For many companies, outsourcing logistics is a reality. Often, transportation and warehouse services along with value-adding services such as order picking or sequencing are outsourced to third parties. Outsourcing supply chain management to third-party logistics (3PL) providers does not usually yield the desired effects since 3PLs naturally need to utilize their own equipment and offer their own supply chain services.
The resulting conflict of interest between cost optimization and fully utilizing its own resources make it hard for a 3PL to focus on what is best for the customer. Tied to their own equipment or purchasing preferences, 3PLs do not have the flexibility to provide services at optimal cost.
As a neutral 4PL, 4flow management selects logistics service providers based on optimal cost and service.
With fourth-party logistics (4PL), an independent service provider handles the management, optimization and operation of a company's supply chain. As a neutral provider, a 4PL can bring customer-specific optimized costs and services to the supply chain.
4PL service providers have the independence needed to find the best solutions for customers
4flow management is a neutral 4PL, which means we do not have our own assets such as transportation or warehousing equipment. Thanks to this independence, 4flow can find the best solution for each customer and select the carrier offering the best rates for any given situation.
By working with 4flow, businesses can:
- Reduce supply chain costs
- Increase service levels
- Gain more supply chain visibility
- Boost productivity
- Save capacity and resources
- Optimize processes and structures
Tractor and agricultural equipment manufacturer AGCO together with 4flow as neutral 4PL won the German Award for Supply Chain Management 2016, and the “ELA Award Project of the Year 2017” for implementing an innovative concept to digitize the inbound supply chain.