3PL's Are Making Customers Happy

With an annual growth rate of more than 10% over the past 10 years, the 3PL industry is garnering high customer satisfaction levels -- around 90%. Additionally users are reporting continued benefits in the form of new capabilities, according to a study done by Capgemini. In its "Third-Party Logistics Study 2005", Capgemini joined by C. John Langley Jr. of the Georgia Institute of Technology, DHL and SAP, studied 3PL services in North America, Western Europe, Asia-Pacific, Latin America, South Africa and the Middle East.

Although customers are happy with the transportation and warehousing services provided by 3PLs, increasingly companies want 3PL's to step into the role of business partner and collaborate on advanced supply chain strategies. Niek Visarius of Rockwell Automation, a study participant commented, ""We started in a tactical approach, outsourcing our operations with very strict service level agreements. Over the last 11/2 years, there has been a shift toward a strategic relationship. We recently started to discuss our five-year planning activities with our provider so they can collaborate with us on how to architect the best supply chain solution."

Viewing 3PL services from a geographic perspective, from 2002-2005 North American users have shown modest growth but remain in the 68-73% range. In Western Europe 77% of those surveyed use 3Pls compared to 83% in Asia-Pacific for 2005. Latin American usage is at 72% in 2005 and South African usage is at 74%.

For further information on the study visit: http://3plstudy.com

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