Leave when execution has failed against measures you both agreed on for at least two review cycles, and the remediation your 3PL committed to has not moved the numbers. Everything else — a new account rep, a missed week, a rate change — is context until it shows up in those same measures.
What counts as a real reason to leave, and what does not?
Separate the two lists before you do anything else. Execution failures are order accuracy, inventory accuracy, cutoff-to-ship performance and damage or loss rates, measured against the service levels in your contract. Those are the warehouse's core job.
A useful discipline: put every complaint in one of two columns. Column one is "the warehouse did not do what it promised." Column two is "the relationship changed." Only column one justifies a move. Column two justifies a conversation.
Which failures justify leaving?
Apply three tests, in order.
- The measure test. The failure shows in a number you both track — order accuracy, inventory accuracy, cutoff-to-ship, claims. Not in how a conversation felt.
- The trend test. The number has missed for at least two review cycles. One bad month with a root cause and a fix is an event. A repeated miss is a capability gap.
- The commitment test. You raised it in writing, the 3PL accepted it and proposed a remediation with a date, and the date passed without the number moving.
If all three are true on a measure your customers feel, you have a reason to leave. If one or two are true, you have a remediation conversation, not a switch.
Should you run a formal remediation first?
Yes, even when you are already half-decided. A structured remediation gives the 3PL a real chance to fix the problem. Some misses trace back to the brand — SKU growth nobody forecast, labeling that arrives wrong, orders packed in cartons the process cannot use — and those problems travel with you to the next warehouse.
It also produces the written record you need either way: evidence if you leave, commitments if you stay. Keep it short and dated — name the measure, the gap, the action and the date. Thirty to sixty days is enough to see whether a fix is real.
Where does the leave or stay checklist land for you?
Score each row honestly against your own invoices and review records.
| Check | What to look at | Points toward leaving |
|---|---|---|
| Execution trend | Order and inventory accuracy against contract service levels, last two review cycles | Missed both cycles on a measure customers feel |
| Remediation | Written commitments from your last two reviews | Committed fixes not delivered by their dates |
| Billing integrity | Invoices audited against the agreed rate schedule | Recurring charges nobody agreed to, not one-off errors |
| Peak readiness | Capacity and staffing commitments for the next peak, in writing | Refusal to put peak commitments in writing |
| Exit terms | Notice period, inventory pull process, data export rights | Terms unknown, the pull unpriced, export rights unclear |
Three or more rows point to leaving: start planning the switch on evidence. Fewer than three: book the remediation conversation first.
What should you have in place before you go?
A move made in anger is the expensive kind. Before you give notice, choose the replacement on evidence, price the inventory pull, confirm your data export rights, and keep your parcel and freight contracts in your own name — that keeps the rates decision separate from the warehouse decision.
For what a move actually costs, line by line, see how much it costs to switch 3PLs. And apply the same evidence discipline to the replacement before you commit to it: how to test a new 3PL before moving all your volume.
new3PL is an independent advisory firm, not a fulfillment operator; it works through this checklist with brands choosing and changing warehouses.
FAQ
How long should I give a 3PL to fix a problem?
One or two review cycles, with the fix agreed in writing and a date attached. If a dated commitment passes without the measure moving, the trial is over.
Can I leave a 3PL before my contract ends?
Your notice period and termination clauses decide, so read them before you decide anything else. Price the exit — notice, inventory pull, data export — and treat that number as part of the decision.
Should I tell my 3PL I am considering leaving?
Yes, once the evidence is in hand; it is the fastest route to a serious remediation. Do not start that conversation before your exit terms and a backup plan are clear.