Ocean Spray Cranberries Essay Example

be able to emphasize the transportation based assets of Ocean Spray and offer the company further logistics help.

What steps would you suggest be considered by Ocean Spray as it begins to analyze the feasibility of forming a relationship with individual 3PL providers?

Ocean Spray should use the following steps while considering forming a relationship with a 3PL:

1. Perform Strategic assessment- Find their goals and objectives, needs of customers, identify environmental factors and industry trends, profile of current logistics networks, benchmark values for logistics costs and key performance measures, gaps between current and desired measures of logistics performance.
2. Decision to form relationship- this is the part where Ocean Spray must decide on the type of relationship they want with the transportation 3PL. They must find what needs they have and how respective 3PL’s can help in those areas.
3. Evaluate Alternatives-The company should have a handful of 3PL providers to pick from and they should interview and assess the benefits of each.
4. Selecting a partner- The company should get to know the 3PL’s management and credentials of the company. It is important that the 3PL is going to work hard for your company.
5. Structure operating model- Structure of the relationship refers to the activities, processes, and priorities that will be used to build and sustain the relationship.
6. Implementation and continuous improvement- This is the hardest part, implementing the new strategies and assuring that the relationship grows in the future.

Once the selection process is complete, what kind of relationship do you feel would be most appropriate: Vendor, partner, strategic alliance, or

some other option?

I believe strategic alliance would be the most appropriate form of relationship between Ocean Spray and their 3PL. Remaining independent of each other and trading transportation channels for the money which will be paid to the 3PL.