When done well, labor management can have a profoundly positive impact on cost, quality, and productivity. Nevertheless, bringing in a third party for labor management can come with a stigma attached to it, as managers and employees may believe that bringing in an outside perspective is unnecessary, reflects badly on their performance, and even endangers their jobs. As such, this stigma can pose a significant challenge to bringing about the changes you need to improve your processes and realize your full operational potential.
A Look at Third Party Logistics (3PL)
A 3PL is a firm that provides a one stop shop service to its customers of outsourced (or “third party”) logistics services for part, or all of their supply chain management functions. Originally 3PLs focused on logistics which was primarily transportation, warehousing and distribution and charged the client on a cost plus model.