What are the types of logistics services?

What are the types of logistics services?-LM Blog-11

As we all know that the Logistics Service acts like a large-scale chain network, logistics is an elaborate organization responsible for carrying out various delivery and shipment related tasks. Whenever you buy any goods online from any store, you can assume that our goods will be received by some logistics, these are the logistics that take care of your shipment, and make sure that you Find the right product in your hand. 
 
The e-commerce business has contributed significantly to the economy and so have this logistics. Without logistics, it could never have been possible to implement a concept of e-commerce.
Today we know about some types of logistics service and their responsibilities, mostly four types of logistics service are working, 

What is the First party Logistics services- (1PL)

A goods manufacturer or a retailer or buyer or a person who has his own transportation to carry or send goods from Point A to Point B, and also has a department to handle these goods. Reaches customer or company or recipient, and in this case the manufacturer or retailer or buyer does not outsource third party transportation or other logistics activities.
 
First party logistics is mostly done by a manufacturing company which is internally operated logistics. These companies store the goods in their warehouse after production and distribute the goods from their vehicles to the customers, meaning all the functions of these companies are done by the company’s own departments.

What is the Second party Logistics services – (2PL)

A goods manufacturer or goods retailer or buyer or a person who uses a 2PL company to send goods from Point A to Point B to a customer or company, and the 2PL company delivers that goods to the customer or to the recipient. is. In such a situation, customers or recipients were second parties for the 2PL company. . This process is called second party logistics.

You can see some companies here which usually work as 2PL.

  • Sea shipping lines
  • Airlines
  • railway
  • Trucking companies

 

What is the Third party Logistics services – (3PL)

3PL is a service that provides you with all types of operational services ranging from warehousing to delivery, such as Transportation, Stores, Management or Goods Forwarding etc. 

Third party Logistics is responsible for all these activities, and plays it very well so that you can focus on other parts of your business.

Third party Logistics Company provides
any kind of services with any logistics in the supply chain. This includes materials from storage to storage, warehousing, picking and packing, inventory forecasting, order fulfillment, packaging, and freight forwarding.

As you must have read above that online shopping is not possible without logistics, similarly Third-Party Logistics Company is very important in supply chain.

What is the Fourth party Logistics services – (4PL)

Fourth Party Logistic service provider has a broad role in supply chain management.

A 4PL Logistic typically directs all types of process running within the customer’s supply chain and acts as a point of contact by engaging with all parties involved. Thank You!


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