Why outsource Fulfillment Solutions?

Outsourcing Fulfillment Solutions is a good option for many companies especially startups who might be strapped for cash o lack the experience. It is also a fast and efficient way to introduce their products to the market without having to wait to build the infrastructure needed for fulfillment.

There are so many new products being introduced to the market mostly by small businesses who have launched their new website, promoted it and are looking forward to a bunch of orders coming in. They depend on e-fulfillment to success.

A large portion of these companies outsource their fulfillment solutions to Amazon because they get the exposure they need, achieve a better ranking for their website and get access to cheap shipping rates. Due to the rising cost of Fulfillment by Amazon, the numerous mistakes made by Amazon fulfillment centers ranging from double shipment to inaccurate counts and of course unfair practices by Amazon where they can take away your brand because it is successful, many companies are looking for other  Fulfillment centers to handle their business.  Most of these companies still do business with Amazon just for the exposure but sell the majority of their items using other channels.

Why Outsource Fulfillment Solutions

  1. Cost Reduction:  If you have to have your own operation, warehouse, employees and equipment, you are looking at a large investment that you might not be able to afford.  It might be a good idea to use the services of a Fulfillment Company.
  2. Lack of Experience: Leave it to the pros. Learn from them and if it is economically feasible, you can do your own fulfillment.
  3. Tap into cheaper shipping rates: most 3pl companies  have access to multiple shipping companies and the huge discounts that come with it.

Over the last 15 years many companies, even with huge capital behind them, used third party logistics companies to handle their fulfillment needs.

International 3PL has been handling fulfillment for small and large companies.  It is what we do.

For a rate request please contact us at: 305-800-7447 or click on our Fulfillment Questionnaire.

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3Pl Companies in Miami

Contract Logistics Companies

Shipping Companies in Miami

Drones and package Delivery

Soon, drones will deliver some of your online purchases to your doorstep. The FAA has granted UPS permission to deliver medical supplies in a number of cities using drones.  Amazon has been experimenting with Drone Deliveries.

Drones can play a vital in order fulfillment however; it will be some time before these aerial vehicles can handle the delivery of a substantial number of packages in the USA.

The investment in the infrastructure to support such an operation is huge.  Only a few Logistics Companies have the financial backing to develop such solutions.  Do not expect your neighborhood  freight forwarder to roll out a delivery program using drones.  You must also keep in mind the legal hurdles facing delivery with drones.  Technological limitations still pose a problem, these aerial systems still cannot travel very long distances and there is a limit as far as the weight it can carry.  How many packages can be delivered in a single run?  Can you just imagine a sky riddled with these devices, attempting delivery, where you cannot even see the sun?  How can we prevent accidents? And what will happen to the packages?

Another question to ask is:  Will drones handle the return of packages?  What about damaged goods?  There are a lot of questions to be answered and we simply do not have the answer to that.

Drones and Security

The other obstacle to implementing drones for package delivery is security concerns.  Will hackers be able to hack into a drone and change the delivery location or just steal the drone?  Will they be able to hack into the drone’s guidance system and create chaos?  We still do not know the answer to that.

The bottom line is that we are still in the experimental stage and we should not expect all packages to be delivered using drones nor expect courier companies to go out of business because of them.

There are some issues that need to be sorted out before drones become the primary method of package delivery, so please be nice to your delivery man as he will be delivering your packages for a very long time.

 

Resources:

Package Delivery in Miami

Miami Freight Forwarders

Ecommerce Fulfillment

Digital Shipping

Digital Shipping refers to the use of block chain technology in logistic and supply chain. There are millions of shipping companies in the world. These companies are disconnected which means that there is a possibility that your shipment might be with any one of them and it will be very hard for you to track the shipment at all times since cargo exchanges hands between different companies.

In simple words, digital shipping refers to the ability of companies to have access to the records and in information of a shipment no matter where it originated from. Let us assume, as an example, that an LTL Shipment (less than a full load shipment) originated in Seattle, WA. in route to Miami, FL.  The shipment had to be picked up by a third-party trucking company to be delivered to the HUB of a common carrier who in turn ships it on its own trucks to Miami. When the shipment arrives to Miami, it has to be off loaded at the carrier’s hub and loaded on to another truck that will deliver to the final destination which happens to be a residence. If you were the customer, all you need to know is where is the shipment and when will it be delivered. The shipment in this case has been touched by 3 different trucking companies and 3 different warehouses. Most likely, they are not all part of the same network which means that if you want to get the details about the shipment, you might have to call each one individually. That is where digital shipping comes in.

If you work with a 3pl company in Miami, that implements block chain, all of the people that touched the shipments would have to enter a record showing where the shipment is, That record is time stamped and cannot be changed.

Why the move to Digital Shipping?

The obvious reason is having the correct information about the shipment at any time. A shipment originating in China on the way to the USA where the shipment is being handled by 10 different Logistics Companies, would be easily tracked no matter who has custody of the shipment.

Another reason is accuracy of information. The records are entered by the partner who has the cargo, not a third party. Any change is added immediately.

Another reason is time saving. You do not have to be calling different companies to find out where the shipment is. You know every move the cargo makes.

As the capabilities of Block Chain expands, shipping companies become more and more connected and contract adherence will be standard operating procedure.

Wouldn’t it be nice if all “Freight Forwarders are connected at all time”?

International 3PL is working on putting the power of Block chain to work for you.

 

Resources:

International Freight Forwarders

Block Chain shipping

Last Mile Delivery

Last mile delivery is the movement of goods from a transportation hub such as a common carrier’s warehouse to the final delivery destination which is most cases a residence.

Last Mile Delivery has become an integral part of fulfillment. As retailers compete for same or next day delivery, they are always looking for companies that handle the last portion of the delivery to the customer.

Some of those last mile delivery companies also offer white glove service in order to offer a complete customer experience.

White Glove services refers to the inside delivery and sometime installation of a product that a consumer has purchased such as furniture that weighs too much and needs a few people to carry and place inside a residence. Many online retailers offer these services to their clients which creates a good customer experience and therefo re customer loyalty.

As an example of last mile delivery, let us assume you live in Miami and have purchased a refrigerator from an online retailer, the refrigerator shipped from another state. You are expecting delivery to your home which happens to be in a gated community where large commercial trucks are not allowed. The Retailer will ship the fridge to a distribution hub in your city and then hire the services of a last mile delivery company in Miami to deliver to your home and install the refrigerator.

Some of the common carriers are now offering last mile delivery as part of their logistics Services.

Last Mile Delivery and Omni channel fulfillment

With Evolving ominichannel fulfillment, Last Mile Logistics has become an area of interest for a retailer and has been integrated into their fulfillment channels.

Due to the surge in online orders traditional delivery methods are just not enough. Faster delivery is demanded by customers who would like to be presented with many delivery options to choose from.

The anticipated increase in online sales is expected to span across a variety of product types which might dictate the delivery option used.

Logistics Companies

It is almost impossible for most common carriers to handle the last delivery in all areas of the USA, it is like creating a whole new business with its own infra structure. Common carriers have opted to outsource that part of the delivery process to: 3PL Companies

 

To request a quote, please Contact us.

 

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Logistics Companies in Miami

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Logistics Impact on the Economy

Logistics Impact on the economy has been so strong it ignited the economic growth and expansion from 2009- until now, which is the longest in history. Have you ever wondered we are expanding at a rate and why we are having such a run? Was it the Federal Reserve bank, The President’s economic policies, the demographic shift or the US Currency?  Well it is none of those reasons. The correct answer is logistics.

Many years ago, companies lived and died by the Inventory Cycle. Companies used to bulk up on inventory in anticipation of demand and sales afraid of long delivery times from vendors. It used to take weeks or months before customers took possession of their goods. Companies would carry a lot more inventory that they needed, that tied up financial resources and made them vulnerable to demand changes. We all have witnessed large companies getting rid of obsolete items at a total loss.

Nowadays, companies have a lot more flexibility when it comes to inventory control, they do not have to pile up inventory in their warehouses.  Shipping companies have made it easier to get the product on time (Just in Time or JIT).  Companies can use the services of the Freight Forwarders to make sure the products are shipped on time and received at destination rapidly.

Logistics Impact on the shipping Industry

As more and more products are being imported, Freight Forwarding Companies became an integral part of the Supply Chain Providing services such as Quality Control, Compliance and import services. Companies passed some of the responsibility of getting the inventory on time to Freight Forwarders. These companies order less amount of inventory, but they are receiving it more frequently.

The direct Impact of Logistics on the various sectors of logistics:

  1. To control Inventory levels, a new class of consultants came to the scene, Supply chain Consultants. The help companies control their inventory levels and ensure on time delivery.
  2. Warehousing Companies grew in number as companies sought to hold inventory in different locations in order to service a larger area.
  3. Third party Logistics Companies or 3PL Companies emerged into the market as providers of all the logistics solutions needed to deliver products from Manufacturer to End User such as Order Fulfillment, Inland Transportation, Ocean Freight shipping and Storage. Companies no longer need to have their own warehouses to store their products and fulfill their orders. Knowing that you can depend on a 3PL Company to fulfill orders allow companies to focus more on their core competencies which fueled product innovation.
  4. International Freight forwarders started opening more locations around the globe to facilitate the transfer of goods from Vendor to Customer.

The re-engineering of Logistics

The reengineering of the Logistics Industry has contributed to creating more jobs and new companies offering logistics services. It also allowed for new products to enter the market creating new demand for products.

Products no longer take days or weeks to be delivered, thanks to logistics they can be delivered the next day or even the same day.

In conclusion, logistics made it easier, cheaper and faster to deliver orders from Factory to end user. There is no more need for companies to carry large amounts of inventory and invest large amounts of money in inventory since, thanks to logistics companies, product delivery has been made easier than ever.

 

Resources:

Omni Channel Fulfillment

Contract Logistics Companies

International Freight Forwarders

Blockchain transforms Logistics

Blockchain is a distributed ledger shared among many people in a network without an intermediary. The entries in the ledger cannot be modified. One Example of the use of such technology is crypto currency such as Bitcoin. When it comes to Supply Chain and logistics, Blockchains are becoming synonymous with transparency and visibility. The new technology will revolutionize how companies expand while maintaining compliance

Supply chain involves material flow, information flow and capital flow. Supply chain is about managing the flow of goods, services, storage and movement of raw materials, product manufacturing and shipping of Goods.

One of the benefits of using blockchain in supply chain Management is it’s allowing the data to be more inter-operable so that the information and data can be shared with manufacturers suppliers and “shipping companies” easily.

Transparency in Blockchain helps reduce delays and avoid goods from being stuck in the supply chain.

Using Blockchain offers more stalability through which a database can be accessed from multiple locations worldwide. This in essence ensures that all the participants in the supply chain from manufacturers to freight Forwarders are always connected and there are no limits on the number of entries.

Benefits of using block chain in the supply chain Industry:

  • Advanced inventory management
  • Enhanced transparency
  • Minimizing Courier Costs.
  • The Ability to identify issues faster
  • Keep vendors and customers honest
  • Faster tracking of shipments
  • Establish provenance

Logistics and Blockchain in a nutshell

The new Technology will empower Freight Forwarding companies with an incorruptible resource. As the companies expand, companies will grow more connected and contract adherence will be the norm.

“Contract Logistics Companies” stand to benefit the most from the new technology by having more transparency to the supply chain network and from the speed of recording transactions.

Digital Shipping

Blockchains will become the standard for technology use in shipping. It will give all the parties involved in a shipment the ability to access and record information such s the shipment booking, bill of lading, customs clearance and even delivery to final customer. All happening in real time. Since events cannot be edited after entry, this will ensure accuracy and timelessness.

 

Maintaining a supply chain with all its elements is a tedious task for small businesses, the interconnectivity of the different elements becomes more inefficient when a business grows. Block chain is a game changer when it comes to SCM

Resources:

Supply Chain Management Companies

International Logistics Companies

3PL Companies

Impact of Tariffs on Logistics

The new trade wars and tariffs imposed by the US and China left many importers in the US looking for answers. Nobody wants to pay higher duties which translates into higher prices to the consumers. Which will result in consumers cutting down on their purchases.

In general, blanket tariffs are counterproductive. Nobody benefits from such practices. It reduces customer confidence.

In the wake of the new tariffs imposed by the US on Chinese products,  importers found themselves forced to increase their prices to offset the increase on the duties being paid or to switch to importing similar products from other countries that are not subject to the new tariffs.

The latest currency devaluation by the Chinese Government has in a way offset the last round of tariffs however; consumer confidence has been affected as customers perceive the trade wars as a sign of instability.

How will the new Tariffs affect Logistics.

1- “Logistics Companies” pay close attention to tariffs as it affects the supply chain. They have to be ready to offer new solutions to their customers. Many International 3PL Companies are seeing an increase in imports from China as Importers build up their Inventories before the Holiday season and before the new tariffs take effect.

2- Freight Forwarders  have noticed and increase in Ocean Freight Shipping from Vietnam and other Countries. It is noted that Chinese companies are shipping their products from Vietnam to avoid paying the additional duties.

3- US Companies who re-export some of their products have opted to shipping directly from China to South America for Example.

4- Companies who Export to South America are using the services of Bonded warehouses to hold their product in bond  instead of paying the extra duties until the product is exported.

5- Importing companies are getting better at negotiating Freight rates in order to compensate for some of the extra duties they might be paying.

The Bottom line about the New Tariffs

In spite of all the hype, we still see more container ships being built, we see shipping volumes increase across the world. The US trade deficit rose by 50 Billion even though the export volume has increased. That means more cargo is entering the US Market which means more cargo is moving to the US ports.

Experiences 3PL Companies are prepared to tackle such issues and advise their customers on the best strategy to adopt.

 

Resourses:

Freight Forwarders in Miami

International Freight Forwarders

Warehousing Services in Miami

Impact of Artificial intelligence on Logistics

Artificial Intelligence has made it into our lives a while back and continues to make an impact. From playing chess against a computer to Siri, Alexa and detecting cancer cells, A.I. is here to stay.

The logistics industry is beginning to invest in A.I. heavily starting with the shipping companies such as Maersk and CMA. Soon we will be able to see more efficient shipments at a lesser cost.

To those of you who watch futuristic movies, rest assured the Artificial Intelligence will not take over the world, we will not be ruled by robots.

Artificial Intelligence is about machine learning and learning (input) requires processing power. There just isn’t enough processing power in the world to match the power of the human brain. To clarify further it took 90,000 processers 1 hour to process what 1/100 of the brain to process in 1 second. You do that math.

When it comes to logistics, Artificial Intelligence is lagging behind other fields. Ocean Shipping Companies, are developing software to better track Ocean Freight shipments minute by minute.

In the next 5-10 years, we might be able to see driverless trucks making deliveries, robots in the warehouse will be able to determine which box to use for a specific item. The shipping software will automatically decide on the best shipping method at the least cost depending on the variables presented.

Tech giants, like Amazon, have been using Artificial Intelligence to determine which location an item should be shipped from to minimize the cost and expedite the shipment, Omnichannel Fulfillment.

Efficiency of the supply chain will continue to improve with the implementation of A.I.

Will Artificial Intelligence Replace us?

You need to understand that as long as A.I. lacks consciousness, human interventions will always be needed.  Our input will guide A.I.  so, for you dreamers out there, please come back to reality and for those of you afraid of technology, do not worry, robots will not make us obsolete simply because there is no power more dominating than the human brain. Just ask Microsoft about the failed Tay experiment. A.I. has to be able to perceive and act.

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A.I. and 3PL

A.I. and freight Forwarding

EU and South America Trade Pact

A historic trade pact has been reached between the European Union and Four South American Countries, Brazil, Argentina, Uruguay and Paraguay. The trade pact that was signed on Friday, June 28th, 2019 would create a trade block of 780 million people representing a quarter of the world’s economy.

In the midst of international tensions, this trade pact comes in as a victory for EU leaders who have been defending free trade and a win for the government of South America’s 2 most closed markets, Brazil and Argentina.

Impact of Trade Pact

This pact will merge 2 blocks with a total of over 20 trillion dollars of economic output. The deal will create huge opportunities for exporters in the EU. This will help struggling economies in the EU such as Greece.

With this deal, the EU beat its international rivals in securing access to the Latin American Markets. This pact will help spur economic growth in South American Countries.

Brazil and Argentina are in mining and agricultural commodities, beef and dairy products.

This pact is supported by Spain, Portugal and free trade champions however; some countries such as France and Belgium have voiced concerns about the deal. France is concerned about compliance with the Paris climate change agreement.

Some EU farming countries are worried about the impact to their Farming and Agricultural industries.

This pact will also help other types of businesses flourish on both side of the Atlantic. Once of the businesses that would see large increase in volume is the shipping industry. Shipping Companies in Europe will, no doubt benefit from such an Agreement.

International 3PL, with its offices on both sides of the Atlantic, are preparing to meet the demand of the expected growth.

 

Resources:

Shipping to South America

Shipping from Europe to South America

Contract Logistics Companies in Europe

Preparing for a circular Economy

Regulations will continue to evolve in support of the circular economy. Circular economy, in short, is about setting targets on waste and recycling. This directly affects certain Logistics Services  such as reverse logistics,  packaging and fulfillment.

The EU’s Circular economy package went into force in 2018. U.S. and other countries are likely to follow. Expect to see significant carbon emissions regulations in the next few years.

International 3Pl has always provided reverse logistics services to its clients reducing the carbon foot print associated with excessive handling and transportation of returned products.

Our Order fulfillment services focus on forward distribution as well as reverse logistics which is key to a circular economy.

Recycling of boxes is at the core of our packaging services . We reuse most of the boxes that we receive for shipping out parcels without compromising the look or integrity of the shipment.

We are currently experimenting with single use boxes especially with our last mile services. We deliver then make sure to get the box back to be used in future shipments.

We are planning on applying the same practices at all of our locations.

resources:

Contract Logistics

3PL Companies in Miami

Logistics Companies in South America

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