In 2012, I wrote about the end delivery process in drop shipping. Next, my target was to walk back up the chain and find a company that was manufacturing something then shipping it.
I searched for someone to interview who is involved with drop shipping from a manufacturing standpoint. In return for providing me with answers to some of their business processes, I offered some free publicity. Some of the questions about the sophistication of the business processes I hoped to get answered:
Are any of your contracts executed electronically? In other words, does customer send you an electronic purchase order or is done verbally/FAX? If electronic, how is it done? EDI? Other? Is either a shipping advice or payment done electronically? How do you communicate with your factories? Voice, FAX, email, or some type of electronic file sharing over Internet? Now, how do you ship? I need some type of introduction to your vendor, customs broker, shipping company. What type of electronic interface do you have with them?
Instead of getting a manufacturer, I got a third-party logistics provider. Sort of like going fishing for trout and catching a bass instead. So his responses to my questions were:
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