What do logistics outsourcing and dating have in common? More than you might expect!
In this video, I draw some interesting parallels between the two and explain why they share some key characteristics.
It’s a fun way to think about the challenges and opportunities in outsourcing.
Watch below to learn more!
Outsourcing logistics can feel like dating—you’re searching for a long-term partner who fits your business needs. After 25 years of experience in helping companies navigate this process, I’ve seen firsthand where things go wrong and how to avoid common mistakes.
Here are some key tips to ensure you find the right 3PL partner.
Don’t Overwhelm Your Partner with Demands
Just as in any relationship, being too demanding can create tension. While there are essential logistics requirements—like strict handling for dangerous goods or perishable products—being overly controlling in other areas can lead to frustration. Excessive reporting requests, constant follow-ups, and micromanaging can make a 3PL partner less likely to want to work with you. The key is to make sure you’re clear about your needs but also trust the 3PL to do their job without constantly looking over their shoulder. The easier you are to work with, the better the partnership will be.
The Right Data Sets You Up for Success
Data is the backbone of any logistics operation, and providing accurate information is vital to getting the best out of your 3PL. Make sure you provide complete and accurate details about your products—dimensions, weight, packaging requirements, etc.—along with demand history and delivery patterns. This will help the 3PL to better understand your needs and prepare an accurate quote. Hiding issues, like high return rates or special handling needs, will only create problems later on. Clear, honest data helps both parties avoid surprises down the line and ensures a smoother collaboration.
Evaluate Your Contract Size and Options
The size of your logistics contract directly impacts which 3PLs will be interested in working with you. If your contract is under $5 million, large 3PLs may not even consider it, meaning you’ll likely need to focus on second- or third-tier providers. If your contract is smaller—say around $200,000—think carefully about whether outsourcing makes sense at all. At this level, your pool of available 3PLs may be very limited, and in-house logistics might actually be a better solution.
Finding the right 3PL partner is about taking the time to set clear expectations, be transparent with data, and avoid unnecessary demands. By doing so, you’ll create a solid foundation for a long-term partnership that benefits both sides. Keep your focus on finding the right match for your business needs, and you’ll be well on your way to a successful outsourcing arrangement.
Related articles on this topic have appeared throughout our website, check them out:
- 6 Quick Tips for Successful Logistics Outsourcing
- Getting Aligned with Business Goals for Successful Logistics Outsourcing
- Logistics Outsourcing Secrets: A Serial Guide to Success with 3PLs
Editor’s Note: The content of this post was originally published on Logistics Bureau’s website dated April 26, 2023, under the title “Logistics Outsourcing is Like Dating“.