What is a 3PL Warehouse Management System?

3PL or third-party logistics is a strategy that refers to using external resources for managing warehousing, logistics, and supply chain tasks. The 3PL helps the e-commerce store owners manage their complex operations of the warehouse, such as storage, packaging, distribution, shipment, and procurement. Hence they can focus more on their sales department without interfering with all operational challenges.


Similarly, the 3PL warehouse management system is a unique software that effectively controls the warehouse community’s needs. It has all the necessary strategies to manage complicated operations with multiple inventory owners. This management system also allows customization of each customer’s reporting, billings, and labels.

Key features of the 3PL Warehouse Management System

Here are some key features of the 3PL warehouse management system to drive excellent warehouse execution and accurate order fulfillment:

Benefits of 3PL Warehouse Management System

Willing to achieve long-term success? This mission requires making the right and strategic choices at the right time. The success of your e-commerce business mainly depends on how quickly the customers receive the shipment. The more satisfied customers, the better your net profit will tend to be. At this point, the benefits of the 3PL warehouse management system for you and your customers are outstanding. Regardless of their industry, be it retail, wholesale, or manufacturing.

Investing in a quality 3PL warehouse management system, particularly a cloud WMS, helps you decrease your overall cost and saves time by speeding up decisions. In addition, these agencies make your life easier as they help to handle sales efficiently through the automated process. Hence resulting in the reduction of costly errors and increasing organizational efficiency.

Dealers understand the significance of logistics and how it can affect their business. For example, e-commerce is an incredibly profitable business today. According to a report, revenues could reach about USD 8.1 trillion in 2026. Consequently, 3PL warehouse management services will become more demanding. Therefore, it is crucial to outsource logistics tasks to the right company, to improve the overall performance of your business.

Today, 3PL is one of the most recognized outsourcing frameworks in business. Its popularity can be easily understood by the research showing that by 2027, its market value is estimated to hit $1,789.94 billion. This unique system is operated by a web portal that makes inventory levels, manages orders, and other tasks constantly updated.

Expanding the business is every business owner’s dream. A flexible 3PL warehouse management system can help you to achieve this dream. This system eases the process of bringing new clients and expanding to new products. It also gives complete visibility to your clients into every order, from the date you received an order to shipping, packing, delivery, and billing. Ensuring you select the lowest cost for shipping that meets every customer’s delivery demands. This way, you can expand your business and confidently grow your 3PL warehouses.

Interested in knowing the benefits of the 3PL warehouse management system? Read on to learn more.

1- Saves Time by Real-Time Visibility

The manually generated customer reports in a warehouse are time-consuming and can be non-accurate. This leads to a less consistent quality of output and greater risks of errors. Choosing the right 3PL software gives you a wonderful real-time visibility option. The 3PL web portals save time by eliminating the need for generating manual customer reports. Besides, it provides the advantage to clients that they can log in securely and access the data at any time with any device.

Moreover, the 3PL warehouse management system easily connects you with your shipper wherever they are located. This way, you can have a real-time view of stock levels and order status from your comfort zone, virtually giving you unified visibility into inventory, progress, and documents.

With your 3PL warehouse management system integrated with the inventory management system, you can manage the orders, and inventory levels and perform other tasks within a few clicks. Moreover, the data is always up to date whenever you look at it.

Besides this, the added functionality of advance shipping notices makes the entire process very convenient. The customers benefit from planning, picking, and shipping demand by themselves.

In short…

  • It trims the cost of extra labor to generate customer reports.
  • Provides a secure login detail for the client.
  • Access to data is available anywhere, anytime.
  • Real-time data gives rapid decision-making facility.
  • Advance shipping notification supports picking and packing demand.

2- No More Errors by Tracking Inventory

Powerful client interaction is the foundation of a successful business. 3PL warehouse management system serves this goal dedicatedly. You can deliver an accurate report of the goods shipped by a real-time location tracking facility to your customers.

The most accurate way to get real-time information about the goods in transit is via the barcode system, SKU, batch, parts, and serial number. These streamlined tracking functionalities improve the efficiency of operations by reducing manual tasks.

3- Automated Accuracy by Advanced Billing System

Another benefit of the 3PL warehouse management services is its accurate billing. Unfortunately, your 3PL warehouse provides services to multiple clients simultaneously, leading to many complications, such as reporting and billing challenges. Thankfully, 3PL warehouse management software offers all the necessary tools to set up a faultless billing system.

A high volume of transactions occurs every moment when a warehouse runs multiple operations. This traffic makes the billing process complex and can frequently lead to inaccuracy in-house or from shipping companies. As a result, the warehouse needs to hire an additional supervisory team to solve these issues.

Moreover, manually tracking transactions and compiling them into bills is time-consuming. It sometimes takes days to complete, which can also affect customer relationships. The 3PL warehouse management system provides an efficient solution by automatically generating the bill for every transaction that appears. Hence saving your time and providing the benefit of treating each customer appropriately.

4- Gain Scalability by Flexible Operations

3PL warehouse management can meet all the latest needs of your business efficiently. All the tasks, such as adding new stock, managing transport options, or supervising the team members, are handled efficiently without software updates.

Moreover, it also offers flexibility and scalability for the distribution and supply of resources based on present business needs. So, when the sales are down, there are no unutilized resources and redundant investments. But when the seasonal peaks go up, enterprises can upscale.

5- Boost Customer Satisfaction by Avoiding Mistakes

One of the big reasons for considering a 3PL warehouse management system is that it helps achieve the business’s fundamental goal, i.e., customer satisfaction. As we all know, happy customers are the backbone of any 3PL warehouse. Therefore, to drive customer satisfaction, it is necessary to maintain the supply chain.

Customers are demanding and selective and have specific requirements and needs. As a 3PL service provider, you realize that tracking, shipping procedures, packing, kiting, and many other tasks can vary significantly between your clients. So, it is necessary to provide improved services to avoid problems like shipment delays, damaged items, and missing goods.

Companies providing 3PL warehouse management services make it simple to keep track of all the differences and ensure that they are followed well. The automatically updated system ensures that every order meets the client’s specifications.

In short, greater efficiency in logistics results in more reliable production and increased customer satisfaction as customers get their products when promised.


The e-commerce market is competitive, so it becomes difficult for many businesses to scale up. Due to e-commerce’s speedy growth and challenges, shippers desperately need a system that combines all of their tasks into one seamless system. Powering your business with the correct tools is crucial if you want to grow and prosper in your industry.

A 3PL warehouse management system boosts your productivity and efficiency in your overall operations. It provides the advantage of real-time tracking, seamless scalability, and accurate billing. The benefits of the 3PL warehouse management system makes life easier by increasing efficiency, decreasing costs, and helping businesses thrive.

If you are looking for a futuristic 3PL Warehouse management system, then visit www.3PLNext.com.

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