracle, Microsoft Dynamics, and Infor.
Key Differences
WMS (Warehouse Management Systems), SCM (Supply Chain Management Systems), and ERP (Enterprise Resource Planning Systems) are all software solutions that help businesses manage and automate various aspects of their operations. However, they each have distinct areas of focus and functionality:
- WMS: A Warehouse Management System (WMS) primarily focuses on managing and tracking inventory levels, orders, sales, and deliveries within a warehouse. It provides real-time data and insights on inventory levels, stock movements, and order fulfillment.
- SCM: A Supply Chain Management System (SCM) is focused on the planning, execution, and control of the flow of goods, services, and information from suppliers to customers. It helps businesses manage and optimize the entire supply chain, including demand forecasting, production planning, inventory management, transportation management, and order fulfillment processes.
- ERP: An Enterprise Resource Planning (ERP) system is focused on managing and automating a business’s core business processes across multiple departments, such as finance, accounting, human resources, procurement, and manufacturing. It provides a unified view of all business operations and helps businesses automate and streamline their operations, improve data accuracy and visibility, and increase efficiency and productivity.
In summary, WMS deals primarily with warehouse and shipping operations, SCM deals with the entire supply chain management, and ERP deals with the core business operations across multiple departments in an organization.
Key Takeaways
Some key takeaways from 3PL Inventory Management Software include:
- Real-time inventory visibility: 3PL Inventory Management Software provides real-time data and insights across multiple locations, enabling businesses to make data-driven decisions and optimize their inventory levels.
- Automated order fulfillment software: 3PL Inventory Management Software can automate receiving, processing, and shipping orders, reducing errors and increasing efficiency.
- Integrated with transportation management systems: 3PL Inventory Management Software is often integrated with transportation management systems (TMS) to provide a more comprehensive view of the entire supply chain, from inventory to delivery.
- Improved logistics and supply chain operations: 3PL Inventory Management software can help businesses improve their logistics and supply chain operations by streamlining processes and increasing efficiency.
- Scalable and flexible: 3PL Inventory Management software is often flexible and scalable, allowing businesses to adapt and grow their operations as needed.
- Cloud-based and accessible remotely: Many 3PL Inventory Management software are cloud-based and can be accessed remotely, enabling businesses to manage their inventory and logistics from anywhere.
3PL Inventory Management Software FAQs
Is 3PL Software?
3PL, or Third-Party Logistics, refers to using a third-party logistics provider to outsource logistics and distribution functions for a company. It is not software but a business service that can be managed through software. Examples of logistics software include cloud-based warehouse management solutions and transportation and supply chain management systems.
What Is the Role of 3PL?
The role of a 3PL or third-party logistics company is to outsource logistics and distribution functions for a company. This can include warehousing, transportation, inventory management, etc.
By using a 3PL, companies can focus on core competencies and leave logistics to experts. 3PLs often have economies of scale and access to resources that allow them to provide logistics services more efficiently and at a lower cost than the company could.
What Does a Warehouse Management System Do?
A warehouse management system (WMS) is a software application that helps companies manage and optimize their warehouse operations. It helps to automate and streamline processes such as inventory management, order fulfillment, shipping and receiving, and more.
The main functions of a smart warehouse management system include the following:
- Inventory management: tracking the location, quantity, and status of products in the warehouse.
- Order fulfillment software: automating the process of picking, packing, and shipping orders.
- Shipping and receiving: tracking and managing inbound and outbound shipments.
- Barcode scanning and RFID: Automating data capture for inventory management and tracking.
- Reporting tools and analytics: Generating reports and metrics on warehouse performance and inventory levels.
- Automated Storage and Retrieval Systems (ASRS) and Conveyor systems integration.
A warehouse management system can help companies improve the accuracy and efficiency of their warehouse operations, reduce costs, and improve customer service.
Feb 16, 2023 | Blog
As the eCommerce and warehouse space continues to expand, more 3PL software cloud-based solutions are available. With so many options on the market, it can be hard to know which is right for your business needs. We’ve compiled the best cloud-based 3PL software to keep warehouses operating at peak efficiency.
What is 3PL Cloud Software?
3PL Cloud Software is a revolutionary tool that 3PL companies can use to turbocharge their operations. With it, 3PL professionals can remotely access the software from any location with an internet connection and manage their inventory, logistics, and transportation effortlessly. And 3PL Cloud Software isn’t all business as usual — it comes with some real boosters such as real-time tracking, automated reporting, and integration with other systems and platforms that make the 3PL process more efficient.
Best 3PL Cloud Software
1. ShipHero
ShipHero is a leader in powerful shipping software and fulfillment solutions. Offering ways to unlock growth potential for emerging brands and take existing business success even further. Their one-click integrations with major online marketplaces help create convenient end-to-end checkout experiences that give customers options when shopping. ShipHero’s reliable partner programs offer the benefit of extensive reseller support, including Shopify Plus certification – making them second to none in the eCommerce market!
Key Features:
- Eliminate the need for costly and time-consuming integrations with shipping carriers.
- Get up and running quickly with our pre-built, cloud-based warehouse management system.
- Streamline your warehouse operations with powerful inventory management features.
- Enjoy a high degree of process accountability and transparency.
2. Fishbowl
Fishbowl’s manufacturing and inventory system offers SMBs the opportunity to revolutionize their processes, increase efficiency, and maximize savings with real-time stock updates. Leverage its powerful control features to give your SMB a competitive edge!
Key Features:
- Reduce inventory stockouts and overages.
- Improve customer service with shorter lead times.
- Make better production decisions with real-time data.
- Streamline purchasing and raw materials management.
3. Infoplus
Infoplus WMS is a powerful warehouse management system tailored to streamline the operations of small and midsize 3PLs, eCommerce Retailers, and Wholesalers. Stay in control with real-time inventory insights across your entire network while optimizing tasks such as shipping and fulfillment!
Key Features:
- Streamline processes for different lines of business under a single software.
- Produce products on demand with print-on-demand capabilities.
- Create and manage unique workflows for iOS or Android devices.
- Handle eCommerce bundles and flash sales with Kit On Demand.
4. Shipedge
Shipedge offers an all-inclusive warehouse management solution for enterprises of any size dealing with various products. This complete warehouse management system technology drastically simplifies inventory tracking and fulfillment automation processes and even provides QuickBooks integration capabilities to streamline operations.
Key Features:
- Maintain control of inventory and orders with easy-to-use tools.
- Reduce the amount of time spent on administrative tasks.
- Ensure the business is running as efficiently as possible.
- Real-time insights into what’s selling, what needs to be restocked, and more.
5. Synapse WMS
Zethcon’s Synapse warehouse management solution is a leading solution for empowering small and midsize businesses by empowering them with advanced warehouse management capabilities. This robust 3PL-centric system works on various platforms, including Mac, Android, and Windows, making it accessible to all organizations regardless of their IT environment.
Key Features:
- Reduce or eliminate data entry errors with 3pl-centric features.
- Integrate with other systems seamlessly.
- Import large volumes of data quickly and easily.
- Get help from warehouse management experts to plan and deploy your solution.
Benefits of Third-Party Logistics Software
Companies that use cloud-based warehouse management solutions can gain many benefits, including:
- Increased Efficiency: Using third-party logistics software can streamline several fulfillment operations, such as tracking and reporting, saving time and reducing errors. In addition, it can help companies ship and handle a much higher volume of orders while providing a higher accuracy in shipments.
- Centralized Visibility: By utilizing 3PL software, companies can monitor the status of orders and shipments with complete visibility and make adjustments when necessary. As a result, companies can identify problems faster and resolve them more efficiently.
- Better Inventory Management: Using 3PL warehouse management software, companies can track inventory levels and manage stock, preventing stockouts and overstocks.
- Cost Effective: Companies can reduce costs by optimizing logistics processes and identifying opportunities to improve logistics processes with third-party logistics software. Suppliers and carriers may also be able to negotiate better rates.
- Improved Customer Service: By providing real-time tracking and delivery updates and handling customer inquiries and complaints more efficiently, 3PL software can help companies improve customer service.
- Integrations: Integration with other systems, such as ERP, accounting software, CRM, etc., is common in most 3PL solutions. By doing this, the company can better understand its business and make more informed decisions.
- Scalability: Businesses of all sizes can easily use 3PL software because it can scale up for fast-growing businesses or down as their needs change.
Maximize the Benefits of 3PL Software
3PL cloud-based warehouse management solutions offer many opportunities for businesses and online retailers alike, to work smarter and save time, but to truly maximize the benefits of 3PL software, you must do more than just “set it and forget it.”
Integrating 3PL with other systems like ERP and accounting software can reduce troublesome data entry tasks. Once integrated, ensure that everyone using 3PL is appropriately trained to know precisely how to take advantage of its features.
Reviewing your 3PL data regularly gives you insight into your warehouse management capability and helps you make informed decisions based on accurate information. You can also use 3PL’s customizability options to tailor the system according to your needs, keeping staff and third-party logistics providers in sync beforehand.
Automation is also key – use 3PL to its full potential by putting as many small processes on automated repeat as possible – freeing up time and generating fewer errors along the way! Fewer errors lead to a better customer experience and increased customer satisfaction.
Get Started Guide for 3PL Software
Getting started with 3PL software solutions can be a straightforward process, but it’s essential to take the time to plan and prepare beforehand to ensure a smooth implementation. Here are some steps you can take to get started:
- Research different 3PL software options to find one that best fits your needs and budget.
- Identify your specific business requirements, such as inventory management, shipping, and tracking, and make sure the software you choose can meet those needs.
- Set up a meeting with the vendor to discuss the software in more detail, ask any questions, and get a demo.
- Once you’ve decided on software, work with the vendor to plan the implementation.
- Create a project plan that includes a timeline and milestones for the implementation.
- Identify key stakeholders and assign roles and responsibilities for the implementation.
- Train all employees using the software to ensure they understand how to use it effectively.
- Test the software thoroughly before going live to ensure it meets your business needs and has no issues.
- Once the software solution is live, monitor its performance and make necessary adjustments.
It’s also important to note that replacing all of your existing software with 3PL software is unnecessary since most can be integrated with your existing tech stack. The goal with any 3PL software is smart warehouse management.
What Features Should You Look For in a Cloud Software
When looking for cloud-based 3PL software, there are several key features to consider:
- Inventory management: The software should allow you simple inventory control including real-time updates on stock levels and the ability to set reorder points.
- Order management: The software should provide a complete view of the order process, from purchase order to delivery, including the ability to track order progress and view customer information.
- Shipping and tracking: The software should integrate with major carrier companies and provide real-time carrier tracking information.
- Reporting and analytics: The software should provide detailed real-time visibility reports and analytics on key performance indicators, such as sales, stock movements, inventory levels, and shipping costs helping with operational processes.
- Automation: Look for features that automate repetitive tasks, such as order processing, inventory management, and shipping, to save time and reduce errors. Automation rules help everything from operational efficiency to fulfillment processes.
- Scalability: As your business grows, you’ll need software that can scale, so look for a solution that can handle increasing volume and complexity.
- Integration: Make sure the software can integrate with other systems, such as your ERP, accounting, and e-commerce software, for a seamless data flow.
- Security: Confirm that the software provider has proper security measures to protect your data and ensure compliance with industry standards.
- Support: Look for a provider that offers 24/7 support and a dedicated account manager to help you implement and use the software.
How Much Does a 3PL Cloud Software Cost?
The cost of 3PL cloud software can vary depending on features and capabilities, the size of your business, and the number of users. When it comes to billing, some software providers offer a monthly or annual subscription, while others charge per user or transaction.
3PL cloud-based software varies widely in cost. The number of features, users, and your business all play a role in the overall price. Some providers also offer custom pricing for larger companies with more complex needs. When it comes to cost, reviewing all of the features provided by the 3PL is key to truly understanding its value.
It’s also important to remember that there may be additional costs for implementation, customization, and training. It’s best to clearly understand your business needs and budget before approaching a provider and to ask for a detailed breakdown of all costs upfront.
It’s also important to note that even though the cost may seem high initially, investing in a good 3PL software can help increase your efficiency, reduce labor costs, and increase your revenue in the long run.
What 3PL Software Does Your Business Need?
When choosing a 3PL cloud software for your eCommerce or fulfillment business, it’s important to identify your specific requirements and look for software that can meet those needs. You should also consider scalability, integration, security, and support factors. It’s also important to research options and compare features and costs before deciding.
Key Takeaways
- 3PL software can help streamline the logistics process and supply chain processes and increase efficiency and visibility.
- For maximum efficiency, it’s important to integrate it with other systems, ensure proper training, and make data-driven decisions.
- When getting started with 3PL cloud software, it’s important to research different options, identify specific business requirements, plan for implementation, and test the software before going live.
- When looking for cloud-based 3PL software, key features include inventory management, order management, shipping and tracking, reporting and analytics, automation, scalability, integration, security, and support.
- The cost of 3PL cloud software can vary widely, and there may be additional costs for implementation, customization, and training.
- Common features typically useful for most companies include inventory management, order management, shipping and tracking, reporting and analytics, automation, scalability, integration, security, and support.
3PL Cloud Software FAQs
What Does 3PL Stand for?
3PL stands for “Third-Party Logistics.” It refers to using third-party logistics companies to outsource elements of a company’s logistics process and supply chain management operations. This can include transportation, warehousing, and distribution services. Using a 3PL provider improves efficiency, reduces costs, and improves the overall supply chain process.
Is 3PL an ERP System?
No, 3PL and ERP are not the same things.
3PL stands for “Third-Party Logistics” and refers to using a third-party provider to outsource logistics and supply chain management operations such as transportation, warehousing, and distribution services.
On the other hand, ERP stands for “Enterprise Resource Planning” and refers to software that helps businesses manage and automate various business processes such as finance, accounting, manufacturing, logistics, supply chain, and more. It’s an integrated system that allows companies to manage and analyze data from multiple business functions, providing an overview of the entire organization.
While 3PL software can be a part of an ERP system, it is not an ERP system. It’s a specialized software that focuses on logistics and supply chain management and can be integrated with an ERP system to improve the overall efficiency of supply chain operations.
How much does a warehouse management system cost?
Depending on the software’s features and capabilities, your business size, and how many users access the software, the cost of 3PL cloud software can vary greatly. The price of certain software packages varies depending on the provider. Some charge per user or transaction, while others offer monthly or annual subscriptions.
What is the difference between a 3PL vs 4PL cloud software?
The main difference between 3PL vs 4PL cloud software is that 3PL software manages logistics tasks like warehousing, transportation, and order fulfillment. 4PL software, on the other hand, provides end-to-end supply chain management and coordinates logistics across multiple 3PL providers.
