SCI Logistics, a Canadian-based third-party logistics provider, has expanded its coast-to-coast network with the opening of a specialized transportation center in Halifax, Nova Scotia.
XPO Logistics Inc., a freight brokerage and transportation services provider, has acquired UX Specialized Logistics, a North American provider of last-mile logistics services for retail chains and e-commerce companies.
Analyst Insight: Customers of 3PLs face fundamental market transformation impacting their supply chain operations and initiatives. Connected commerce drives basic changes to fulfillment operations. Change is occurring at internet speed. 3PLs haven't traditionally been known for "anticipating" customer requirements changes. They have, however, been exceptional in responding to customers' requirements when the changes become apparent. In today's fast-paced markets, responding to change may not be enough. Vested relationships based on innovation are the new 3PL imperative. – Rich Sherman, author and founder at Gold & Domas Research
Analyst Insight: Implementation time-lines for transportation management outsourcing continue to shrink thanks to cloud-based systems, process standardization, and features like automated carrier contract management. This is not the case for facility start-ups. With 10+ key milestones, hundreds of key tasks and sub-tasks, time-line slippage and cost overruns can quickly extend the time to value for both 3PLs and shippers. – Valerie Bonebrake, Senior Vice President, Tompkins International
"An army marches on its stomach," Napoleon famously said.
While the high-technology sector captures the headlines, the supply chain sector is responsible for the heavy lifting, behind the scenes. The books, clothing, and goods that we purchase are increasingly made in Asia or Mexico; transported through multiple modes including air, ocean, rail and truck; passed through warehouses or cross-dock facilities; and delivered to your home via a last-mile delivery company.