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Case Study Supply Chain Management

1. 5 key issues that must be addressed when evaluating this outsourcing option. * Finding the Right Third Party Logistics Provider * Is Your Warehouse Qualified? * Lines of Communication * Systems and Services * Compliance 2. Why is each of the 5 key issues important? * Finding the Right Third Party Logistics Provider Vendors who outsource their warehousing and distribution operations to third party logistics providers expect fast and accurate service, but sometimes fail to perform proper due diligence when selecting their 3PL. They are subsequently surprised and disappointed that the 3PL doesnt seem to appreciate what their needs are, but fail to realize that they didnt do their homework in making the 3PL understand their requirements. Vendors must understand that they are dealing with a separate company that has interests and financial goals of its own. Therefore, effective collaboration is required to ensure that both parties can satisfy each others demands and create a mutually profitable relationship. * Is Your Warehouse Qualified? When selecting a 3PL, companies must first examine the equipment capabilities offered. For example, are its operations located near ports, airports, and highways that provide quick distribution? Is it near congested highways

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