3PL Introduces Third Party Logistics Warehouse Benchmark Report

By Logistics Tech Outlook | Monday, November 23, 2020

The report particularizes on trends surrounding growth opportunities, labor demands, warehouse capacity, technology adoption, and measurement and metrics. While the statistics indicate tremendous development opportunities driven by amplified demand for eCommerce fulfillment, 3PL warehouses may face challenges from inadequate warehouse capacity and space and the ability to find skilled workers.

FREMONT, CA: 3PL Central, the leader in cloud-based Warehouse Management Systems (WMS) built to meet the unique needs of third-party logistics (3PL) warehouses, released the Benchmark Report focused entirely on the 3PL warehouse industry. The 3PL Warehouse Benchmark Report aggregates survey responses from over 250 3PL warehouse industry professionals and covers more than 30 strategic topics to assist warehouses in understanding market growth opportunities and difficulties facing the industry.

As the backbone of its customers’ operations, the business’s platform swiftly transforms paper-based, error-prone organizations into service leaders who can focus on customer satisfaction, operate more competently, and grow faster. Offering an all-inclusive warehouse management platform, the firm makes it easy for 3PLs to manage inventory, systematize routine tasks, and deliver complete visibility to their clients. As an established industry leader for over a decade, 3PL Central precisely manages billions of dollars in inventory and processes more than one million orders a week from any of its clients and their customers’ systems.

Key takeaways from the report comprise:

• 79% of 3PL warehouses encountered growth in 2020 and displayed continued optimism into 2021.

• 50% of respondents proclaim running above recommended warehouse capacity, leaving little room for expansion.

• 47% of participating warehouses cited difficulty in finding qualified workers while also facing increased labor costs (58%).

• 87% of responding 3PL warehouses indicated using a WMS as the central hub of technology for their business.

• 8% of 3PL warehouses employ big data analytics, and only 14% use predictive analytics, but 36% say they plan to enlarge reporting and analytics functionality in the coming year.

The report particularizes on trends surrounding growth opportunities, labor demands, warehouse capacity, technology adoption, and measurement and metrics. While the statistics indicate tremendous development opportunities driven by amplified demand for eCommerce fulfillment, 3PL warehouses may face challenges from inadequate warehouse capacity and space and the ability to find skilled workers. The fastest-growing 3PLs plan to capitalize on more technology and automation to enhance inventory management and warehouse competence to house additional growth.

The report also discovers the existing 3PL warehouse landscape, cost drivers, and planned technology executions for the future. Furthermore, the report outlines the best methods to consider for the coming year leveraging compiled statistics.

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