There are several participants in the logistics industry: a freight forwarder, a carrier, and a 3PL operator. Although all of them are involved in the delivery of goods, their roles and functions differ significantly. 

Carrier: physically transports the goods

A carrier is a company or person who directly transports cargo. They own or rent vehicles (trucks, ships, planes, trains) and are responsible for the physical movement of goods from point A to point B. 

Their responsibilities include ensuring that the goods arrive at their destination within the agreed timeframe and in proper condition, including:

• careful planning, compliance with international shipping regulations, and liaison with all parties involved in the delivery process;

• processing the necessary documents, such as bills of lading, which describe in detail the type, quantity and destination of the goods;

• directly organizing transportation (loading, transporting and delivering the goods safely and efficiently);

• protection of goods from damage or theft during transportation.

The carrier is generally responsible for the safety of the cargo from the moment it is accepted until it is handed over to the consignee. 

In e-commerce, carriers provide reliable and fast last-mile delivery. Companies often work with multiple carriers to optimize costs, delivery speed, and regional coverage. 

What types of transportation are there?

• Specialized (e.g., only sea or air) or multifunctional, operating in several transportation segments. 

• Multimodal - when several modes of transport are used sequentially on the same route under one contract, and intermodal includes several modes of transport, but under separate contracts. 

Carriers can be public, serving any client, or contract carriers, working exclusively with certain companies on the basis of long-term agreements. There are regional and international carriers. The freight forwarder often coordinates with them to optimize the delivery process.

To choose a carrier, evaluate the type of goods to be transported, consider the geographical coverage, the carrier's rating, and the timing and reliability of delivery schedules. 

Freight forwarder: organizer of the logistics process

A freight forwarder is an intermediary that organizes the transportation of goods but does not carry out the transportation itself. It coordinates all stages of cargo delivery: choosing a route, booking a seat with a carrier, processing customs documents, insuring cargo and tracking its movement. 

The freight forwarder's job responsibilities combine the work of a diplomat (because you need to negotiate with all participants), an analyst (because you need to assess potential risks and difficulties), and a crisis manager who successfully solves problems that arise in the transportation chain. The main tasks of a freight forwarder:

1. Route optimization. The choice of the most efficient ways and means of transportation (route and carrier) depends on it

2. Documentation management. It is he who fills out such documents as bills of lading and customs documents.

3. Customs clearance. His area of responsibility is to ensure that the cargo meets all regulatory requirements for unimpeded border crossing. 

4. Cargo insurance. A freight forwarder studies, analyzes, and offers the best insurance options to protect goods during transportation.

They can provide additional services, such as consulting on logistics, warehousing, etc. Freight forwarders operate not only regional but also international routes. It is possible to combine transportation and forwarding services in one contract when the forwarder is also a carrier, but this is rare. 

The benefits of working with a freight forwarder are felt by companies of all sizes and scales. For small carriers, it provides access to global transportation networks without the need to maintain their own logistics team.

For large logistics businesses, freight forwarders provide specialized services to manage high-volume, complex transportation. 

What else? 

• industry connections help the freight forwarder get favorable rates from different carriers; 

• due to the involvement of a freight forwarder, the carrier's core team can delegate problem solving to him, focusing on the logistics routine;

• the freight forwarder advises on any situations that may interfere with uninterrupted transportation;

• he adapts to the growth of your business, regardless of whether you are transporting a few pallets or entire containers.

The freight forwarder essentially becomes an extension of your business, offering customized support that adapts to your evolving needs. Practical knowledge and connections help you to get the best conditions and ensure the stability of your delivery schedule. 

3PL operator: an integrated logistics partner

A 3PL (Third-Party Logistics) is a company that provides a wide range of logistics services, including transportation, warehousing, inventory management, order processing, and more. They integrate various logistics functions, allowing clients to focus on their core business, and can tailor their services to the client's needs, ensuring flexibility and efficiency in the supply chain. 

A 3PL operator helps companies perform transportation services and offers warehousing solutions with inventory storage and distribution management to deliver products to customers. Its responsibility extends only to the operational activities outsourced under the contract. Business relations between companies and 3PL service providers are carried out through transactional arrangements. The main goal is to provide quality logistics services under an existing contract. 

The main focus of a 3PL provider is on achieving operational efficiency within the specific logistics functions they perform. They usually specialize in:

1. Managing the transportation of goods by road, rail, air, and sea. This is important for companies operating in different regions.

2. Providing warehousing, inventory management, and order fulfillment centers, which is crucial for managing inventory in different markets.

3. Distribution - the movement of goods from warehouses to end users, “last mile” delivery in e-commerce.

4. Freight forwarding - organizing international shipment of goods, which is important for import and export companies.

5. Assistance in customs clearance processes, a necessary step for international trade.

They often manage several aspects of the supply chain on behalf of their clients. 3PLs provide the expertise and scalability that can be beneficial to companies looking to outsource their logistics operations. 

All 3PL logistics services are scalable and customizable to meet client requirements. They can also offer additional services, such as return processing, data analytics, and integration with the client's IT systems.

Interaction between freight forwarder, carrier, and 3PL operator

In the logistics chain, these three participants can cooperate to ensure efficient delivery of goods. For example, a freight forwarder may hire a carrier to physically transport the goods, and a 3PL operator may provide warehousing services and inventory management, and then hand off to the freight forwarder to coordinate international shipping with the carrier. 3PL companies can include the functions of both a freight forwarder and a carrier, providing customers with a full range of logistics services. Coordination between these parties helps to optimize logistics processes and reduce costs.

Who should choose whom?

1. Carrier. Suitable for companies that have their own logistics infrastructure and only need to transport goods.

2. Freight forwarder. Ideal for businesses that are looking for optimal delivery routes and need help organizing transportation, but do not have their own logistics department and do not plan to open one. 

3. 3PL operator. Recommended for companies that want to outsource all logistics processes, including transportation, warehousing, and inventory management.

Understanding the roles and functions of each of these participants will help businesses make informed decisions about the organization of logistics processes, ensuring efficiency and competitiveness in the market.