A 3PL tender process can be a bit like buying a car: so many features from so many providers can be confusing and comparing like for like often appears impossible.
Providers of 3PL solutions present themselves and their services in many different ways, and almost all of them will respond that they can do whatever is needed. Additionally, they will often suggest a range of additional services and options, the value of which may not be immediately clear. Making sense of all of this and creating a robust requirements specification can be time consuming and commercially challenging. Once in place, identifying suitable respondents, running a tender, shortlisting and negotiating with potential providers add further distractions, and test existing skill sets. Getting a complex, infrequent process right can be difficult for the uninitiated.
The road to a successful 3PL implementation starts with a well-founded tender document and negotiations focussed on the real needs of the tenderer. Using the skills of people who have developed tender documents, run tender processes, negotiated services & terms and established service level agreements in a wide variety of outsourcing situations can make that start a complete success. Such assistance can improve overall project lead-time, minimise effort and deliver a lower long term total cost by:
GRA will work within your strategic procurement and tender framework or tailor our proven process to suit your needs. We believe a clear picture of service requirements is essential to a successful result and clearly describe the outcomes you wish your future 3PL partner to achieve (we initially focus on the “what”, rather than the “how”). We understand the nature of the business and its customers and we crystalise these elements into a working specification that unambiguously defines the requirements in language that makes sense to tender respondents. We will survey the market to find the most appropriately matched providers to introduce to you. Throughout this process we would consider:
We would generally provide input into transition plans to a new provider and offer advice on exit strategies for existing arrangements.
The following are outcomes of this approach:
The benefits of this approach include:
GRA’s knowledge of the best practices in the end-to-end planning process is very impressive. With our Class A accreditation, Simplot already has an above average S&OP process embedded within the company, but GRA were able to suggest tangible improvements that will hopefully take Simplot to the next level in planning strategy and execution.
– Danny Mellon, GM Planning, Logistics & Procurement, Simplot