Contract Logistics

What is a Contract Logistics

Contract logistics companies handle activities that include but not limited to the design and planning of supply chains, designing facilities, warehousing, transporting and distributing goods, order processing , managing inventory and even providing certain aspects of customer service. and collections

Supply Chain Activities involve transportation, customs clearance, and warehousing activities in one or more locations in the entire network. Contract Logistics make up an integral part of the supply Chain. Global operations are the way to go

While some companies manage their own logistics, others find it more efficient to outsource to specialized contract logistics companies.

Normally in Logistics, the frond end of the businesses would be the Freight Forwarders, Transport Companies and Warehousing Service Providers. In many cases Freight Forwards own and manage warehousing facilities too.

Why is Contract Logistics so Important ?

While Freight Forwarding is an important function of 3PL Service providers to facilitate the Supply Chain, another equally important function managed by 3PL Logistics Companies is Contract Logistics.

Under the broad umbrella of Contract Logistics, 3PL providers provide services of setting up consolidation centers, distribution centers, warehouses and inventory management services.

Customized fulfillment logistics allow customers the complete outsourcing of their product management. It is the goal of a logistics service provider to combine all related logistics functions along the supply chain of our customers in an efficient and reduce the cost along the way.


Contract Logistics Companies are usually Third Party Logistics Companies traditional function such as:

  • Freight Forwarding Services which include ocean freight services, air freight services and inland transportation.
  • Warehousing Services
  • Cross Dock Services :
    Cross docking is a practice in logistics of unloading materials from an incoming truck or shipping container and loading these materials in outbound trucks, trailers or shipping containers.
  • Packing Services

One such Company that is a true 3PL company is International 3PL. They are able to fulfill many needs due to their many locations across the USA