A common source of friction in the supply chain is created when two parties cannot properly communicate directly, and limited visibility is offered. To be clear, some degree of friction in logistics and supply chain is inevitable – and in some cases, it’s necessary.
But it is neither necessary nor inevitable when we’re talking about warehousing and fulfillment.
When shippers are looking for available warehouse space, they need two things: Information on their options and a direct connection to the warehouse that best suits their needs. Here is where 4PL (fourth-party logistics) providers must be careful not to introduce friction into the process. Once the shipper has connected to a warehouse provider who has the potential to be the right fit, the best thing that can happen is for those two parties to talk to each other directly and as soon as possible.
When to Stay Engaged and When to Step Back
A 4PL that tries to stay engaged as merely the middleman, at this point, is just adding friction.
And yet fourth-party providers can be valuable if they understand how to facilitate the connection between the shipper and the warehouse. This is why we designed the pop.capacity platform the way we did. We start by providing answers to the basic questions we know every shipper will ask:
· Does the warehouse have space?
· Do they have racking?
· Do they offer transportation services?
· What systems and technologies are available?
· What do they specialize in?
· Do they offer any value-added services?
Unlike a Google search, which requires you to manually research these details, pop.capacity presents the information you need in a single platform. Not only that, but our algorithms and virtual tours do a great deal of work by identifying the best fit for each shipper, based on their data.
Before the shipper connects with the warehouse, they already have answers about the essential capabilities of that warehouse. And the shipper has already been matched via our algorithm to the likely best fits.
Direct Connect is Best
Now, when a shipper and warehouse start talking to each other, they can dispense with their typical Google search questions and move on to more intelligent and strategic conversations. They can discuss billing directly. They can work out operational details directly. They can have a direct experience with no fourth party involved. And at this point, pop.capacity’s work is done.
After connecting the two parties, pop.capacity knows they are more than capable of working out the details themselves. Any further involvement from a fourth party in that process wouldn’t add value. It would add friction.
The priority of pop.capacity is to eliminate friction and heighten visibility in sourcing. When shippers can not only get a listing of available warehouses, but also see the details that can help them identify the best options, that puts them in the best position to reach out, make the connection and secure the warehouse space they need.
What You See is How You Optimize
Visibility is the cornerstone of pop.capacity’s contribution to warehouse management solutions. It empowers both shippers and warehouse operators.
The most important principle here is this: Fourth parties can be valuable in logistics, and in some cases the friction they add is necessary and unavoidable. But when fourth parties try to “own” every movement in the supply chain, they too often gum up the works and don’t add value for the other parties involved.
Here at pop.capacity, our marketplace leverages technology and relationships to connect you with the absolute best facilities in any given market. Explore limitless warehousing opportunities with full visibility into what is truly important. From technologies to service capabilities – there is no place for friction in the supply chain.
