All You Need to Know About Fulfilment Operations and The Role of 3PL Warehouse

July 28, 2021
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Sustenance, growth, and expansion are the prominent objectives businesses across the globe vie for, especially in the new normal circumstances. Businesses with massive product portfolios are aiming for effortless, and hassle-free order fulfillment despite the social distancing, and travel restrictions, which may ultimately impact the product delivery. A robust, resilient, and succinct warehouse solution is the need of the hour for businesses that wish to scale their operations.

Having an in-house warehouse management system, and a chain of warehouses and storage facilities have their own potential for order fulfillment. However, there are certain constraints associated with this approach too. Here comes the role of the 3PL warehouse concept, wherein the warehousing operation is being taken care of by a third-party logistics provider in an end-to-end manner.

In this article, we will be covering the key reasons why businesses should opt for 3PL warehousing more than ever.

No Capital Investments

This is the beauty of outsourcing or relying on any third-party entities for any sort of operations, even for warehousing as well. With third-party logistics providers in the equation, businesses don’t have to worry about setting up scores of warehouses in multiple locations to meet the order fulfillment demands of the customers in an easy, quick, and hassle-free manner. Simply put, no capital investments as such for the businesses in the short and long run.

Access to Best-in-class Technology

The best part of collaborating with 3PLs is that businesses get access to best-in-class technology and tech-enabled solutions. From API interfaces to EDI to retail compliance to leveraging cloud computing solutions, 3PLs come armed with all sorts of tech innovations, and the latest trends. By partnering with them, businesses can get access to this pool of tech solutions that are geared to improve accuracy, efficiency, and reduce order fulfillment costs substantially. Wave planning, batch labeling, and RF scanning technologies, some of the warehousing best practices can also be optimally harnessed when businesses join forces with 3PLs.


Scalability and flexibility have pivotal roles to play when it comes to order fulfillment. Businesses might have to contend with bulk order deliveries due to seasonal spikes or rapid growth/demand for a particular product category. And, here, 3PLs swoop in and take care of the entire gamut. With rules-based warehouse management systems, scalable workforces, and the latest tech innovations, 3PLs enable businesses to stay competitive throughout their growth journey.

Focus on Core Competencies

When it comes to retail, order fulfillment, and logistics, businesses in the realm have to juggle quite a few responsibilities. And, it may become quite challenging for them to keep up with ever-evolving customer expectations. With 3PLs being in the equation, businesses enjoy the liberty to invest their knowledge, time, and resources in rehashing their customer-centric focus. They can invest more time in marketing, and high-end strategic initiatives rather than being worried about the operational aspects. Fast-track order fulfillments won’t remain just a myth with 3PLs in the equation with their brief order-to-ship times. 3PLs also offer data-driven, real-time, and actionable insights into shipping and order fulfillment that can enable businesses to stay ahead of their counterparts and on the top of the minds of their target customers. The online visibility offered to customers by 3PLs also comes in handy in enhancing customer journeys and brand experiences. Satisfied, and loyal customers equate to high-end ROI for businesses. So, why not embrace the 3PL warehousing concept if not already done?

Cost Efficiency

Cost efficiency, and minimal overheads, now these are dream-come-true for any business into the order fulfilment, warehouse, and logistics ecosystem. 3PLs enable a pay-as-you-use concept, which means businesses have to pay for the amount of warehouse space they are leveraging from the 3PL. A succinct, well-versed, tech-savvy workforce and a horde of tech-enabled warehouse solutions and best practices are the additional benefits 3PLs bring into the equation. No capital investments in terms of physical infrastructure, and manpower help businesses save a massive cost. Businesses don’t even have to worry about expanding their infrastructure to accommodate the surge in fulfilment requests. Besides, businesses can reduce shipping costs, and other overheads by collaborating with the 3PLs.

Warehouse management is integral for businesses for ensuring cutting-edge order fulfillment, and customer satisfaction. And, 3PLs are surely here to stay and contribute substantially to achieve the much-needed equilibrium.

If you are still undecided about leveraging a 3PL warehouse facility, stay tuned for more updates. Do connect with the experts at Vinculum to explore more in the 3PL warehousing realm!

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