LABELS IN 3PL
Minimising downtime within 3PL and supply chains: the role of quality labels
Technologies like barcode scanners and label printers are vital for third-party logistics and similar organisations to improve traceability and ensure that their entire supply chains run smoothly, as Jeremie Brocas, sales manager at BIXOLON Europe, explains.
Third-Party Logistics (3PL) providers play a vital role in today’s supply chains. They execute fulfilment for many brands across an array of industries and handle the receipt, storage, picking, packing and delivery of goods for customers. Further, for many growing ecommerce businesses, they are essential for growth. When operating at capacity, 3PL distribution centres (DC) are extremely busy, as they carry out an array of fulfilment services. But the key to the successful running of these complex operations is ensuring warehouses are meticulously organised, that senior management and warehouse staff always have a strong handle on inventory, and that staff can pick, pack and ship goods accurately on-time for clients to their customers. DC throughput ultimately supports revenue and profitability for 3PLs and their clients. Many factors drive success though. People, strong operational processes and technology are playing an increasingly vital role. But across the world 3PL staff are in short supply. Automation technology proves value ever more, and fundamental technologies like barcode scanners and label printers continue to keep warehouses in order. 3PL opportunities and challenges The 3PL market is ripe for the picking. Statista says the global logistics market was worth $8.4 trillion in 2021 and by 2027 it forecasts that this market will exceed $13.7 trillion. Evidently, there is immense opportunity for fulfilment organisations to thrive. Supply chain technology provider, Extensiv, recently published its 2023 Third-Party Logistics Warehouse Benchmark Report . It shares insights about growth opportunities available to 3PL companies; saying that
acquiring new customers is the greatest opportunity for 86% of the companies it surveyed. Additionally, 50% of companies say that automating processes in warehouses is key; and 46% cite growth related to ecommerce as the third greatest opportunity. Others include diversifying services (39%), adding warehouses in new locations (36%), creating a 4PL network (36%) and other (25%). Opportunity doesn’t come without a backdrop of challenges though. The same research points out that the top challenge for many 3PLs will be managing costs (48%). Other challenges cited include finding new customers (36%), finding and retaining workers (32%), operational efficiency (32%), technology implementation and integration (29%), growing revenue (27%), inflation (18%), finding and acquiring warehouse space (15%), customer retention (10%), and customer communication and requests (7%). Descartes Systems Group provides additional insight about the staff shortages too in its report – How Bad is the Supply Chain and Logistics Workforce Challenge – where it states that 76% of logistics leaders reported labour shortages. Enhancing traceability and inventory management Technology has a key role to play in supporting operational efficiency within 3PL and wider supply chain organisations. It offers benefits at all areas and levels; ranging from transportation operations, to warehouse operations and to knowledge workers within distribution centres. We see order management systems (OMS), warehouse management systems (WMS) and transportation management systems (TMS) taking the lead in organising warehouses
Jeremie Brocas salaes manager
bixoloneu.com
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There is one set of tools that continues to be core to the successful functioning of many 3PL businesses:
label printer and barcode scanning technologies...
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