Trucking and Warehousing in an Oil Company. The Scale Oil logistics involves activities such as moving cargo for large projects. The movement of complex and cumbersome parts requires preparation, strategy, and organisation. This calls for a need for reliable means of transport from the oil field to the refineries and consequently to the wholesale and retail market.
Transportation should be on time as per the timetable provided for every carrier. It is clear that the supply chain management of the oil industry is complicated and unique to every company. This is due to the sensitive nature of the goods provided. Regardless, there is a very high demand for them.
3PL Services in this industry
The use of standardized third-party logistics in the oil industry and services is quite common in this industry. Others choose to use rail or ship their merchandise.
The complexity factor
To conduct this business with ease, it is advisable to partner with a 3PL company. Drilling and fracking operations in the oil field require massive quantities of materials at the correct numbers, sequence, and time. This is because the arrangements which are done here affect the outcome of the project in monetary terms. If they arrive late, then this means a significant loss is to be encountered.
It is crucial to explain your companies particular needs to your logistics partner so that your goods can be transported to the exact place of demand at the correct time. Oil industries go through phases in this business.
These include:
- Exploring
- Producing
- Refining
- Distribution
Due to this, petrochemicals are often transported for long distances from the oil field to their intended market. It is easier to manage these by letting a 3PL partner help wholly or partially in these operations. It is a company’s mandate to satisfy the need of the consumers whenever the need arises. Keeping in mind that this is a constant requirement since the bi-products are relied on for daily use.
Take control of your freight with an Asset-Based 3PL Logistics Trucking Company that can assure you transparency from the port to your destination nationwide, request a free quote today and discover your asset-based logistics solution.
List of Sources
- http://blog.capps.com/4-supply-chain-challenges-in-the-oil-and-gas-industry-and-how-a-3pl-can-help
- https://www.glship.com/industries/petroleum-cargo/
- https://www.dbschenker.com/global/industry-solutions/oil-gas-logistics
