17 Jun 2019

Leveraging Predictive Analytics 3PLs

by | posted in: 3PL, 3Plink Technology | 0

Predictive analytics 3PLs Warehouse third party logistics

The journey of a product from an online shopping cart to a doorstep is complex and requires multiple stages of careful planning and attention to detail. It can be daunting to manually keep track of

  • inventories
  • shipping
  • tracking
  • delivery
  • other aspects of the logistics process

Here is how you can leverage predictive analytics for your 3PLs – Third Party Logistics. 

Leveraging Predictive Analytics 3PLs – Third Party Logistics Warehouse

Predictive analytics and data-driven techniques can provide a better understanding of the demand for goods. This can make inventory management much more efficient. The analysis of data from warehouses and fulfillment centers can help identify seasonality or changes in demand patterns. Predictive analytics 3PLs algorithms can help determine optimal inventory sizes at any given time. It can also give 3PLs the agility to respond to market conditions quickly.

Analyses of large amounts of data on different modes of transportation, their costs, distances and travel times can help 3PLs find out how effective each mode of transportation or a combination of them is meeting delivery times. Devices can monitor temperatures to ensure that goods are being stored and shipped under the right conditions, can assess road and traffic conditions to calculate possible delays and observe weather patterns. Predictive algorithms can use all of this data to run various scenarios and sort through millions of options to determine the best route to delivery locations.

Collection of Data Predictive analytics 3PLs

The collection and analysis of data also allows businesses to be more responsive to the requests of their customers or any complaints they may have. Even after the delivery is completed, customers can provide useful information to 3PLs. Defective goods can be identified by analyzing customer behavior following a delivery and an increase in returns or help requests with regard to a certain product, could be a signal to stop shipments of other similar products thereby averting additional issues.

Keeping the customer satisfied is crucial to any business, especially in a hyper-networked world where feedback and online reviews of a few customers can quickly make or break the image of a company.

Partnering with a Third Party Logistics Company

Businesses that partner with 3PLs can also acquire greater clarity into their own operations. By using the knowledge generated by analytics, decisions regarding investments in manufacturing capacity or expenditure on inputs can be optimized to keep inventory levels closely pegged to demand. This, for example, can prevent potential shortages or reduce expenses businesses may have to incur on excess warehousing.

The growth in e-commerce and omni-channel distribution has put pressure on 3PLs to cut delivery times while also keeping costs at a minimum. As customers have come to expect quicker delivery times, greater flexibility and prompt service, even minor disruptions can have significant consequences. 3PLs must prepare for all eventualities in order to remain competitive.

Customize Your Own Solution

The most important thing about getting started with a look at 3PL options for your business is that you can customize the type of support you want – from starting with a single, compartmentalized process up to taking over the whole show end-to-end in one of their facilities so that you don’t need one.

Nebraska Warehouse One-Stop Shop

Nebraska Warehouse doesn’t just help to facilitate your shipments, but we are truly a one-stop shop solutions provider. Our services include: