What is 3PL?

1.

SGS’s
Presentation

2.

What is 3PL?

3.

1 PL-5PL

4.

5.

6.

Overview
3PL
3PL
3PL
Third party company providing outsourced logistics services,
Services can include transportation, warehousing, packing,
such as integrated operation, warehousing and transportation.
freight-forwarding, cross-docking, and managing inventory
3PLs do not always own vehicles or storage facilities.
functions.
3PL
Taking the farm-to-grocery store example, a 3PL provider could
Company acts on behalf of another organisation in need to
be responsible for packaging the vegetables, cereals, or eggs in
move their goods. The 3PL company then works with other
shipping companies as a connection, to manage distribution
services for their clients.
cartons and then transferring the relevant items from the farm
to the grocery store or supermarket.

7.

8.

Our place in supply chain

9.

What To Expect
Concept
Getting started with the 7Rs:
Rethink, Refuse, Reduce,
Reuse, Repair, Regift,
Recycle

10.

Vocabulary
Slide 1
PU (Pickup area) – location for LOADING the
truck.
ASAP/Direct/Non stop – as soon as possible,
without additional stops. Team drivers can be
required;
DEL (Delivery area) – location for UNLOADING
the truck.
Transit time/TT – predicted time needed for
a shipment to be delivered. We can calculate
TT (total mileage / 50 miles/hour;
Appointment (appt.) – fixed time for PU/DEL;
Open window – time frames for PU/DEL;
FCFS – First Come First Served –
loading/unloading in order of priority;
ETA – Estimated Time of Arrival;

11.

Vocabulary
Slide 2
Shipper/Consignor – person/company in charge of loading the cargo at the pickup point
(example – the driver spent 3 hours at the shipper);
Receiver/Consignee – person/company in charge of unloading the cargo at the delivery point.
Setup Packet – is a Broker-Carrier agreement for cooperating the first time.
Independent Contractor Agreement – is an Owner-operator-Carrier agreement for providing
the dispatch service.
RC – Rate Confirmation
BOL – Bill of Lading
POD – Proof of Delivery ⟶ BOL + Receiver’s signature = POD
REF# – load number in broker’s system.
Prof or Load# – freight number in dispatcher’s system.

12.

Vocabulary
Slide 3
Check in/out – time of arrival to the PU/DEL point (when the driver already at the facility).
Deadhead miles – also known as “empty miles,” is the distance a truck drives with an empty load.
TONU – Truck Ordered Not Used – is a charge that the shipper/broker/customer (depends on
conditions) pays in the event of a last-minute cancellation of a load as a compensation for the
driver’s wasted time and gas.
Detention – is a charge that the shipper/broker/customer (depends on conditions) pays to the
driver when a truck arrives at a location and ends up waiting for more than 2 hours to be loaded or
unloaded.
Layover – is a charge that the shipper/broker/customer (depends on conditions) pays to the
driver when a driver is delayed by a shipper or receiver for one or more days.

13.

Any Questions?

14.

Let’s Have A Great Day!