In the past, customers only required logistics service providers to move their goods from point A to point B or store it. However, today, customers demand more value-added logistics (VAL) activities performed by their logistics partners. These VAL activities allow logistics service providers to offer customers more value and distinguish themselves from the competition.
Efficiency is Key
Customers outsource their logistics activities to logistics service providers to enable them to focus on their core business. As a specialist in the logistics industry, you are expected to provide the most efficient solutions for your customers. By expanding your services to include activities like assembling, relabelling, blending, and re-stacking, you can offer your customers a more efficient process, saving them time and money.
The Most Promising VAL Activities
Value-added logistics includes all additional distribution or warehouse services that increase your value in the logistics supply chain. If you want to strengthen your competitive position, you should consider offering the following frequently requested services:
Efficient VAL processes enable you to easily repack customer items, whether combining two products into a single package or separating products into single packages before shipment. However, your software solution must be able to handle combined articles and register this extra service without any problems.
Webshops and manufacturers often delegate the responsibility of processing their returns to the logistics industry. This service can be seen as a VAL activity, and adding it to your operation can help you pick up new logistics activities without any problems.
If all the required parts of a product are already in your warehouse, assembling the product is an excellent way to relieve your customers of this workload. This service offers an even more efficient process by assembling in the same facility where you store the goods.
Blending is a VAL activity often executed with bulk goods or liquids. This service combines two or more products you receive or store into one completely new product.
In cold storage, VAL activities are also common. For example, when foods or pharmaceutical products enter your warehouse, they are often frozen quickly in a shock freezer. This is another service you can add to your arsenal.
Capture Services in Your Software
If you can support these activities in your operation, you are halfway there. In realising a genuinely efficient process, your software application must be able to register these services, too. With the help of modern software solutions like 3PL Dynamics and Boltrics’ branch standard, you can configure processes and workflows flexibly in your WMS or TMS. Every (VAL) activity can immediately be captured on the order and invoiced automatically without any additional administrative hassle.
Do you want to learn more about service agreements and VAL activities in 3PL Dynamics? Or are you curious how the software can support your logistic operation? Contact us today to speak with an expert.
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