3PL - or third-party logistics - represent a way for companies to externalize their warehousing, distribution and fullfillment. Often when ordering a product on Amazon or eBay for example, the merchant is not actually going to ship the product directly to you themselves and instead uses a specialized company called a 3PL who ships the product on their behalf.
In this episode of LokadTV, we are joined by Jingyang Xu, the Chief Strategy Officer at Winit who has had a long and dynamic career, having worked for 10 years at Microsoft as a developer on many of its major products, then moving on to Light in the Box, one of the world’s first major e-commerces providing products directly from the manufacturer to the consumer and then working at Weibo - China’s biggest social network -, before finally co-founding Winit.
Winit is an integrated supply chain solutions provider for cross-border e-commerce. Together we discuss how with the continuing growth of online shopping supply chains and the marketplaces are evolving. Manufacturers are becoming closer to the consumers and small to mid-size vendors are now able to develop their business more easily thanks to the development of e-commerce. 3PL’s such as Winit are having to rapidly develop and make the best use of software to react to the ever more demanding needs of their clients.
The worldwide market of 3PL has been steadily increasing for the last decade, and it is still expected to grow steadily for the next decade to reach a trillion dollars by 2025. In this episode, we try to understand how technology can impact upon this growth and how the rise of automation is making the global marketplace smaller.
To round things off, we debate how future 3PL’s will change and try to understand the role that advanced forecasting techniques will have to play in this, as well as the impact on the modern supply chain.
00:35 Jingyang Xu, perhaps as an introduction you can just talk a little bit more about yourself?
04:03 Can you tell us a little bit more about Winit’s approach?
09:45 What is your take on these changes in the industry?
15:10 In terms of next day delivery, how are you fulfilling this high demand from customers?
17:51 Where do you see the biggest areas for improvement for 3PLs?
19:37 3PLs have got to do with such a wide different range of products. How do you deal with that diversity? How are you automating all those processes?
20:44 What sort of technology can we use to add intelligence to these supply chains?
26:28 Jingyang, talking about the future, can you envisage a day when Winit is just a software company?
32:18 If you had one piece of advice for an European E-commerce looking to source from Asia, what would it be?