Question

Which of the following is an advantage of using a third-party logistics (3pl) provider rather than internal logistics functions?

a. better economies of scope and scalelower
b. overhead costs and less bureaucracy
c. better flexibility for tailoring services to changing needs
d. increased control over outbound shipments

Answer 1

Using a third-party logistics (3PL) provider offers the advantage of better flexibility for tailoring services to changing needs.

Step-by-step explanation:

One advantage of using a third-party logistics (3PL) provider rather than internal logistics functions is better flexibility for tailoring services to changing needs. 3PL providers are specialized in managing logistics operations and can adapt their services to meet the specific requirements of a company.

For example, if a company experiences a sudden increase in demand, a 3PL provider can quickly scale up operations to accommodate the higher volume of shipments. This flexibility allows companies to be more agile and responsive to market changes, which can lead to increased customer satisfaction and overall efficiency in supply chain management.