Third party logistics (3PL) involves outsourcing logistics operations like transportation, warehousing, and inventory management to specialized third party providers. 3PL is a large industry that employs over 1.7 million people and accounts for over 5% of the UK GDP. Companies outsource to 3PL providers to reduce costs, free up resources, and gain technical expertise and focus on their core business operations. The top 3PL providers globally are DHL, Kuehne & Nagel, and Schenker.