Demand for better analytics capabilities and a greener supply chain ranked high in the 2020 Third-Party Logistics Study, released today during the Council of Supply Chain Management Professionals' (CSCMP) EDGE 2019 conference, in Anaheim, Calif.
Sponsored by Infosys Consulting, Penn State University's Smeal College of Business, and transportation and logistics provider Penske, the study addressed a range of issues affecting the modern, complex supply chain and the relationship between shippers and third-party logistics (3PL) providers. The growing importance of analytics in the shipper/3PL relationship, growth of supply chain finance, and demand for greener, more sustainable supply chains were top issues identified in the report, which marks the 24th installment of the collaborative, 3PL study.
Representatives from Infosys and Penske Logistics presented an overview of the report during the EDGE conference, first noting that 3PL expenditures by shippers have remained consistent in recent years, as have the types of services shippers are outsourcing to 3PLs: domestic transportation, warehousing, international transportation, customs brokerage, and freight forwarding are the top five outsourced services, in that order. They also highlighted the growing focus on analytics, environmental sustainability, and supply chain finance, noting that:
During the CSCMP EDGE presentation, Penske's Joe Carlier emphasized efforts by both shippers and 3PLs to increase the use of alternative fuels as well as autonomous vehicles and platooning technologies over the next five years. The latter group is expected to increase from less than 10% today to nearly 30% in the next five years, he said.