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Outsourcing

Are you still warehousing – or already saving?

Transport logistics services have long been outsourced in industry. However, “true” outsourcing is not just about individual sub-functions, but about complete logistics system requirements.

The high potential of logistics outsourcing is no coincidence, as it enables a highly flexible, cost-variable response to fluctuating order volumes.

Young companies in particular appreciate this, for example in e-commerce. Many fast-growing online retailers no longer handle their assortments themselves. They outsource warehousing and shipping to specialized logistics service providers.

In addition to external contract logistics, dropshipping is also increasingly used: products are shipped directly from the manufacturer or wholesaler to the end customer – it is hard to optimize inventory and process costs more effectively.

The full program? It could look like this:

1. Preparation

  • Analysis of the existing supply chain, comparison with benchmarks and best-practice solutions
  • Derivation of optimization measures (organizational and technical)
  • Description of the sourcing and distribution strategy
  • Assessment of supply chain risks and derivation of preventive measures
  • Alignment of the tender concept and bidder matrix

2. Design

  • Preparation of the specifications document
  • Definition of requirements for the services to be outsourced
  • Definition of qualitative and quantitative objectives
  • Definition of supplier relationships and delivery models (e.g. JIT, JIS, VMI …)
  • Design of future material and information flows

3. Tendering

  • Execution of the tendering process (single- or multi-stage)
  • Evaluation of bidders and submitted offers
  • Support of the client during contract award negotiations
  • Preparation of the award recommendation

4. Implementation

  • Consulting support in contract design
  • Assistance in preparing the collaboration
  • Support during commissioning and optimization of contractual services

Graphic: The outsourcing concept (LogistikPlan Outsourcing Study 2015)

  Key focus areas within the outsourcing processKey focus areas within the outsourcing process

 

Results at a glance:

  • Professionalized warehousing and transport processes
  • Increased flexibility of logistics capacities
  • Variable logistics costs
  • Improved target metrics and KPIs