Third-party logistics (3PL) software handles outsourced supply chain functions like transportation and warehousing. For companies without their own warehouses or fleets, 3PL providers can manage these services on their behalf. This software allows 3PL providers to plan, schedule, and oversee supply chain operations for their clients, who also have access to the system to ensure greater transparency. While some 3PL software solutions are tailored specifically for outsourcing, others can be used by both 3PL providers and companies managing their own supply chain internally. Integrated within a company's broader supply chain management suite, 3PL software works in conjunction with transportation management and warehouse management systems. Additionally, with the rise of e-commerce, 3PL software increasingly needs to integrate with e-commerce platforms.
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