A Great Opportunity Exists! Most shippers are still using Most small & midsize companies arespreadsheets & fax machines to still managing their transportationmanage their transportation ops and logistics ops in-house Smaller Companies Fortune 500 Companies Only about 1/3 of the companies that could About 70% of 3PL revenues come frombenefit from using a TMS have deployed one. Fortune 500 companies.Source: ARC Advisory Group Source: Armstrong & Associates
The Question is How Do You Get There? What do shippers look for in a 3PL? What capabilities do you need in terms of people, technology, and go-to-market approach?
People: Your Most Valuable Asset Experience and exper,se in the Position your talent as one of your most valuable assets. ver,cal industries you serve Sell the knowledge, experience, Consul,ng experience and expertise of your team as much as your services. Analy,cs skills Invest in hiring, training, and Value Selling retaining the best talent available. Lean/Six Sigma “Look for people who have Interpersonal skills superior talent in managing relationships.”
Technology: Your customers are users too! Important TMS AAributes Supports mul,ple transporta,on Give your customers a voice in modes developing your IT roadmap. Supports diﬀerent contract terms Solutions must be quick and easy to configure and upgrade. Visibility and op,miza,on Mobile access and capabilities Business Intelligence becoming more important. Re-‐usability of customer setups Users want simple user interfaces, and the ability to Connec,vity to carriers view data/info in graphical formats – “A picture is worth a Customer self-‐service features thousand words.”
Go-‐to-‐Market: Crawl, Walk, Run Focus on your most strategic clients A history of proven success Strong personal rela,onships Trust already established Use consul,ng services as a stepping stone Network Design Procurement “Tell them what they don’t already know” Invest in building your brand Have sa,sﬁed customers tell their story Leverage social media to get word out
Summary & Recommendations Big Opportunity: Serving small and midsize shippers who don’t use a TMS and s,ll manage opera,ons in-‐house. A successful 3PL is an opera,ons manager, a consultant, and a technology provider all rolled into one. Don’t just sell your services, but also the knowledge, skills, and experience of your people. Con,nuously invest in customer-‐facing technologies. Avoid the ailments of typical 3PL-‐customer contracts. Harness the value of your customer and employee community.
Thank You! Adrian Gonzalez President Adelante SCMadrian@adelantescm.com