What typically characterizes a third-party logistics provider?

A third-party logistics provider (3PL) is typically characterized by its ability to handle a wide range of logistics functions on behalf of a client company. This encompasses not only transportation but also warehousing, inventory management, order fulfillment, and sometimes even value-added services like packaging and assembly. By taking over many of the logistics tasks, a 3PL allows the client to focus on their core business activities while benefiting from the expertise and efficiency of the logistics provider.

In contrast, focusing solely on consulting pertains to a more specialized service that does not involve direct logistics operations, which applies to organizations that do not engage in the actual movement or management of goods. Handling only transportation limits the scope of logistics functions a provider can manage, excluding other important elements like warehousing or inventory management. Lastly, providing in-house warehousing solutions suggests a fixed infrastructure that is typically not characteristic of a 3PL's flexible and scalable service model, as many 3PLs operate through a network of warehouses rather than relying on their own facilities alone.