Rise of New age third-party logistics (3PL) services

The logistics industry is growing by the hour, driven by today’s tech-savvy consumers and their increasing demand for fast delivery services. The 3PL market in India is to grow by US$ 10.74 billion by FY 2025, progressing at a CAGR of almost eight percent.

With the continuous evolution of technology and infrastructure development along with the introduction of e-way bills, fast-tag, e-invoicing, GPS-based toll collection, etc.The 3PL market is fast growing and evolving.

A 3PL service provider offers services which includes warehousing and inventory management, transportation management and brokerage, consolidation, distribution and fulfillment, air and ocean freight forwarding, customs brokerage, and many other logistics services.

How technology is helping in evolution.

Around the world, logistics service providers are required to innovate and simplify complex processes in order to aid supply chain management and lower the overall logistics cost. With technologies like Global Positioning System (GPS), barcodes, Radio Frequency Identification (RFID), drones, Internet of Things (IoT), Artificial Intelligence (AI), cloud computing, robotics, and block chain to minimize manual labor in the supply chain process.

Service as a Software (SaaS) technology helps 3PL service providers overcome the major challenges in the logistics industry like reducing transportation costs, streamlining business processes, improving customer service, and increasing supply chain visibility.

20Cube Logistics has come up with an interactive real-time dashboard ‘MyHub Plus ’ which helps in getting cost-effective and real-time information on the supply chain. We aim to become an integration hub by connecting diverse and innovative tech platforms and data sources in order to streamline supply chain management.

3PL service providers have emerged as important players in the supply chain enabling customers to boost their operations and ensure cost-effective delivery services.Their evolution could mean better services and development of value-based solutions.

Contributed by :

G V S K Vedant, Sales, Hyderabad, 20Cube Logistics.