Logistician: Comparative analysis of third-party logistics and fourth-party logistics

A comparison of third-party logistics and fourth-party logistics

1, the development of comparative

(1) the development of third-party logistics

Third-Party Logistics (Third-Party Logistics, or TPL) is the development of third party logistics in relation to the "first party" shipper and "second party" consignee. Logistics (Third-Party Logistics, referred to as 3PL or TPL) is a form of logistics by the relative "first-party" consignor and "second-party" consignee of the third-party professional enterprises to undertake enterprise logistics activities. It is through the cooperation with the first or second party to provide its specialized logistics services, it does not own the goods, not involved in the purchase and sale of goods, but to provide customers with contractual constraints, based on the alliance, series, personalized, information-based logistics agency services. Including the design of logistics systems, EDI capabilities, statement management, cargo consolidation, selection of carriers, freight forwarders, customs agents, information management, warehousing, consulting, freight payment and negotiation.

(2) the development of fourth-party logistics

Third-party logistics, although in the view of a certain and a few enterprises, logistics operations are highly efficient, but from the integration of all the logistics resources of the community, the third-party logistics companies work individually, and the results of this summing-up is not necessarily efficient, or even inefficient. Therefore, third-party logistics from a certain range of enterprise logistics should be said to be effective, but to solve the economic development of logistics bottlenecks and e-commerce in the new logistics bottlenecks is far from enough. It is this contradiction that gave birth to the fourth party logistics.

Fourth-party logistics (Fourth-Party Logistics, referred to as 4PL) is the enterprise owner to solve the logistics management, reduce costs, and with outsourcing (outsourcing) to the third-party logistics of the downstream extension of the part, which plays the role of undertaking, sharing collaboration (share-sourcing), due to the speed from, Due to the increase in speed, flexibility, global pressure, etc., the fourth party logistics is responsible for the duties outside the traditional third party logistics, that is, the fourth party logistics is responsible for the integration of functions outside the traditional third-party arrangements, and share more operational duties. It focuses on supply chain integration with an emphasis on sharing resources, so successful fourth party logistics organizations, which are founded on the principle of shared risk and shared reward, are often found in the form of a joint venture between the customer and the fourth party organization.

2. Comparison of the characteristics of third-party logistics and fourth-party logistics

(1) the characteristics of third-party logistics

a, information technology.

Specifically manifested as the commoditization of logistics information, logistics information collection of data and code, logistics information processing electronic and automation, logistics information delivery standardization and real-time, logistics information storage digital. Informatization can better coordinate the links between production and sales, transportation, storage and other links. Commonly used technologies are: EDI technology, EFT technology to achieve rapid payment of funds, bar code technology, e-commerce technology and global positioning system.

b, contractualization.

Logistics operators in accordance with the requirements of the contract to provide multi-functional until the full range of integrated logistics services, and use the contract to regulate all service activities and processes. Third-party logistics alliance is also through the form of contract to clarify the relationship between the participants.

c, personalization.

Logistics demand side of the 'business processes and requirements are not the same, thus requiring third-party logistics services should be customized in accordance with the customer's business processes to provide highly targeted personalized services and value-added services.

d, cooperation.

Third-party service users and operators of the strategic alliance between the requirements of each other to disclose more information to break the traditional business constraints, from the "business relationship" into a "partnership". This relationship is a win-win situation that ensures greater system availability, improved service, and more efficient operations.

(2) Characteristics of fourth-party logistics

Fourth-party logistics is usually the face of the price of logistics services agent, which forces the fourth party logistics out of a high starting point to intercept the top of the supply chain resource portfolio route, and thus the formation of the fourth-party logistics high starting point, the characteristics of the high content of technology.

One of the characteristics of fourth-party logistics is that in the whole process, the fourth-party logistics itself does not invest in any fixed assets, but on the buyer and seller, as well as third-party logistics provider of assets and behavior of the reasonable deployment and management, to provide a comprehensive supply chain solutions to effectively adapt to the demand side of the diversified and complex needs, and to focus on all the resources for the customer to perfect the problem. Fourth party logistics integrates the capabilities of management consulting and third party logistics service providers. More importantly, the design, implementation and operation of a unified technology solution that maximizes customer value can only be achieved through the concerted efforts of consulting, technology and logistics companies.

The second characteristic of fourth-party logistics is that it adds value through its ability to impact the entire supply chain, i.e., its ability to deliver benefits to customers throughout the supply chain. Fourth-party logistics takes full advantage of the capabilities of a number of service providers, including third-party logistics, information technology providers, contract logistics providers, call centers, telecommunication augmentation service providers, etc., plus the ability of the customer and the ability of the fourth-party logistics itself. In short, 4PL meets the broad and complex needs of today's companies by providing an all-encompassing supply chain solution. This solution focuses on all aspects of supply chain management, providing both continuously updated and optimized technology solutions while meeting the unique needs of the customer.

A successful fourth-party logistics organization has four basic principles:

(i) the formation of a shared, collaborative organization;

(ii) the functionality of the entire supply chain;

(iii) the organization of the best capabilities to operate the supply chain;

(iv) operational autonomy for the fourth-party organization.

Second, China's logistics market demand analysis of the two kinds of logistics

1, China's third-party logistics development space is huge

China's logistics market has great potential is an indisputable fact, with the accession to the WTO after the opening up of the pace of progressively accelerated, China's "world factory" prototype. Factory" prototype has emerged, the world's leading multinational corporations are deployed in our R & D base, production base, which will attract more domestic and foreign logistics enterprises to enter the market. Such a favorable outlook, we need to carefully analyze their own advantages, disadvantages, opportunities and challenges, in the right way to the healthy development of China's logistics industry.

At present, China's third-party logistics is still in the early stages of the international popular logistics network design, forecasting, ordering inventory management and other services can only be provided by a small number of enterprises, so the development of space is very huge. The proportion of third-party logistics in the entire logistics market in Japan for 80%, the United States for 57%, China is only 18%. According to a survey by the China Warehousing Association, two or three years later, 60% of China's industrial and commercial enterprises will outsource all the integrated logistics business to new logistics enterprises.

2, China's third-party logistics demand is growing rapidly

China's logistics market demand and modern logistics industry have entered a period of rapid growth. 2003 is the rapid development of China's third-party logistics year, a number of mega state-owned logistics enterprises into the third-party logistics market. 70% of the logistics service providers in the past three years. In the past three years, 70% of the logistics service providers had an average annual business growth rate of 30%. The size of the logistics market reached 240 billion yuan, an increase of about 26% over 2002. The entire Chinese third-party logistics market is expected to grow at an annual rate of 25% from 2000 to 2005.

3, China's fourth-party logistics is still in the groping stage

The fourth-party logistics company is mainly a third-party logistics company does not have a full range of services to provide a technology platform. The core business covers logistics audit, logistics planning, logistics consulting, system implementation and logistics training. One of the reasons for the high cost of logistics in China is that there is no reasonable logistics solution, no scientific guidance from high-end consultants. These are heavy in the specific business of the third-party logistics itself is difficult to provide, because the third-party logistics company lacks the entire supply chain for the operation of strategic expertise and the real integration of the supply chain process of the relevant technology. As a result, fourth-party logistics has been put on the agenda. However, a fourth party logistics that is detached from the third party will become a theoretical supply chain solution provider because it is detached from the actual business and operational capabilities. The development of third-party logistics in China has not yet matured, and fourth-party logistics is still in the groping stage. Therefore, there is almost no demand for fourth-party logistics in China, and it is too early to develop fourth-party logistics in China.

Three, China's two kinds of logistics development strategy