Tuesday, October 22, 2013

High-Incidence Logistic Countries Benefit From Increased Efficiency


Third Party Logistics | Xl Logistics Blog

It is becoming increasingly clear that the countries that frequently use third-party logistics providers are performing better than their counterparts that are not using these providers. It seems likely that the high-incidence logistic countries are primarily benefitting from the increased efficiency afforded to them by these providers. Companies are streamlining their operations by turning over many of their business functions to these logistics providers, and as a result, have seen sharp increases in their rates of profitability. It is no surprise that many other businesses in other countries are catching on, and are now beginning to follow suit.

While there are many countries that are benefitting from the increased use of third-party logistics providers, it seems that the United States ranks among the highest in terms of both the rate of incidence and rate of resulting improvement. The interesting aspect of this is that not only is the United States turning to providers within their own country, but they are also employing the use of international logistic countries to help to increase their efficiency and profitability. In utilizing this approach, American companies have been able to find the best provider for their specific needs, regardless of the country in which they are located. The most common and successful international logistics providers, however, seem to come mostly from Europe.

The most successful third party logistic countries are the United Kingdom, Switzerland and Germany, in that order. Because of the incredible successes of the third-party logistics providers in these countries, companies in the United States are increasingly turning to these countries to help improve their rates of efficiency and their overall profitability. Regardless of where American companies are turning for their supply-chain assistance, the employment of these providers will certainly continue to increase, as the benefit has been clearly demonstrated by some of the most successful companies. The improvement of a company’s efficiency has become big business, and these providers are taking advantage of this need from companies across the globe.

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