If you’re engaged in the world of freight transportation, you’ve likely encountered or been part of discussions involving Third-Party Logistics companies (3PL companies. In this blog post, we aim to revisit the concept and significance of 3PLs in today’s business landscape and what we can expect from this business model in the future.

 

 

Third-Party Logistics (3PL)

As we’ve previously discussed, Third-Party Logistics companies specialize in outsourcing various logistics services, such as transportation, warehousing, packaging, and order fulfillment solutions. Their primary goal is to offer swift and effective solutions to streamline supply chain processes. By partnering with a 3PL, businesses can concentrate on their core operations, leveraging their strengths.

One of the crucial advantages of engaging a 3PL is accessing their extensive expertise. Whether you’re a Shipper or Freight Forwarder, investing in a 3PL is the right choice to ensure that logistical aspects outside your own expertise are handled competently. This approach is often better than allocating resources toward developing extensive in-house supply chain capabilities.

After the COVID-19 pandemic, the reliability of 3PLs has become even more evident, given the substantial workload they have handled. The freight transportation industry has recognized the significance of effective data management, visibility, and analytics, which are now key considerations when partnering with 3PL companies. As a result, 3PLs are increasingly investing in technology, with a specific focus on:

 

• Percentage of supply chain services offering real-time data
• Percentage of the supply chain that can be remotely controlled
• IoT (Internet of Things) devices
• Migrated to the cloud

 

Third-Party Logistics companies have become the first option for providing crucial tech-related functions in the supply chain.

 

And, what’s next?

Due to the increasing reliance on technology and the technological capabilities gap between Shippers, Freight Forwarders, and Third-Party Logistics companies, the question arises as to whether it is worth it to continue entrusting specific elements of the supply chain to 3PLs or if it is more valuable to adopt a model that offers a comprehensive solution to the entire supply chain. This approach is known as the 4PL model.

 

Fourth-Party Logistics (4PL)

4PLs extend beyond the boundaries of 3PLs by offering an extensive range of capabilities supported by technology. They possess the ability to comprehensively operate all facets of the supply chain, enabling customers to access a multitude of logistics service providers. Certain 4PL companies go even further by assisting customers in the planning and execution of their entire supply chain. A key foundation of this model relies on the establishment of trust between clients and suppliers, as trust deepens within the relationship, clients grant 4PLs a greater degree of control over their freight. This concept, known as Freight Under Management (FUM), is essential to the functioning of the 4PL model, as higher FUM correlates with the major success of the model.

 

FUM has experienced an 11% increase from 2019 to 2022, and this upward trend is expected to continue over time. Transitioning from the 3PL to the 4PL model appears to be an attractive idea. However, it’s important to note that 75% of the FUM is currently managed by the top 10 4PLs in the industry, while the remaining 25% is divided among various emerging companies. While the concept seems appealing, it is undoubtedly a challenging effort, because success lies not only in persuading customers to entrust their freight management but also in generating revenue by handling a more complex process.

 

What to aim for?

The Third-Party Logistics companies model continues to play a crucial role in the supply chain process, developing a streamlined workflow is essential to stay competitive and up-to-date. Therefore it is crucial to recognize the tangible opportunity at hand, 3PLs need to continue investing in building extensive networks rich in tech-enabled processes to enhance their capabilities, fostering a vital culture of innovation, cross-selling, and collaboration.

 

At Cargo Care Services we have a top-notch team that excel in Cargo Insurance, Warehousing, Packaging, and Freight Inspections, we are ready to handle key operations within your supply chain.

 

 

Contact us to learn more.

 

Suffering a loss during the transit of your goods can be a distressing experience, made even more difficult by the claims process. The process for filing a claim can vary significantly, depending on whether you have all-risk cargo insurance or are solely dependent on your carrier’s limit of liability. In this blog, we’re going to review some tips on this matter.

 

Regrettably, a significant number of importers and exporters believe that their shipments are entirely protected under the carrier’s liability and that the carrier will be held accountable for any loss or damage since they had physical possession of the goods during transportation. However, this is not the case.

 

Uninsured importers face the risk of financial loss regardless of whether the carrier had control over the accident or not, as the carrier’s reimbursement limits may fall short of the cargo’s value. To guarantee compensation for the complete value of a damaged or lost shipment, obtaining Cargo Insurance is the only solution.

 

Cargo insurance provides coverage for commodities that are lost, damaged, or stolen during transportation from the starting point to the final destination, irrespective of whether the fault lies with the carrier or not. The main objective of cargo insurance is to safeguard businesses from experiencing any financial loss.

 

 

So, if you got Cargo Insurance and your goods have been damaged in transit, you should file an insurance claim as soon as possible. These are the steps to take:

 

1. Ensure to record any shortages or damages in the bill of lading, and aim to provide a detailed description. It’s advisable not to return a clean receipt, as it signifies that you have received your goods in an undamaged condition, and this may lead to the invalidation of any insurance claim you may file.
2. Take pictures of the damage to the shipment. Try to capture the damage from various angles and perspectives to obtain a comprehensive view of the extent of the damage.
3. Maintain control of the damaged freight. You must keep it as evidence until your claim has been settled and take preventive measures to safeguard the cargo against any additional harm.
4. Notify all parties involved in the supply chain, including the supplier, carrier, and port/airport authorities if it is the case.
5. Inform your insurance provider and file a claim. If necessary, request the official claim form from your insurer, which may be available online for electronic submission or printing. This form will assist you in determining any additional documentation required to substantiate your claim.

 

Upon receipt of your claim, the insurance provider will evaluate all available evidence. If your claim is accepted, the insurer will reimburse you for the cost of the damaged goods, in some cases a deductible applies that you should know from the time you contract the service. It is important to know that if the damaged goods are repairable then the insurance company will go after this option and pay for the repairs instead of replacement even if you have ALL RISK coverage. Typically, claims are processed within 30 days of receiving all necessary documentation.

 

CARGO CARE SERVICES is a 3PL company that provides you with customer service by connecting customers with different insurance providers, so we can assist you with excellent options for CARGO INSURANCE and support you in the claim process until you get your money back! Contact us.

 

 

Within the logistics industry, you will find a variety of business models that seek to provide a solution at each step of your supply chain, for this reason, there are a vast amount of warehouses focused on different aspects depending on the nature of your operation. However, investing in infrastructure could result in expensive and time-consuming, as well as inefficient if you just need storage intermittently. During the reading of this article, we’ll learn about the services a 3PL warehouse can offer, how these services can boost your operation, and of course, the benefits of a reliable partner to lead the process.

3PL Warehouse services:

Apart from personalized storage based on your inventory, a 3PL warehouse helps you with:

– Pick and Pack: Even if your business is online or in a physical store, the pick and pack process is carried out by a 3PL warehouse once a pick list of products is received, then the products are identified in the warehouse and they are packed, labeled if required and shipped.

– Reverse logistics: This process takes place when your product is returned, a 3PL warehouse receives the product, examines the conditions of each item taking visual tests, and finds the best place to return the product into stock.

– Kitting Fulfillment service: Once your merchandise was received into the warehouse and you need it to be distributed by custom orders, the 3PL warehouse will proceed to identify the different SKUs, select them as required on the custom order and create a new SKU ready to be dispatched to your client. Among the advantages that this kind of service represents for the optimization of the processes, it includes the constant movement of your supply chain in a safe and fast manner.

– Shipping: With a 3PL warehouse you are not attached to traditional carriers, thinking about improving the transportation process, you could receive a quote from different carriers to reach your pricing expectations and shorten the delivery time.

 

 

Benefits of counting on a 3PL Warehouse

– Control over your inventory: Working with a 3PL warehouse implies linking this company with your business, allowing access to real-time inventory information, preventing stockouts, and providing accurate updates to inform your customers about inventory levels and items out of stock.

– Quick scale-up of business operations: Don’t limit the growth of your company because you can’t handle the volume of work you are receiving, with a 3PL warehouse you’ll be able to move to the rhythm of the market, expanding and complementing your operation quickly.

– Expand your network to new places: If you have a winning product that is being successful, get out of your secure place and go for more. A 3PL partner can help you to expand your business offering storage nationwide.

– Regulatory compliance: If you lean your operation on a 3PL warehouse, you can be sure that they will provide a facility that according to the features of your product, even if it needs any special treatment to be handled, you’ll be provided with a warehouse that complies with all the laws and regulations.

In a nutshell

3PL warehousing services have come to stay, hand in hand with a 3PL you will find the experience required to take your business to the next level, they have expert teams at your disposal, specialized in the latest trends of the industry. Besides that, you will save resources by delegating the pressure of fulfillment services to reliable partners that count on a great network of purveyors to resolve any challenge you may face and concentrate all your energy on getting the best out of your company.

 

Are you ready to take the next step? In CARGO CARE SERVICES we support you on your path to success, we can cover all your 3PL warehousing needs with integrity and expertise, and in this way, you can focus on what really matters.

 

Contact us to get more information.

 

Once you are considering a Freight Inspection a lot of questions may arise; What’s the kind of inspection required? What’s the meaning of the acronyms you read related to Cargo Inspection? What to expect after a Freight Inspection? At this point, you comprehend the value of a reliable ally. It’s almost necessary to understand the basics to lead the process successfully, meeting the correct needs and paying attention to accurate solutions. The next steps provide a quick view on the most remarkable factors Freight Inspections demand.

Key factors to consider regarding Freight Inspections.

• Identify the kind of inspection required

When you are facing a Cargo Inspection, you do research and all the information starts to come to you like an avalanche, it looks more difficult than it really is. Fortunately, here you can find a brief summary of the most frequent Freight Inspections you could encounter along the way and the meaning of recurrent acronyms that will help you to comprehend a little more of this subject.

Pre-Shipment Cargo Inspection: A PSI takes place mostly when you have a first transaction with a new customer. You can avoid any risk, make sure your cargo is properly packed, marked, and placed in the container before shipped, and make sure you receive what you expect.

Freight Inspection for Claims or Damage: Unforeseen events happen, if your merchandise is returned, damaged, or reported as a claim, ensure the current status of your product. With Freight Inspection you will get a detailed report of the situation, the damages or losses suffered, and try to understand and determine the possible reasons for it.

Cargo Inspection at Port or Airport: Once your cargo arrives at port or airport, this service allows you to guarantee that it is loaded correctly and securely, and also prevents unnecessary costs of transportation, miscommunication, or paperwork issues.

List of Acronyms:

PSI (Pre-Shipment Inspection): A detailed look at the quality and quantity of the merchandise before shipped.

CLC (Container Loading Check): It takes place after PSI to ensure that your container is loaded according to the internationally accepted rules and regulations.

FRI (Final Random Inspection): When your shipment is ready, it’s time to check the product vs description of your order through a sample, thereby, you measure the compliance.

OS&D Report (Overage, Shortage and Damage): If the receiver is having issues with the merchandise, the inspector takes note in this report about any damaged or incomplete goods received.

 

 

• Set your aim and expectations

Even if the kind of inspection is clear, it is necessary to establish a clear objective and highlight all the expectations, allowing assertive communication between the customer and the Inspector.

As a result of a freight inspection you will have a report that should match specific data to achieve the aim of the inspection. Regardless the kind of the inspection, any report must include the following:

 

1. Written report from visual inspection
2. Pictures that sustain the information in the written report
3. Notes of what the inspector perceive of the commodity features

 

Depending on the requirements and objectives, each inspection report varies from another, however, the main core of an inspection consists in collecting the most clear and detailed physical and quantitative information possible, allowing the customer to determine how to proceed with a shipment.

• 3PL

A Third- Party Logistics is focused on adding value to your operation offering expertise and optimizing resources to solve any unexpected event. When it comes to Freight Inspections, a 3PL could make your experience quite friendly due to their operation is based on a reliable network of inspectors for each case and each need. Once the kind of inspection and its aim are clear, you have the needed tools to hire the partner that best suits your expectations.

 

Knowing this, Cargo Care services can handle any need you may have with regard to the Freight Inspections mentioned above, count on us at each stage of your Cargo Inspection.

 

Looking for a Freight Inspection? Contact us.

 

The warehousing facilities can be as valuable to your success as the products themselves. In this post we’re going to check some factors you need to consider to determine which warehousing facilities and features will best match your business.

Outsourcing

When researching warehousing and storage, consider that the facility you will use probably won’t be yours, but rather another business outsourcing it to you.

It is important to research which warehouse companies are credible and offer the services you want at a rational price. But before that comes determining its location first.

Planning

Plan carefully what your business needs from its storage services. You should keep in mind how long you plan to be using that facility and which services you need the most.

It’s imperative that you take your time finding warehousing facilities that serve the best interests of your product needs.

 

Some Tips to Find the Right Warehouse

Location

Location is among the most important warehouse selection aspect to consider when choosing a new warehouse. Since your warehouse will likely be used for shipping and receiving, it’s essential for it to be in a convenient location to carry out both processes, commonly close to airports or ports.

Specialized Storage Facilities

Depending on the nature of your merchandise, you may need to think about accommodations for hazardous materials, food products, flammable items, or chemicals. It’s important to take note of these things as early as possible in order to avoid disasters later and ensure the proper environment to keep the good conditions of cargo. Also, keep in mind that not all warehouses can handle all types of goods.

Material Handling Capabilities

Another factor that may affect the location of your warehouse is its ability to handle diverse materials and equipment. After deciding what your primary method of transportation will be, you can choose what type of handling equipment your warehouse will need.

Future Growth

When making a decision for choosing a warehouse location and size, you must remember to account for future growth. Finding a warehouse that meets your current needs is important, but it is important to keep in mind selecting something with some room for expansion if you plan on continuing to grow your business. Carefully consider the projected growth of your business in the coming years to avoid the costly and time-consuming adventure of having to move warehouses again.

 

Need warehousing solutions? CARGO CARE SERVICES has the knowledge and experience to handle your cargo safely with strategic locations. CONTACT US!

 

To protect your merchandise during transport requires some layers of protection. In this post, we will look inside the crate and realize how much work is needed to ensure that your items arrive safely at their destination.

 

The first layer, in many cases is a wood crate. Generally this is a custom wood crate specifically designed to maximize the protection of the merchandise being shipped. Customized wood pallets and skids may also be used.

But that’s just the outside portion because it is important to consider the measures inside a crate that keep items from moving during transport. We going to review some of them:

 

Blocking and Bracing

 

Blocking and bracing complement an adequate protection for cargo. Commonly used to ensure that items, especially large and heavy ones to keep their position during transport avoiding damage.

 

Most of the time just filling the empty space around a crated item with loose material is not enough to prevent it from moving. It is more efficient once the item is into its crate or onto a wood pallet make use of strong protective materials as wood blocks or cradles that combined isolate the cargo from any sudden movement.

 

It doesn’t matter what the commodity and its specs, when blocking and bracing techniques are applied carefully and professionally, the protection of the cargo is high.

 

Product-Specific Packaging Solutions

There are several types of packaging that provide another layer of protection for cargo that will be transported. These materials are selected based on the nature of the items, and can include:

 

• Specialized cushioning. For some merchandise, it’s essential to minimize vibration and potential impacts experienced in transportation environments and ensure that the items don’t come into contact with each other or the walls of the container. Customized cushioning can be used for that aim. For light and delicate components, a polyurethane foam is usually utilized.
• Anti-static material. Electrostatic discharge can damage sensitive electronics. Anyhow, many anti-static packaging materials can be used to avoid that issue. They involve anti-static stretch wrap, buttle wrap, foam, and barriers.
• Heat shrink wrapping. This plastic material can be used to cover a product and then heated and shrunk so that it forms a snug barrier. Not only can heat shrink wrapping be utilized to secure merchandise to a deck or pallet during transport, the material is frequently used as an cost-effective alternative to protect products that will be in storage.
• Vapor barrier. Many types of merchandise, like electronics or those with bare metal surfaces, can be affected from moisture. Especially when they are transported by ship. VCI (volatile corrosion inhibitor) bags are often used to protect items during ocean transport. The bag surrounds the product and then the air is removed from inside it with a special vacuum mechanism. Activated desiccants can also be used to absorb moisture and humidity indicator cards to monitor humidity.

 

With the three levels of protection described above, the risk of damage to shipped items is greatly cut down.

Corrugated Containers or Hard Shell Cases and Proper Packaging

For some products, the combination of a heavy duty, double-walled corrugated container combined with the suitable packaging materials is an effective shipping solution. Items can also be placed inside hard shell cases lined with polyurethane, which can be custom cut to form an exact fit.

What Protective Measures Are Needed

While your knowledge of a shipped item’s characteristics is important, you don’t have to be a specialty crating and packaging expert to get your item safely to its destination. That’s our job.

 

In CARGO CARE SERVICES we develop a crating and packaging strategy specifically for each item. We advise you with the best solution to ensure your assets won’t be damaged. We also offer full cargo insurance to cover shipments in the event of additional damages or losses.

 

We can assist you with your packaging and crating needs for your nationwide and international shipments from the US. GET A QUOTE!

 

Fulfillment service is a third-party warehouse in charge of managing your inventory, at the same time that it arranges and sends your orders to your clients. In this post we will take a closer look at the advantages of using order fulfillment services for your business.

1. Avoid Sale Fluctuations

Many outsourcing fulfillment offers flexible pricing. When you’re going through a slow period, or a period where you grow too much, they’ll be able to adapt to your needs.

When you have a fluctuation, you should hire staff to deal with it, order more equipment, and more warehouse space will have to be leased. Once it’s over you will have too much extra of all of these things when you don’t necessarily need.

An order fulfillment company will keep all of this regulated so you won’t have to deal with this issue.

2. Be more effective

If you let an order fulfillment company take care of all the big details as they manage your inventory, dispatch orders, and handle your logistics in general, you can rest assured that everything will be arranged well and you are able to focus on the most important activity—growing your business and provide an excellent customer service.

 

3. Save Money

Going with an outsourcing company can save you money in the long term.

As they’re working at a larger scale than you, you can benefit from their logistics costs. By outsourcing fulfillment, you can eliminate overhead costs and begin sharing space and resources with hundreds or even thousands of other sellers.

4. Improve Your Scalability

As your business grows in size, it can become overwhelming to manage it.

If you hire fulfillment services, you’ll be better equipped to handle an increase or perhaps even a massive seasonal influx of orders.

5. Protect your business name

You have to make sure your products and after-sales service are exceptional. This is one of the central benefits of using 3PL warehouse storage. If you hire fulfillment services, your inventory will be professionally managed and shipped when it’s necessary, resulting in minimum risks of incomplete orders or late shipments.

Should You hire Fulfillment Services?

 

By hiring fulfillment services, you will gain the experience of their employees as well as their software and equipment and your fulfillment process can become seamless.

 

Order fulfillment service providers can help you put more time and energy into your company. They have the experience and manpower needed to handle a sudden increase in your sales, and they can save you money in the long run.

 

At CARGO CARE SERVICES we count on partners specializing in fulfillment services included among our WAREHOUSING AND DISTRIBUTION SERVICES NATIONWIDE.

 

CONTACT US for more information!

 

There are certain questions that you need to have in mind before buying cargo insurance to be sure that you are getting the right insurance. In the following sections, we will look at some questions you should better know the answers before purchasing Cargo Insurance.

Does your current carrier cover damages?

It might. It might not. Coverage can vary greatly as you may know carrier liability is very restrictive. If you don’t want to be fully responsible for the cost choose all-risk, full-value cargo insurance– it is the smartest choice. This way your insurance covers 100% of any damage that occurs and pays directly for the physical loss/damage of your item.

What about the rate?

You should make sure that you are getting a good rate, but the cheapest doesn’t mean you will have the better. Perhaps you have to shop around a bit before picking a cargo insurance provider to take your time comparing rates with coverage and service, especially in handling claims.

How about payouts?

If possible, you want your claim remediated as soon as possible. So, you will prefer working with a vendor who offers a fast and easy way to resolve claims.

Who would be responsible for filing the claim?

Adding cargo insurance with a company specialized in that is an affordable way to deal with those problems and get your money back because they will lead this process.

What is the time allowed to report damage to a shipment?

You will find cargo insurance providers only allow a few days for discovery of the damage and filing of the claim. Thus, your aim should be to find a provider that allows up to thirty days at least for reporting damage after the shipment reaches its destination.

Does the insurance provider have enough experience?

You should ideally purchase cargo insurance from someone who has experience insuring different transportation modes and international movement of goods. This way you will have the assurance that insurance providers will be able to offer the correct solution for your needs.

 

CARGO CARE SERVICES offers cargo insurance for your domestic ( USA) and international shipments. We have experience in ocean, air, and ground transport cargo insurance. We place your risk with the best insurance companies to assist you with the best rates, coverage, and service.

 

Let us know your needs, it will be a pleasure to assist you!

 

In a few words, a warehouse is a large building where products and materials are temporarily stored before being sold or exported. A large variety of businesses might need access to warehouses.

When a company identifies a need for a warehouse, they should explore the different types of warehouses to choose the best one for their specific products.

 

Let’s explore the most common types of warehouses. Each warehouse type will be utilized for a different type of business, so choosing the best warehouse for your business needs is an important step in your supply chain.

DISTRIBUTION CENTER

Distribution centers hold products for a short period of time and see a much higher velocity of products coming in and going out. Products move within a distribution center much quicker than in a typical warehouse, goods are procured from multiple suppliers and are quickly transferred to various customers

Those are very customer-centric and are typically located close to where the end user is, so they receive products quickly. A distribution center may also provide value-added services, such as cross docking, pick and pack services, labeling or packaging. Because a distribution center offers more services than a warehouse, they are also equipped with much more modern technology to make the processes easier.

Generally affordable for companies that sell to wholesalers.

SMART WAREHOUSE

A smart warehouse is a warehouse where the storage and fulfillment processes are automated with AI, such as robots and drones. These warehouses use automation systems and interconnected technologies to receive products, put them away, pick them for orders, ship them, and keep an accurate inventory count. This type of warehouse use technology to increase production, decrease errors, and minimize the number of humans needed to run the warehouse.

Smart warehouses have been a go-to option for large e-commerce companies such as Amazon and Alibaba that seek to make their order fulfillment and inventory management a more accurate and expedited process.

 

COLD STORAGE

Cold storage stores temperature-sensitive products at low temperatures. Those allow medicines, perishable foods, plants, cosmetics, artwork, and candles to have longer lives. It might include an entire building or even a specific portion of a warehouse that can accommodate these goods.

It is great if you are into perishable business, climate-controlled warehouses are a must to keep your items fresh. It is also attractive for businesses that require certain conditions for rare products, such as artwork or plants, and commonly it is used by pharmaceutical companies.

 

ON-DEMAND STORAGE

A growing trend in warehousing is on-demand storage due to online commerce. These warehouses connect businesses with a need for warehouse space (temporary, seasonal, or to handle spikes in sales) with warehouses that have excess space.

This type of warehouse is great for merchants that are willing to combine their inventory needs. Also is great for businesses dealing with a sudden spike in inventory. It is Cost-effective for seasonal or temporary warehousing needs

 

BONDED WAREHOUSE

Also called “customs” warehouses, a bonded warehouse is a type of storage is used to store imported goods before customs duties are levied on them. There are different types of bonded warehouses, facilities tend to be versatile to accommodate a large variety of products.

 

Bonded warehouses are perfect for importers, as they can keep their goods duty-free even for a long period until they find their customers. Such warehouses play a crucial role in cross-border trade, making them ideal for businesses involved in international trade.

 

PUBLIC WAREHOUSES

Public warehouses are the ones owned by the government, semi-government bodies, or a third-party. They are rented to private sector companies to stock up on goods upon paying a certain amount of rent.

This type of warehouse is a great option due to its affordability and accessibility, for small businesses and eCommerce startups that are not in a position to own a warehouse and need to store goods for a short time.

PRIVATE WAREHOUSES

Private warehouses are privately owned by large retail companies, wholesalers, manufacturers or distributors that need a significant long-term presence in a specific region. These private companies purchase/manufacture products in bulk for a peak season and store them in the warehouse for the systematic distribution of orders that are bound to come their way.

This kind of warehouse also known as proprietary warehousing, requires capital investments by the owner, hence it’s best for established companies. Although it warrants investment in the beginning it turns out to be exceedingly cost-effective in the long run.

 

Which Warehouse Is The Best For You?

Each warehouse has a purpose of its own. Whichever warehouse you opt for, ensure to keep both your short-term as well as long-term warehousing needs in mind.

 

If you need warehousing services, CARGO CARE SERVICES can assist. We specialize in Public Warehouses, Bonded Warehouses, Distribution Centers, and Temperature control storage.

 

Contact us to learn more about our warehouses nationwide. We offer full-service warehouse management, inventory, and order fulfillment services, that help your business run leaner and more effectively.