4P Logistics:
The future has already
begun
A global network for all logistics problems
For many companies, logistical deficiencies and structural problems in the value chain are a regular source of financial bottlenecks and timing problems. Logistical resource management is often extremely complex, while contract partners and service providers are sometimes difficult to control and monitor; even a business' own warehousing can create disproportionately high costs.
4PL logistics companies like Chrono Logistics have taken it upon themselves to create an integrated and sustainable solution to remedy these problems. As a result, they take responsibility for the entire logistical process, including control and management. Businesses that transfer part or all of the logistical activities from their value chain to a 4PL logistics provider are better able to concentrate on their core business – to the benefit of their customers, products and markets, not to mention their sales.
What is important for trusting, partner-based cooperation is that 4PL providers are completely neutral and independent when it comes to selecting a transport service. The choice is based on the various requirements of the respective industries. The transporter is always selected and the order placed in accordance with best-in-class criteria. Chrono Logistics guarantees its customers this objectiveness and independence.
4PL simply offers more
The constant rise in the cost of energy and the pressure of competition are creating ever narrower margins in the transport industry, coupled unavoidably with a fall in quality. Businesses from outside the industry will not find it any easier to locate a reliable service provider. These too are indications of increasing concentration in the logistics business.
As an experienced 4PL logistics provider, Chrono Logistics maintains a constant overview of what is happening in the industry, and is therefore able to employ whatever is best for its customers, and in so doing utilising synergies and bundling orders and goods flows.
| Factors | 3 PL | 4 PL |
|---|---|---|
| Supply chain services |
Physical movement and execution |
Operation, coordination and administration |
| Intensity of assets |
High – vehicles, storage, equipment |
Low – information and communication systems |
| Intensity of knowledge |
Low – standard tasks |
High – organization of product flow |
| Relationship with the manufacturer |
Negotiated contract |
Dedicated contract and strategic coordination of the supply chain |
| Performance |
Possibly limited in gains and results |
Wide-ranging, involving client service and results in the supply chain |
| Shared information |
Limited – impacts only execution |
Wide-ranging – include clients, suppliers, policies, priorities |
4PL with Chrono Logistics – it is all about structure
The organisational structure of Chrono Logistics comprises five centres: Strategy & Planning, Marketing & Sales, Implementation, Supply-Chain Management and Engineering, plus Finance & Management. All of these centres are, along with the network partners, connected by a joint communication platform within an overarching control centre. In this way, the entire supply chain and all processes can be monitored and any process modifications triggered as and when required. It also performs any troubleshooting that may be required, as well as KPI management (Key Performance Indicators).
A 4PL communication platform controls and regulates the entire flow of documents.
If you have any questions regarding our services or need us to provide you with a non-obligatory quote, we would be happy to help.
» Contact us