The continuous shift to e-commerce due to pandemic have fueled the need of robotics and automation solution across third-party logistics services for global organizations. However, these automation integrations take months largely because the software that operates them must be manually configured to work with an individual warehouse management system. DHL in collaboration with Blue Yonder is installing robotics solution, programmed with the ability to speak to different systems, removing the need for software configuration at each warehouse. This robotics hub would operate as middleware between the warehouse management system and the fleet management system. It standardizes the data and tasks that flow between the two systems such as, shelf location of a retail product, the quantity of a product to pick, etc.
Similarly, C.H. Robinson integrated 19 transportation management systems (TMS) and enterprise resource planning (ERP) systems into the company’s global multimodal transportation management system, Navisphere. This integration offers access to real-time pricing and capacity assurance and nearly eliminates the time required to get market quotes and book loads, making this a virtually instantaneous process. This integration offers access to real-time pricing and capacity assurance by eliminating the time required to get market quotes and book loads. This automation also provides greater flexibility and efficiencies for shippers at a critical time when they are faced with changing customer buying habits and supply chain disruptions such as COVID-19.
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3PL suppliers are collaborating with regional players to benefit from their knowledge of the local market, and maintain high-profit margins, low overhead costs, and their overall competitiveness in the market
The Third-party Logistics market features a highly fragmented competitive landscape and several small players are entering the market
Suppliers widely prefer approved provider operating models to reduce risks and improve the potential for value creation
Grand View Research has identified the following key cost components for availing 3PL Services:
Inventory Carrying and Administration
Warehousing and transportation are the major cost components of a 3PL Services, accounting for more than 70% of the total cost of service.
DHL International GmbH
Kuehne + Nagel International AG
United Parcel Service
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