Logistics has always been at the forefront of economic and business development. With increasing globalization, many global companies have started outsourcing their logistics-related activities to 3PL service providers since it helps them to concentrate on their core business functions. The third-party logistics (3PL) services industry has been expanding rapidly, driven by the rising awareness of the cost-saving benefits it offers. Consequently, revenues generated by the 3PL industry have risen drastically and its growth rate is now much higher when compared to several country’s overall GDP. At present, some of the most commonly availed 3PL services include warehousing, outbound transportation, inbound transportation, customs brokerage, freight forwarding, customs clearance. However, despite the promising growth of the logistics services industry, challenges such as the unavailability of effective reporting systems, lack of collaboration, and inability to meet shippers’ requirements pose major hinderances for 3PL service providers. (Source: Global 3PL Services Market – Procurement Market Intelligence Report)
Listed below are some of the major 3PL service providers who are making a name for themselves this year:
Headquartered in Germany, DHL currently employs more than 500,000 employees around the globe. They are among the top 3PL service providers in the world and offer a comprehensive suite of services to meet varying business requirements. From the initial stage of offering consultancy services to reverse logistics, DHL offers a host of supply chain solutions for every sector.
KUEHNE + NAGEL
Founded way back in 1890, KUEHNE + NAGEL now has branches in more than 100 countries. They employ more than 75,000 people and are one of the best 3PL service providers in the world. What sets them apart from the other 3PL service providers is the fact that they are among the top three sea freight and air freight service providers in the world.
In 2016, Gartner recognized DB Schenker as the world’s leading company in the 3PL logistics industry. They are headquartered in Germany and have branches in over 130 countries across the globe. They are considered to be among the best 3PL service providers in the world with assets in air, rail, and maritime transport.
Specializing in logistics consultancy, Nippon Express is one of the well-renowned 3PL service providers in the world. They specialize in offering one-stop business solutions that help connect people in diverse geographical locations. Nippon Express was founded in 1937 and is currently headquartered in Japan. They employ more than 70,000 people and have offices spread across 42+ countries.
C.H. Robinson aims at improving global trade by delivering products and goods that facilitate commerce. They were founded in the year 1905 and are currently headquartered in the US, with offices spread across 39+ companies. They are one of the well-known 3PL service providers who aim to improve transportation and supply chains by delivering excellent value to suppliers and customers alike.