I just came across a great comparison chart of all of the major third party logistics providers and their different capabilities located at Logistics Today, one of my favorite logistics trade publications.

Find the 3PL Comparison Chart Here: 3PL Chart

The 15th Annual Report On Trends and Issues on Supply Chain, Logistics, and Transportation has just been released for free download. The report which has been released annually for its 6th year is presented by consulting firm Capgemini along with Georgia Southern University, and the University of Tennessee, in partnership with Oracle and Intel.

The report can be found at: 2006 Report on Trends and Issues in Logistics and Transportation

thanks to 3PL wire for the tip.

Purchasing Magazine just published a new article featuring 5 tips on how to select logistics software which is definitely worth taking a look at.

Selecting logistics software is typically a massive capital expenditure so it is imperative that you research each package’s offerings from every angle. If this isn’t a core competency consider hiring a technologically savvy logistics consultant or utilizing the services of a 3PL that already has software in place in lieu of your company making the purchase. [Read more…]

2/3 of domestic U.S. Fortune 500 companies now use third party logistics companies to assist and manage their logistics and supply chain functions in some capacity according to a Nov 2006 study performed by Armstrong & Associates.

Armstrong which maintains an extensive database of 2,864 3PL customer relationships develops an annual report to provide insight into trends and changes in the 3PL, logistics outsourcing industry.

Another trend is large companies utilizing multiple 3PL providers to manage their supply chain. General Motors, Wal-Mart, DaimlerChrysler, and Ford Motor each use 30 or more logistics providers, which shows that larger companies are utilizing the services of many 3PLs rather than specifically using one global provider.

Armstrong estimates that the Fortune 500 3PL market was worth $158.1 billion in 2005.

The 3 primary logistics services outsourced in 05 include:

1. Transportation Management at 20.5%
2. Warehousing at 19.3%
3. Value-Added Services at 18.5%

Source: Third Party Logistics Customer Report 2006

Every once in a while I come across new logistics blogs that are worth noting and sharing with everyone. Here are a few written by supply chain and 3PL professionals that I’ve come across lately.

SCM Pulse
Great Suppy Chain Management blog written by Rick Ankrum an SCM professional with over 30 years of experience in procurement, supply chain management and strategic sourcing. This site features news, resources and commentary about supply chain management and logistics industries.

Riskape Supply Chain Management Blog
A blog designed to cover the issues of risk in the supply chain written by Rob Parrish of Tarratine Associates. A good resource for supply chain managers in their effort to mitigate risk in their global sourcing and supply chain efforts, this is definitely worth a look.

At Supply Chain Management
A supply chain management blog by Chris Abraham a SCM consultant based out of Green Bay, WI. The blog recently launched a new site design and provides in depth features on supply chain management and logistics trend analysis.

Here is my first list of Logistics Blogs

A new logistics directory has recently been launched called Logistics Locator. Unlike this site which is more of a news/article based site, Logistics Locator is more along the lines of a traditional submission based directory for third party logistics and warehousing & distribution companies. The hope is to create a high quality source of 3PL, trucking, and logistics companies culled from submissions from logistics professionals and respected companies and organizations in the logistics industry.

For a limited time the site is offering free submissions to relevant, high quality sites who link back to the site.

Feel free to check it out at http://www.logisticslocator.com

Cutting costs out of the supply chain is one of the biggest challenges facing logistics professionals today.

3PLwire recently reported on a great article by Linda Taylor of Fedex Services on finding “hidden savings in your supply chain.”

An individual at Wikipedia asked the following question recently and I thought this would be a good opportunity to clear things up for those who are unfamiliar with the landscape of the 3PL industry:

“If an organization is a Third Party Logistics provider, who is the First and Second party?”

1st Party: The Supplier
2nd Party: The Company buying the product that is being stored or shipped
3rd Party Logistics Provider (3PL): The company that provides warehousing and transportation outsourcing.
4th Party Logistics Provider (4PL): The majority of people would agree that 4PL is little more than logistics consultant speak, but nevertheless here is the official definition courtesy of Accenture:
“A 4PL is an integrator that assembles the resources, capabilities, and technology of its own organization and other organizations to design, build and run comprehensive supply chain solutions.”