Logistics Weekly
 

Building the Best 3PL: Getting Your Org Structure & Compensation Plans Right Is Critical!

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There are many organizational models used by 3PLs, from cradle-to-grave and the “Chicago Model” to Pod Structures. Additionally, we are at the dawn of the next new technological sea change that is going to radically change how all 3PLs operate. Whether your 3PL is primarily a technology play focusing more on the software, or you are running a traditional model but seeing old rules change because more can be done through automation, you need to consider the roles your organization needs, the process flow between those roles, the right accountabilities for each role, and the proper compensation plans for those roles to drive the RIGHT results based on your current strategic needs. And of course, your compensation plans must be flexible enough to adapt to future changes and market swings, such as we saw between 2018 and 2019.

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