Gazing into the mirror: CEOs of third-party logistics companies worldwide share opportunities, strategies and struggles

Our 2006 3PL CEO Study reveals leading third-party logistics providers (3PLs) are looking to find their way in a world in which their roles are growing and becoming increasingly complex. Faced with external influences – such as a demanding customer base seeking geographic expansion – and mounting internal issues, it's time for 3PLs to focus on simplicity, innovation and better supply chain management.

The 2006 3PL CEO Study, conducted by IBM Global Business Services, in conjunction with Dr. Robert Lieb, Professor of Supply Chain Management, College of Business Administration, Northeastern University, was designed to identify current and projected trends in the logistics industry. Forty-four CEOS from major third-party logistics companies were surveyed. Respondents were from: North America (22); Europe (11); and Asia Pacific (11).

Evolving needs drive innovation agendas
The role of logistics providers is changing in response to globally expanding requirements for integrated transportation and distribution capabilities. At the heart of this change is a continuing drive to transform 3PLs from price-driven contract service providers to strategic partners that add value for their enterprise customers.

From a customer standpoint, 3PLs will continue to grow in significance as integral parts of sourcing, capacity and operational strategies. However, as 3PLs suffer the inevitable growing pains, their customers will need to both enable and endure industry changes in order to effectively integrate and use 3PL services.

To read the full study, download the PDF file at the top of this page.