Prioritize on-time shipment rate, order accuracy, average picking time, dock-to-delivery transit, and inventory accuracy. Also evaluate SLA penalties, system uptime for WMS integrations, and carrier tender acceptance rates to confirm the provider can meet your delivery windows.

Closer proximity reduces drayage and linehaul miles, lowering freight spend and transit time variability. Facilities near carrier hubs enable same-day pickups and shorter cutoffs, improving delivery speed and reducing the need for expedited shipping lanes.

Look for flexible slotting, scalable labor pools, surge staffing plans, and dedicated returns processing areas. Evaluate how the 3PL handles reverse logistics workflows, quality inspection, refurbishment, and restock timelines to preserve customer experience.

Require a modern WMS with API-driven integrations for your ERP and major carriers, real-time inventory dashboards, ASN/EDI capabilities, and automated alerts. Confirm access to pick/pack scans, lot/batch tracking, and customizable KPI reports for continuous improvement.

Compare base storage and handling fees alongside pick density, inbound receiving costs, carrier rates, and expected return processing. Model scenarios for peak season and expedited shipments to capture variable costs and ensure the partner’s location and carrier access produce net savings.