Q: WHAT IS LSP, AND WHAT IS 3PL? WHAT’S THE DIFFERENCE?
A: The term Third Party Logistics – or 3PL – pertains to the level of services and the interconnectedness between the logistics company and the user of the services. Different papers cite different interpretations, but the most common is the grading from 1PL to 5 PL:
- 1PL – A system for own needs with minimum engagement of other providers of logistics services
- 2PL – Certain logistics services of transport, dispatching, warehousing, and customs brokerage are entrusted to specialized providers of logistics services
- 3PL – A provider of a large number of logistics services – the most common form of connecting in outsourcing services
- 4PL – A network integrator – meets most of customer requirements and is responsible for all contracted 1PL, 2PL, or 3PL providers
- 5PL – Managing all parts of the supply chain while providing end-to-end logistics solutions and information technology
LSP (Logistic Service Provider) implies a broader concept because it can involve any of the above described levels – from 1PL to 5 PL.
That is why NELT advocates the term LSP, not avoiding limiting itself to the 3PL level of services it provides to its customers.
Q: What are the customer benefits of employing Nelt for logistics needs?
Reducing operating costs is among the significant benefits that our customers can feel. Thanks to our modern transport and warehousing equipment, sufficient capacities and knowledge, and economies of scale that we pass on through providing services to a large number of business partners, we are able to rationalize all costs – from those of transport and handling inventory through to warehousing.
Improving technology and services
Having a competitive edge in the market means investing in the quality of products and services. We deliver a broad range of logistics services to our customers, and for that reason we are constantly improving our level of technology and our resources themselves. Feel free to rely on our commitment to innovation and continuous investing in development, because this will bring you substantial comparative advantage in the market and reduce the risk of losing the technological race with the competition in the logistics segment.
Being prepared and quick to adapt to changes in the business environment is a key trait of the successful that we incorporate in all our partnerships. A crucial element for gaining experience, cooperation also results in mutual benefits. Through our years of partnership with leading companies in different industries and markets we transfer the rich experiences we have acquired to new customers.
Investments in core business
Overcome the limits of your development budget and at the same time improve the efficiency and effectiveness of your logistics processes. While you invest in the development of your core business activities, you can lean on us for the development of logistics. Focus all your strengths on what you do best, and leave the rest to us.
We have vast experience in different industries and specialize in a wide spectrum of logistics activities, which allows us to estimate uncertainties, as well as minimize and eliminate the risks of logistics operations. This is a significant advantage that we fuse into our partnership with you.
Trust and security are the foundation for success that we foster on daily basis – in both our local and our international partnerships. It will be our pleasure to see you in our portfolio, shoulder to shoulder with our customers like P&G, Dr. Oetker, Mars, Ball Packaging, Samsung, VIP Mobile, Lactalis, Actavis…
Q: How does NELT deliver its services?
A: It all depends on the type and volume of the services, but NELT tailors all its solutions to the specific needs and requirements of its customers.
This is why it is important that we join forces to identify the requirements and arrive to the most optimal solution accordingly.