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Study finds shippers see tactics,  Reprint permission
A new study suggests many shippers aren't buying into the idea that third-party logistics providers are strategic partners with their customers. Instead, shippers in Capgemini's ninth annual "Third Party Logistics Study," view 3PLs as tactical partners to handle on-the-spot jobs such as warehousing or seasonal transport. "There is overwhelming evidence by and large that 3PLs are being thought of as tactical solution providers," said C. John Langley of the Georgia Institute of Technology, co-author of a new study of third party logistics trends. Georgia Tech, Capgemini, and FedEx sponsored the study, released at the annual Council of Logistics Management conference this month. According to the study, transportation is the most frequently outsourced activity around the world, followed by warehousing, inbound transportation, customs clearance and customs brokerage. These activities are typical of the nuts-and-bolts of tactical outsourcing and show that third party providers have work to do before convincing customers to hand over more profitable services such as long-term strategic development. The study found that in North America 81 percent of respondents use a 3PL as a tactical service provider, compared with 26 percent as a supply chain integrator, and 20 percent as a logistics strategist. The numbers are similar for other regions. In Western Europe, 68 percent use 3PLs tactically, 26 percent use them as supply chain integrators and 32 percent use them for logistics strategy. More than half of the North American respondents said they use a third party provider for standard logistics services such as warehousing, outbound transportation and customs brokerage. But the numbers shrink for higher-level supply chain responsibilities. Only 2 percent rely on a third party provider for trade financing, an area larger logistics companies are trumpeting as part of a new wing of value-added services. The study surveyed more than 650 logistics and supply chain executives, over three-quarters of whom use 3PL services.
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