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Terminology Explained – 4PL vs. 3PL

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Have you ever wondered what separates a 4PL (Fourth Party Logistics) from a 3PL (Third Party Logistics) company?  It generally comes down to their control within the supply chain.

4PLs have a broader role and while they assume many of the same roles as 3PLs, they have much greater responsibility and accountability in assisting clients to reach their strategic goals.

A 4PL typically directs every moving part within the client’s supply chain and serves as a single point of contact for all parties and activities, including warehousing and distribution.  In contrast, a 3PL has less accountability and control over the client’s supply chain.

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Quick Tip #19
What freight quotation is best for your product?

Don’t sign off on a shipment until you have confirmed the quotation is the right match for your product.

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