Value Added Logistics

Value added logistics is an evolving concept where a logistics company not only offers transportation but also provides services that are not typically categorized under logistics operations. They add value by providing additional services like weighing, packaging labeling, storing for a short period, door-to-door delivery or work as a logistics chain integrator. PL Solutions, a leading name in the ERP consultancy sector, offers comprehensive value added logistics solutions.

The Increasing Demand For Value Added Logistics

In order to optimize lead times and meet the high pressure exerted by the supply chains, suppliers, distributors and dropshippers prefer receiving products in a ready-to-process state. There is also an increased demand for product customization, localization and product compliance. Value added logistics services cater to these demands, i.e., add more value to the supply chain when the goods are in transit under their custody. Recognizing the need for expert intervention in building the right operational strategies, PL Solutions is offering consulting guidance and implementation support.

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How Does Value Added Logistics Impact Your Operations
Your Staff Members Will Require Additional Training

It is natural that your staff members would be trained only for executing typical transportation, loading/unloading, and basic documentation. To provide value added logistics as a part of your service portfolio, you will be required to train your employees to execute tests that can add value propositions like labeling the packages, adding brand tags, perform basic QA checks, conduct cross-docking exercises with other logistics companies, and executing last-mile delivery.

With The Increase In The Scope Of Service, Record Keeping Needs To Be Shared Outside Your Organization

Another significant impact on your organization includes sharing the records of processes undertaken. Sharing the data outside your organization may also require you to offer gated access as certain pieces of data may not be shared with the third parties’ junior employees.

Facility And Resource Allocation Will Require Revamping

As per the value addition prepositions chosen, you will also need to make necessary changes to your storage facilities, vehicles and hire additional human resources that are trained for executing the tasks.

Which Types Of Changes Are Required In Your WMS To Support Value Added Logistics
Additional Equipment May Be Needed As Per The Handling Guidelines

Providing extra services may require you to install additional hardware equipment like barcode scanners, label printers, QC tools, purchase software subscriptions and integrate them with your 3PL Dynamics software package. All of these tools also need to be integrated with the WMS system to automate data entry.

Process Monitoring Automation Is To Be Implemented

Since the additional services aren’t a part of your traditional offerings, their monitoring is done using automation solutions. This might be required by your clients as well. It is done using videography, feeding data into the ERP system manually/using a mobile app.

Detailed Reports Are Generated That Meet Your Client’s Requirement Scheme

The value added logistics model would require you to generate custom reports that provide a comprehensive view of the activities executed by your staff, the tools used, outcomes, and any special notes that may impact your customers. Your WMS and TMS solutions should be able to synchronize this data and export printable reports for record keeping purposes.

Features Of Value Added Logistics Implementation By PL Solutions
  • The team at PL Solutions will suggest the additional services that you can offer at the moment and the ones that you can add later as you gain operational experience.
  • The package includes formal training of your staff members through virtual mode or as agreed upon mutually to conduct operations mentioned above.
  • We will provide you with SOPs and SLAs for common value-added services and assist you with setting the prices for the same.
  • The WMS customization and development part of our services will cover defining various additional services, their process parameters and automate their billing process.
  • Our technical team will also provide you with superuser access for setting up automation workflows for these services as required and define new ones apart from troubleshooting and annual maintenance services.
Advantages Of WMS-Enabled Value Added Logistics
  • Retain your client base with additional services.
  • Upsell and cross-sell to generate higher revenue.
  • Unlock new business opportunities.
  • Take full advantage of automated billing for all VAL services.
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When taking a business decision that impacts your bottom-line significantly, it is always good to have an expert at your side. We have a team of seasoned subject matter experts who will understand your needs and recommend tailored solutions. Book the free consultation call now!