A 4PL Explained.

A 4PL assembles the resources, capabilities, and technology of its own organization as well as other organizations in order to design, build and run comprehensive supply chain solutions.

4PLs integrate all of the companies along the supply chain – planning, steering and controlling all of the logistic procedures with long-term strategic objectives. A true 4PL organization would then build a set of activities focused around a specific set of supply chain initiatives and goals. In a traditional 3PL environment, this would include the involvement of Ocean Freight Providers, Customs Brokers, LTL Carriers and even Financial Institutions, Credit Services, Repair Facilities and more. It is the coordination and management of these additional service.