Supply Chain Discussion: Are Shippers Returning to 4PLs?
- Jeremy Conradie.
- Aug 12
- 2 min read
In this discussion, Russell Goodman from Supply Chain Brain speaks with Osi Tagger, chief executive officer of Unilog.
She points out that tariffs, geopolitical risk and supply chain complexity are causing organizations to reconsider fourth-party logistics providers.
As supply chains grow ever more complex, small- to medium-sized companies are reconsidering the use of 4PLs.
“They are a good, solid solution for global supply chains because the complexity is such that you really cannot do this by yourself,”.
Tagger says start-ups certainly could use a 4PL’s services, as can companies of $50 million or so in size. Even giant companies might use such a l provider if they’re launching a new product.
Today’s geopolitical landscape increases supply chain complexity. Remaining static in the face of tariffs and other strains on one’s supply chain isn’t an option, she says.
“You need to create tools to be more resilient. There is no magic.”
Failure to build in responsive solutions to geopolitical tensions is like driving a sensor-less car of 20 or 30 years ago. “You don't have the car pulling aside when you are going in the wrong direction,” Tagger says. “You don't have a navigating system. So it's very hard to drive like that.”
Quite aside from ramifications from political decisions, Tagger says, such things as environmental issues, carbon footprints and currency fluctuations are among issues that mean complexity will only increase. But it isn’t enough to merely respond to disruptions, she says. Anticipating problems is necessary. The greater the number of sensors in your supply chain, the more information you have, and the better you can determine what preventive action to take. She says, “I think AI is helping to better identify the exceptions, the accident waiting to happen, like in your car.”
Needless to say, Nucleus agrees.
Source: Supply Chain Brain
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