Posts

Showing posts with the label smart tech enabled warehouses

Insourcing Or Outsourcing Logistics: Don’t Choose The Wrong Reasons

Image
The increasing complexity of supply chains as a result of evolving technology, consumer demands, and the constant effort to save costs has resulted in an increase in outsourced tasks. As supply chain and logistics activities become more complicated, buyers plan to spend more on outsourcing in the coming years. But how can businesses pick which functions to outsource and which to remain in-house, and what are some of the dangers involved? Outsourcing decisions are frequently binary. For example, it makes more sense to outsource logistical activities to a 3PL or to maintain it in-house. In our significant experience assisting organizations with outsourcing, correcting mistakes, improving relationships with 3PLs, and even making the important insourcing vs outsourcing choice, we have seen numerous cases where the decision to outsource or not needed to be revised due to faulty thinking. In most situations, the error occurs because decision-makers fail to adequately consider the merits an...