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4PL

Fourth-Party Logistics

Fourth-Party Logistics or 4PL is a term describing a Broker of logistics services and/or the practice of outsourcing to such Broker. A 4PL service provider is the intermediate or coordinator for services rendered to a Shipper (the First Party), performed by a Carrier (the Second Party) and booked by a Freight Forwarder (the Third Party). The primary reason to use a 4PL is to have a single point for the Shipper to outsource (all) logistics services.

Alternative for names Fourth-Party Logistics include: Lead Logistics Provider (LLP).

See also: 1PL, 2PL, 3PL, 5PL

Notes

The term was originally registered by Accenture in 1996 and defined as "A supply chain integrator that assembles and manages the resources, capabilities, and technology of its own organization with those of complementary service providers to deliver a comprehensive supply chain solution."

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Hierarchy

IDNameLevelx
LSPLogistics Service Provider0LSP
4PLFourth-Party Logistics14PL
Fourth-Party Logistics Logistics Service Provider 4 1 {{{keywords}}} {{{description}}}