SUPPORT FOR COMPLETE DISTRIBUTION
OUTSOURCING
Some companies, particularly retailers, prefer to focus on
their core competencies and outsource their distribution
management entirely. For those organizations, it’s critical
to partner with a 3PL capable of dedicating specific resources exclusively to one customer. That enables inventory to be
purchased, managed, and transported solely for the retailer.
Burris Logistics’ version of this service is called “Custom
Distribution,” which CEO Donnie Burris describes as a
unique collaborative solution that provides all the benefits
of self-distribution while eliminating the headaches and
enabling the customer to remain highly competitive in its
marketplace.
“Historically, retailers have really had only two viable
choices for distribution. One is receipt of deliveries via
a wholesaler, but control is limited and the true cost of
product and distribution can be a little cloudy. Alternately,
they could put together a self-distributing supply chain,
but that requires the resources to assemble the knowledge,
systems, physical infrastructure, and—in the case of food
handling—the regulatory compliance expertise needed,”
Burris explains.
As an alternative, Burris Logistics’ Custom Distribution
service allows the 3PL to create dedicated, highly customized supply chain solutions that put the retailer completely
in control and provide clear visibility for both product and
distribution costs, he continues. “This frees up the retailer’s
financial and human capital to focus on creating a compelling shopping experience for the customer while Burris
handles the procurement, warehousing, and transportation
responsibilities.”
DEEP EXPERIENCE IN TRACEABILIT Y AND COMPLIANCE
Any operation handling and shipping sensitive, perishable, hazardous, or high-value products that are subject
to government requirements, regulations, or the need for
enhanced security should look for a 3PL with extensive
experience navigating those areas. In temperature-sensitive
food handling, for example, the right partner understands
that mistakes, delays, or errors can not only violate food
safety regulations—they can also endanger customers’
health, reduce shelf life, and contribute to food waste.
Because the company takes proper food handling so
seriously, Burris Logistics has obtained Safe Quality Food
(SQF) certifications for all of its food-handling facilities.
Common to food manufacturing facilities, SQF certification
is somewhat rare in public refrigerated warehouses. Having
independent, third-party validation of safe food-handling
practices—including proper storage of products with allergens in a manner that prevents cross-contamination with
other food items in the warehouse—allows a 3PL to assure
its customers of its commitment to safety.
Further, should a product recall be required, the 3PL’s
warehouse and inventory management systems must be
able to support prompt and accurate identification of
potentially problematic lots and shipments. The third-party
service provider should also be intimately familiar, and in
compliance with, the rules and regulations associated with
the Food Safety and Modernization Act (FSMA).
For companies seeking transportation management of
hazardous materials, such as chemicals or petroleum handling, it’s critical to partner with a 3PL who understands the
Department of Transportation’s (DOT) complex regulatory requirements associated with moving those materials,
including 49 CFR Parts 171-177.
EXPERTISE IN MULTIPLE MARKETS
Whether a company’s transportation and distribution
needs fall into a single market category or cross multiple
types of inventory, partnering with a 3PL with expertise
across multiple industry segments brings a heightened level
of insight when solving a range of handling challenges, says
Burris Logistics’ Haggerty.
“Collaborating with a 3PL that covers multiple industries
fosters greater innovation in developing unique solutions
that meet the needs of unique customers,” he explains.
For example, Burris Logistics has a long history serving
traditional retail supermarkets. That expertise informs its
service offerings for alternative-channel food and beverage
retailing, including club and discount formats, multi-unit
food-service operations such as free-standing restaurant
chains, food distributors, growers of fresh produce destined
for immediate consumption or ingredient use, and more.
“We’ve also leveraged our expertise in temperature-controlled storage and transport to support importers and
exporters of environmentally sensitive industrial ingredients, and we’ve applied our ability to navigate complex government regulations and requirements associated with food
handling to other industries—such as hazmat handling,”
he explains. “Our customers benefit from partnering with
a 3PL whose cross-market knowledge yields innovative
improvements in productivity, efficiency, and accuracy.”
By evaluating a potential 3PL through the lens of these
seven key attributes, operations with complex handling and
transportation needs are more likely to secure strategic success in managing today’s fulfillment challenges. Consider
keeping this list of guidelines in hand when searching for
the right 3PL service provider partnership. n
Notes:
1. Cheri Grabowski, “How Amazon Logistics Is Changing
Markets and Potential Growth Scenarios,” Armstrong &
Associates Inc. (January 31, 2019), https://www.3plogistics.
com/how-amazon-logistics-is-changing-markets-and-potential-growth-scenarios/
