What 3PL and 4PL?
Well 3PL is all about physical distribution and logistics. Warehousing, clearing and freight forwarding, packaging, material inward outward, safety, contacting transporter etc. Are some of the services 3PL provides to the consignor. In simple words it's core on the field job.
On the other hand 4PL is all about supply chain management, planning, analysis, design and optimization. 4PL is outsourced service which can consist of tracking, customer support, supply chain planning, designing and optimization, analytic, reporting. It's generally corporate job with less field work.
3PL is like executing things presently at real time and 4PL is like planning for future using past information and analysis of past execution for improving supply chain.
3pl contains
- Integrating operations
- Warehousing
- Transportation services
- Cross-docking
- Inventory management
- Packaging
- Freight forwarding
4pl contains
- Procurement
- Storage
- Distribution
- Processes
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