Effective stock management is a huge challenge for companies around the world and across all industries. It’s a tricky balancing act: you need to keep the right amount of the right products in the right locations at the right times to satisfy customer demand, minimize operating costs, and prevent stockouts and overstocking.
More and more businesses today are engaging third-party logistics (3PL) providers to handle the complex task of warehousing and inventory management, as these providers offer the logistics technology, network, and stock management techniques that you need to achieve inventory optimization.
In this blog, we will highlight three ways that a third-party logistics inventory management provider can help you optimize your warehousing inventory tracking.
#1: A 3PL can distribute inventory stock across a global logistics network
One of the main benefits of outsourcing your stock management techniques to a 3PL is that you can gain access to that provider’s worldwide network of fulfillment centers and other warehousing and distribution facilities, as well as specialized logistics resources and personnel.
Partnering with a 3PL that has a global presence can help you gain access to a robust, preexisting global infrastructure. Multichannel Fulfillment (MCF), for example, is part of the fulfillment arm of Amazon Supply Chain Services (ASCS), a complete end-to-end supply chain solution and 3PL provider that has built a world-class fulfillment network, including a footprint in 27 countries, more than 200 fulfillment centers, and nearly 100K transportation trailers, containers, and planes to help move inventory with ease.
With a globally connected 3PL provider like ASCS, you can:
- Access your 3PL provider’s in-house analytics to strategically distribute your stock to fulfillment centers in various locations around the globe. With access to sophisticated warehouse inventory tracking systems, your inventory will be positioned as close as possible to your customers, and you can satisfy demand anywhere, anytime, and across any sales channel.
- Dramatically reduce shipping times and costs by offering delivery speeds as fast as 1 day and minimizing the distance between distribution centers and customers’ doorsteps. ASCS, for example, has warehouses all over the world, which allows you to position your stock as close as possible to your customers—or in regions where you’re planning to expand.
- Consolidate your inventory within a single 3PL provider’s fulfillment network, so you can expose your pool of inventory to multiple sales channels, thereby increasing the likelihood it will be sold and decreasing the amount of excess inventory you have taking up space (and racking up storage fees) in the warehouse.
- Eliminate the need to invest in expensive logistics infrastructure, including warehouses, delivery vehicles, supply chain specialists, and inventory stock management systems. With a well-resourced 3PL like ASCS as your provider, you’ll have access to state-of-the-art facilities and technology, plus the ability to add on additional services like ground freight or parcel shipping, as your business scales.
A 3PL with a global fulfillment network can use advanced stock management techniques to help you optimally position your inventory to meet customer demand today. That provider can also help set you up for success in the future, as you position your business for long-term growth and expansion into new markets around the world.
#2: A 3PL can automate your stock management techniques
Another way a 3PL can help you achieve inventory optimization is by driving greater automation across your warehousing and distribution operations.
A 3PL can work with you to implement a state-of-the-art, automated inventory stock management system. You won’t have to rely on inefficient and ineffective manual processes and practices to predict customer demand and figure out which products to stock, where to store them, and when to pick, pack, and ship them to customers.
With an automated inventory stock management system in place, you (together with your 3PL provider) will be able to:
- Gain a unified, accurate view of inventory across your end-to-end supply chain by seamlessly integrating this new warehouse inventory tracking solution with your various sales channels (such as ecommerce websites and point of sale [POS] systems) as well as your enterprise resource planning (ERP) systems.
- Accurately forecast demand and automatically distribute the right amount of the right products to the right fulfillment centers at the right times, so that your provider can rapidly fulfill customer orders, while reducing inventory storage and shipping costs.
- Track your customer orders across various sales channels and your inventory levels across multiple fulfillment centers in real time to ensure you have enough safety stock to satisfy demand and avoid stockouts.
- Dynamically and automatically redistribute and replenish your inventory across your 3PL’s global fulfillment network due to sudden swings in supply or demand. With a globally connected 3PL like ASCS, keeping your stock current across the Amazon network positions you to expand quickly into new markets as your business scales.
By automating your end-to-end inventory planning, warehousing, and distribution processes, a third-party logistics inventory management provider can eliminate your inventory management headaches and free you up to focus on the areas of your business that matter most to you, such as sales and product development.
#3: A 3PL can maximize your operational efficiency and minimize your inventory costs
A third-party logistics inventory management provider with a global network, logistics expertise, and cutting-edge software technologies can help you implement inventory stock management systems with the highest levels of operational and cost efficiency.
By entrusting your inventory management to a best-in-class 3PL provider like ASCS you will be able to automatically:
- Visualize a complete (and constantly changing) picture of inventory levels across your entire supply chain.
- Optimize the distribution of your inventory across your 3PL’s fulfillment network.
- Utilize your inventory to satisfy customer orders anywhere, anytime, and through any channel.
- Synchronize stock levels across multiple channels and various fulfillment center locations around the world as supply and demand conditions fluctuate.
- Maximize your on-time delivery performance and customer satisfaction. Amazon, for example, has a 96.4% on-time delivery rate for all MCF orders worldwide.1
- Minimize your inventory storage, order fulfillment, and other operating costs.
1Based on all orders placed and delivered between October 2024 and September 2025, and measuring the percentage of orders that were delivered on or before the estimated delivery date generated upon order confirmation.
Achieving warehouse inventory tracking optimization
The way you manage your inventory can make or break your business. For your company to succeed, you must be able to use your inventory to satisfy customer demand on time, every time, while avoiding costly stockouts and overstocking.
A 3PL provider with a wide global network and access to the latest stock management techniques, like ASCS, can help you overcome warehouse inventory tracking challenges by automatically and optimally distributing your inventory across a global logistics network and delivering orders to your customers in the most efficient manner possible.