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You could save a lot of money on this yet it requires a full study on this.
You would save time and get a better service.
If you are at the early stages of opening your company then it might be a good idea to engage a 3PL company to serve you.
You would not bother yourself much with many logistical issues are you have sub-contracted a company and you deal with just one person.
advantage
Better use of the division of labor and therefore specialization
Greater control over quality, costs and lead times. Better responsiveness of the company to the increase in market demand.
disadvantage
Strong dependency on the subcontractor.
Risk of lack of coordination and potential lack of sharing of know-how between the partners.
The subcontractor is not necessarily motivated to improve the quality of the product.
The company alone assumes the consequences vis-à-vis its customers in the event of failure of the subcontractor.
3PLP comes with its share of advantages and disadvantages. This also depends on the volume of business that you will be depending on 3PL. Selecting a 3PL provider is tough in those areas where the Transport Industry is not organized. Example in a Trucking Sector if your 3PL provider gets a better opportunity he will wean to it in order to increase his business. There is a great disadvantage of "dependability" on a 3PL provider. Believe it or not many of our friends on this page have been into difficult situations due to this. Best would be to have at-least 3 service providers which increases the net. Still incase of places where transport industry is not organized it is wiser to commence build up of inhouse Logistics Services
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