Post by account_disabled on Feb 27, 2024 10:27:04 GMT
Which in each case will depend on the importance given to the pros and cons that will be mentioned below. Some aspects in favor of outsourcing Focus on “ core ” or main activities (with greater added value or more strategic for the company) . It must be understood both at the level of prioritizing where to focus and in which areas to allocate the company's resources and teams. As an example of areas that may not be considered key: information systems ( specific software ) for warehouse management, having warehouse personnel and the management of this personnel or the management of the various necessary services (security , maintenance, …). Failure to make the necessary investments by the company itself. Lower payroll personnel needs. OLs are expert companies and accumulate a very high “ know how ”, which is sometimes difficult to achieve for small or medium-sized companies. Mutualize the necessary investments in buildings or automation and the associated expenses.
Flexibility. In theory, especially in the case of “multi-client” activities, an OL should be better able to adapt to developments over time, upwards or downwards. Some advantages of keeping the activity on your own ( in-house ): Logistics can sometimes be a strategic activity that should be kept under strict control, both in terms of the quality of customer service and operational costs. Subcontracting frequently leads to an increase in the cost of the activity. OLs usually Oman WhatsApp Number listen carefully to their clients, but logically they end up making their own decisions , which are sometimes divergent vs. the needs or criteria of your clients. It is important not to forget that an OL is a company with its own strategies and priorities, which will surely never completely coincide with those of its client companies. Often, OLs have limited financing capacity, making them unfavorable to making significant investments in automation , thus hindering highly efficient operations. On certain occasions, it is possible to agree on important investments in this regard, but always linked to long-term contracts that can be a problem. Outsourcing should never be understood as a lack of need to closely supervise the operation.
That would be a tactical error that could be costly. Outsourcing must be understood as a need for adaptation and mutual understanding between the parties. The relationship with an OL to a certain extent can resemble a marriage and from that perspective it is key to maintain correctness and cordiality in the relationships so that it is a “ win-win ” in the long term, given that otherwise it can turn into a complex situation that brings more problems than advantages. We must not fall into the common mistake of thinking that since the company is the client, it is right about everything and the OL must accept any requirement or requirement, because it simply will not do so and the company depends on the OL to be able to attend to its clients' orders. . Along these lines, another common mistake is to think that the contract includes everything and you only have to comply with it. This is never the case, there are always unforeseen events and special situations, so having an appropriate spirit of collaboration and understanding is essential to manage the day to day properly. It is important to highlight that outsourcing is a “difficult return journey”, given that it entails a loss of “ know how ” at the level of the logistics operation (warehouse management, specific information systems that is very difficult to reverse .