Logistics is the process of effectively moving the goods

from the point of origin or from any supply point to the

point of consumption. The term effectively is the key in

logistics, it denotes ‘how well it meet the demand’ by

considering the factors like time, quantity, quality, cost

etc. Logistics includes various intermediate activities

like information, inventory, material handling,

transportation, warehousing and now the new era brings the

word called collaboration to frame the new terminologies

called 3PL and 4PL. 3PL is nothing but Third party

logistics, that is ‘a core logistics player executing any

logistics work outsourced by a manufacturer or others’.

Conversely, 4PL is Fourth party logistics, ‘a core

logistics player having collaboration with other players in

order to perform all the logistic works outsourced by a

manufacturer or client’. The term “any logistics work”

and “all logistics work” give the distinction between the

two.