What is the Value of a HACCP Certified 3PL?

The Food Safety Modernization Act (FSMA) is changing how the supply chain functions. Moving forward, companies will need to be more aware of the safety and integrity of their products after they leave the production facility. Partnering with a 3PL company that is trained in Hazard Analysis & Critical Control Points (HACCP), and has a documented HACCP plan is the answer to FSMA standards.

HACCP is a systematic approach to the identification, evaluation, and control of food safety hazards. A plan must be crafted for each food-grade commodity the 3PL handles to ensure specific procedures are being followed. When choosing a 3PL, ask to see their HACCP plan for your commodity. Superior facilities will be able to produce this plan and walk you through their SOPs.

To acquire HACCP certification, facilities must complete a three-day course administered by companies such as ASI Food Safety Consultants. Sessions cover everything from why a HACCP plan is required, to building your own plan. Though retraining is not required, the best 3PLs will take this course every few years to ensure they remain best in class. 

Benefits of working with this type of 3PL include:

• Product safety. Companies gain peace of mind knowing their product's integrity is being protected while outside of their control. Product safety throughout the supply chain is critical. 

• Cost savings. HACCP certified 3PLs have such robust inspection processes that damage or pest issues are identified quickly at the time of receipt. This enables companies to quickly track the issue back to the carrier or porduction facility, making it easier to recoup incurred expenses while preventing future damaged product. 

• Avoid cross-contamination. HACCP certified 3PLs have thorough inspection processes, which help staff identify and deny entry of any contaminated (pest or other contamination) product. This eliminates the risk of cross-contamination with already stored food grade products. 

Know Your Transportation Terms

Transportation seems like a simple concept. It’s about moving products and supplies from Point A to Point B. But there many options to get the job done and knowing the key terms will help you better understand each offering and the industry as a whole.

Take for instance “Transportation Brokerage” and “Managed Transportation.” The two often are used interchangeably, but they are radically different services. Brokerage involves a third party acting as a conduit for a company and the motor carrier to move loads – a very tactical assignment.

Managed Transportation is far more strategic and involves a company outsourcing all transportation functions to a third party. The provider uses detailed analysis and technology to determine the most efficient way of meeting supply chain goals. Managed Transportation is much broader in its scope, looking at a variety of modes as well as warehouse locations.

Other important terms to know include:

• Freight Forwarder. An expert in supply chain management that moves cargo for companies, often utilizing multiple carrier types for a single shipment. Shipments typically travel internationally.

• OTR. Over The Road. Also referred to as TL (Truck Load), these shipments typically travel greater than 350 miles. 

• Shuttle. These are short runs (less than 100 miles) of raw material from a warehouse to a production facility, or finished goods to a warehouse. 

• Regional. Truck loads that travel less than 350 miles within a geographical region. 

• LTL. Less-Than-Truckload. Refers to a shipment that is less than a full truckload. 

• Intermodal. A method of moving freight through multiple modes of transportation, such as rail, ship, and truck. Freight itself is not handled; the shipping container is transferred between the modes. 

• CTB Certified. The Certified Transportation Broker (CTB) program was developed by the Transportation Intermediaries Association. A CTB designation signifies that the professional has undergone rigorous training and testing to ensure they are an expert in the transportation industry.