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RE: RE: Third Party Logistics (3PL)

From: Linda Denison <ldenison@...>
Date: Tue Dec 30, 2003  8:59 pm
Subject: RE: RE: [EDI-L] Third Party Logistics (3PL)
I don't have any numbers to give you... although I'm sure someone in the
company has them. We do have some info on our website, including a few case
studies.

http://www.fedex.com/us/supplychain/services/?link=1

When companies use logistics services, a big benefit could be seen for
time-critical shipments. For example, a company shipping just-in-time
repair parts could have the parts warehoused in Ohio, UK, & Singapore, and
the parts could be shipped out from the warehouse that is closest to the
destination. This gives not only a time savings, but a cost savings as
well. From an EDI standpoint, for FedEx, we get data in many different
formats, including flat files, as John mentioned. But integrating all of
these formats becomes FedEx IT problem and not that of the customer. But as
Steve mentioned, whether or not a company benefits from using 3PL services
really depends on the circumstances...


--
Linda Denison
Senior Technical Analyst
FedEx Corporate Services
EC Integration Development
+1 (469) 524-6422

-----Original Message-----
From: David Frenkel [mailto: Sent: Tuesday, December 30, 2003 2:11 PM
To: 'EDI-L Mailing List'
Subject: RE: RE: [EDI-L] Third Party Logistics (3PL)


Linda,

I feel like I am becoming the moderator of a panel of competitors. Do
you
have any benchmarking at what point it is economical or advantages (ROI)
for
a company to integrate into the 3PL for EDI? For example dollar amount of
shipments, number of shipments etc. I am curious about the SME market.

Thanks.



Regards,



David Frenkel

612-237-1966

-----Original Message-----
From: Linda Denison [mailto: Sent: Tuesday, December 30, 2003 1:53 PM
To: David Frenkel; 'EDI-L Mailing List'
Subject: RE: RE: [EDI-L] Third Party Logistics (3PL)



The one that uses FEDEX is better :-)



--
Linda Denison
Senior Technical Analyst
FedEx Corporate Services
EC Integration Development
+1 (469) 524-6422

-----Original Message-----
From: David Frenkel [mailto: Sent: Tuesday, December 30, 2003 1:52 PM
To: 'EDI-L Mailing List'
Subject: RE: RE: [EDI-L] Third Party Logistics (3PL)


Gary,

Here is a scenario to get your unbiased response. There are 2
healthcare
companies that have similar products that are used in surgical
procedures.

Company A distributes using FEDEX from the company A warehouse and
Company
B
uses a UPS warehouse for distribution (true scenario). Can you explain
in
your unbiased opinion which is better from both a logistics and EDI
perspective? Thanks.



Regards,



David Frenkel

612-237-1966

-----Original Message-----
From: Gary Bligh [mailto: Sent: Tuesday, December 30, 2003 12:17 PM
To: David Frenkel
Cc: EDI-L Mailing List
Subject: RE: RE: [EDI-L] Third Party Logistics (3PL)



All,

I think global logistics companies are grand.

Gary Bligh
UPS


> Steve,
>
> From what I have read the majority of organizations are happy with
their 3PL
> and the pain seems to be with specialty or niche type work. For
example in
> retail stores the vendor is relying more on point of purchase (POP)
displays
> that vendors often rely on store employees to set up. It is
estimated about
> a third of these displays never get off the loading dock. Most 3PL
will
> only handle point to point and not get involved in any specialty
work.
>
> I know DHL has been a global freight carrier for some time. The
article I
> linked to below talks about even in China reducing freight costs has
become
> an issue for exporters. I know in China the quality of the packing
for
> ocean going containers is an issue for breakage. A 3PL might help
in this
> area.
>
>
>
> Regards,
>
>
>
> David Frenkel
>
> 612-237-1966
>
> -----Original Message-----
> From: Steve Lee [mailto: > Sent: Tuesday, December 30, 2003 11:37 AM
> To: 'EDI-L Mailing List'
> Subject: RE: [EDI-L] Third Party Logistics (3PL)
>
>
>
> Dave,
> As with any outsourcing the IT pitfalls I've seen are
the
> customer looses direct control of their project timelines, unless
they
> are a big fish. Global 3PL's are able to handle your whole supply
> chain. They can take from multiple suppliers/warehouses, store or
> crossdock in 3PL managed exclusive warehouses and move freight break
or
> consolidation across multiple carriers. A multinational customer
would
> then get consolidated customized reporting even across competing
3PLs,
> that is if you are using multiple 3PLs, which in that case it is best
to
> choose a main 3PL to report to you.
> This is starting to sound like a sales call.
> It's easier for a transportation provider to open a
> warehouse, than it is for a warehouse provider to provide in house
> transportation as there is no infrastructure in place.
>
> Regards,
> Steve Lee
>
> DHL Danzas Air & Ocean
> 120 Tokeneke Road
> Darien, CT 06820
> United States
>
> Phone +1 203 656-6892
> Fax +1 203 662-5499
>
> <mailto: > <http://www.us.danzas.com/> www.us.danzas.com
>
> All business transactions are based on DHL Danzas Air & Ocean terms
and
> conditions, available upon request.
> -----Original Message-----
> From: David Frenkel [mailto: > Sent: Tuesday, December 30, 2003 11:06 AM
> To: 'EDI-L Mailing List'
> Subject: RE: [EDI-L] Third Party Logistics (3PL)
>
> Steve,
>
> I am most curious at the 'pain' points of using a 3PL some of which
you
> touched on. Most people think of a 3PL as an organization that runs
a
> warehouse which I have experience dealing with and they are often
not
> very
> inefficient for a variety of reasons. The 3PL marketplace is
crowded
> and I
> wonder what the differentiators are between these transportation and
> warehousing service providers. Thanks.
>
>
>
> Regards,
>
>
>
> David Frenkel
>
> 612-237-1966
>
> -----Original Message-----
> From: Steve Lee [mailto: > Sent: Tuesday, December 30, 2003 9:12 AM
> To: 'David Frenkel'; 'EDI-L Mailing List'
> Subject: RE: [EDI-L] Third Party Logistics (3PL)
>
>
>
> Dave,
>
> Most curious issue that happens is that EDI was
originally
> intended as a two party transaction. Now it's a three party
transaction
> and
> trying to intercept, extract, and process coherently the differently
> formatted data is like playing monkey in the middle of the United
> Nations.
> Especially when the customer has multiple warehouses, suppliers and
> multiple
> Carriers (3PLs).
>
> From which angle are you looking at these 3PL
> implementations?
> The Supplier, Carrier/Warehouse or Customer?
>
>
>
> Regards,
>
> Steve Lee
>
>
>
> DHL Danzas Air & Ocean
>
> 120 Tokeneke Road
>
> Darien, CT 06820
>
> United States
>
>
> Phone +1 203 656-6892
>
> Fax +1 203 662-5499
>
>
>
> <mailto: >
> <http://www.us.danzas.com/> www.us.danzas.com
>
>
>
> All business transactions are based on DHL Danzas Air & Ocean terms
and
> conditions, available upon request.
>
> -----Original Message-----
> From: Jim Greeney [mailto: > Sent: Tuesday, December 30, 2003 10:02 AM
> To: David Frenkel; 'EDI-L Mailing List'
> Subject: Re: [EDI-L] Third Party Logistics (3PL)
>
>
>
> Dave -
>
> I have been involved in a number of 3PL implementations over the
last
> decade
> and would be more than happy to discuss any questions you might have.
I
> am
> currently implementing a global 3PL solution for a major electronics
> manufacturing company with distribution centers in the US, Europe,
and
> Asia.
> Our goal is to provide real-time persistent EDI communications
between
> customers, field service personnel, distribution centers and the
> manufacturer.
>
> Let me know what types of questions/concerns you might have and I
will
> provide you with feedback based on my experiences.
>
> Regards -
>
> Jim Greeney
> President/GM
> asp4edi.com, inc
> Austin, TX/Hudson, WI
>
>
> David Frenkel < wrote:
> There have been numerous articles about companies outsourcing
logistics
> (which is a big user of EDI). I would be interested to hear from
> anybody
> who has or is looking at outsourcing their logistics/supply chain
> concerning
> issues around this (pro or con). Thanks.
>
>
>
> http://www.line56.com/articles/default.asp?ArticleID=5168
> <http://www.line56.com/articles/default.asp?ArticleID=5168
> <http://www.line56.com/articles/default.asp?ArticleID=5168
> <http://www.line56.com/articles/default.asp?ArticleID=5168
>
<http://www.line56.com/articles/default.asp?ArticleID=5168
<http://www.line56.com/articles/default.asp?ArticleID=5168
<http://www.line56.com/articles/default.asp?ArticleID=5168&TopicID=1>
&TopicID=1>
&TopicID=1>
> &TopicID=1>
> &TopicID=1>
> &TopicID=1>
> &TopicID=1
>
>
>
> Regards,
>
>
>
> David Frenkel
>
> 612-237-1966
>
>
>
>
>
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--
<><><><><><><><>
Go Giants!

Gary

Join the YMCA!
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"Show by your good life that your works are done with gentleness born
of wisdom." James 3:13b
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<><><><><><><><>


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