Top Challenges Shippers Face Top Challenges 3PLs Face Cutting transport costs 32% Challenges
Business process improvement 22%
Rising operational costs 72%
Improving customer service 18%
Technology investment 56%
Supply chain visibility 16%
Finding, retaining customers 46%
Managing inventory 15%
Finding, training, retaining qualified labor 46%
Reducing labor costs 14%
Compliance/regulations 43%
Expanding to new markets via selling 11%
Finding, training, retaining qualified labor 11%
Contingency planning/risk management 39%
Technology strategy and implementation 10%
Capacity 31%
Ecommerce 9%
Making a profit 30%
Expanding to new markets via sourcing 9%
Growth management 26%
Vendor management 9%
Meeting customer service requirements 24%
Risk management/contingency planning 8%
Corporate social responsibility (including sustainability) 6%
Corporate social responsibility (including sustainability) 21%
Regulations/security/other compliance issues 6%
Global coverage 6%
DC network optimization 4%
When it comes to challenges facing 3PLs, the top of this year’s survey looks like the top of last year’s survey: rising operational costs remain well-entrenched at No. 1, receiving a vote from 72% of respondents—down just one point from 2024. However, in general, the survey shows major shifts in 3PL challenges. For instance, technology investment lands well back in the No. 2 slot at 56%, reflecting a decline of 10 percentage points in two years as more 3PLs become comfortable in that area. Meanwhile, heading in the opposite direction, the third-biggest challenge among respondents this year is finding and retaining customers—surging 13 points to 46% in two years, suggesting the competition for clients has grown more intense. Other 3PL challenges logging major declines include finding, training, and retaining qualified labor (46%, down 13 points since 2023—a hopeful sign for the enduring stang issues that have aicted many in the industry); capacity (31%, down 15 points); and corporate responsibility, including sustainability (21%, down a striking 17 points as policy shifts undermine the previous emphasis in that area). Not everything has gotten easier, though. Compliance/ regulations (43%, up 11 points), contingency planning/risk management (39%, up 12 points), and making a profit (30%, up 14 points) have all grown harder in the past two years, according to 3PL respondents.
Reducing assets and/or infrastructure 4%
Shippers are contending with an array of challenges, but this year’s survey respondents seem to be less concerned than they were last year. For instance, cutting transport costs continues to be the most-cited challenge, but the percentage of shippers who view it that way dropped from 41% to 32% in one year. Other top shipper challenges also show marked declines in the past year, including business process improvement (22%, down 11 percentage points), improving customer service (18%, down 10 points) and supply chain visibility (16%, down nine points). Also mentioned at a lower rate than last year are: managing inventory (15%, down four points); reducing labor costs (14%, down five points); expanding to new markets via selling (11%, down one point); finding, training, and retaining qualified labor (11%, down five points,); and technology strategy and implementation (10%, down three points).
July 2025 • Inbound Logistics 71
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