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First-part logistics
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Please help improve this article by adding citations to reliable sources. Unsourced material may be challenged and removed. (Noember 2009)
A First-part logistics provider (abbreviated 1PL) is a firm or an individual that needs to have cargo, freight, goods, produce or merchandise
transported from a point A to a point B. The term first-part logistics provider stands both for the cargo sender and for the cargo receiver.
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4/28/12 First-part logistics - eNotes.com Reference
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1 Type of 1PL
2 Type of transportation
3 Terminology
4 See also
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A 1PL can be anything from a manufacturer, to a trader, buying office, importer/exporter, wholesaler, retailer, and a distributor in the international
commerce field.
It can also be institutions such as government department, NGO, associations, military, and post.
An individual or a family removing from one place to another also needs to have its personal effects transported from their place of origin to their
new place, and is as such considered as a first-part logistics provider.
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Typically the first-part logistics providers subcontract their transportation's needs to 2PLs and 3PLs, which are companies specialized in
transportation. This helps the 1PL to benefit from cheaper transportation prices thanks to the specialization of the 2PLs and 3PLs, and the
subsequent economies of scale.
The transportation needed by the 1PL can be anything from transportation by ship, barge, aircraft, train, van or truck.
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In the freight industry, first-part logistics providers are called differently depending whether they are the sender of the merchandise or the
receiver of the merchandise:
Sender = Consignor = Shipper
Receiver = Consignee
In the "PL" terminology, it is important to differentiate the 1PL from the:
2PL, which are actual carriers,
3PL, which are one stop shops for the 1PL, such as freight forwarders or courier companies,
4PL, which are consulting firms such as CPCS, SCMO, BMT, Deloitte, and Accenture.
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Courier
Freight forwarder
2PL, Second-party logistics provider
3PL, Third-party logistics provider
4PL, Fourth-party logistics provider
Freight
Shipping
Logistics
Transportation
Supply chain management
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This article is distributed under the Creative Commons Attribution/Share-Alike License. For information on the contributors, please see the
original Wikipedia article.
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