Third-Party Logistics (3PL) refers to the practice of outsourcing logistics and supply chain management activities to an external provider. In a 3PL arrangement, the provider manages functions such as transportation, warehousing, inventory management, order fulfillment, and freight forwarding on behalf of its clients. By leveraging the expertise, technology, and resources of the 3PL provider, businesses enhance efficiency, reduce costs, and improve customer service. The 3PL provider handles the complexities of logistics, enabling companies to focus on their core operations like product development and marketing. The scope of 3PL services ranges from basic transportation and warehousing to comprehensive solutions that integrate all aspects of the supply chain.
