Outsourcing Supply Chain & Logistics: What You Need to Know

Outsourcing supply chain and logistics is becoming an increasingly popular approach for companies looking to enhance their supply chain and optimise operations. While it may seem like a daunting task, outsourcing logistics can provide a great number of rewards for companies that are looking to save on costs, streamline their supply chain, and optimise their delivery times.

In this blog, we’ll take a look at the benefits of outsourcing logistics and why you should consider it.

What is outsourcing, and why should you consider it?

Outsourcing has been the backbone of many successful businesses, and it can help you achieve your goals too. So, what is outsourcing, and why should you consider it?

In basic terms, outsourcing is the practise of transferring the management of your transportation and shipping needs to a third-party outsourcing provider. It involves subcontracting services or functions that can be done better, faster, or more cost-effectively by an outsourced team. There are numerous benefits to outsourcing, and understanding them will help you make the best decision for your business. Keep reading to discover more about how outsourcing can benefit your business.

Benefits companies are seeing from outsourcing supply chain and logistics

If you are considering outsourcing your logistics services, there are a number of potential benefits that can be seen. Here are just a few of the benefits companies are seeing from outsourcing logistics:

  1. By partnering with a BPO in the Philippines, you can streamline the process, which increases speed and efficiency while freeing up your internal resources for more business-critical operations.
  2. Have access to the resources you need to grow and expand your supply chain and logistics operations.
  3. Consistent quality assurance in all logistics operations, ensuring a smooth supply chain process.
  4. Increased flexibility for expanding your supply chain operations to meet customer needs.
  5. Get access to the latest technology and systems needed to manage your supply chain more effectively.
  6. Reduce costs associated with operational activities and improve overall business performance.
  7. Speed up lead times and ensure faster delivery of goods and services.
  8. With greater visibility across the supply chain, you can quickly and accurately identify and address issues and make better decisions.

One of our clients at optiBPO has issues with timeliness and we found a way to amend the problem. In order to guarantee better tracking for drop-ship orders, we helped them build an offshore logistics team to ensure customers were kept better up-to-date. The result was impressive—a dramatic improvement in customer satisfaction and a significant increase in repeat orders.

Factors to consider before making the decision to outsource

While outsourcing in the Philippines is an effective tool for streamlining operations, there are a few key factors you need to consider before making the decision to outsource. Making the right decision can save you time, money, and resources, while making the wrong decision can be costly and time-consuming. Below are some of the key factors to consider:

  1. Industry expertise of the outsourcing firm
  2. The cost involved
  3. Top-quality talent
  4. Infrastructure and IT support
  5. Recruitment and HR support
  6. Risk management
  7. Service-level agreement

If you’re keen to explore each factor in greater detail, please check out this blog on factors to consider when outsourcing when partnering with BPO companies in the philippines

Roles of an outsourced supply chain and logistics specialist

A skilled outsourced supply chain and logistics specialist can help companies achieve maximum efficiency in their day-to-day operations. Here are some of the key roles that an outsourced specialist can play in helping you achieve business goals:

  • Purchasing officer
  • Logistics specialist
  • Procurement specialist
  • Warehouse support officer
  • Supply chain officer
  • Order processing
  • Inventory controller
  • Production manager
  • Facilities manager

You can click the link below to download a standard job description of an outsourced logistics analyst. If you have questions or you’re interested to learn more, you can send us a message.

Quick tips for successful outsourcing

Whether you’re a one-man business or a large corporation, there are a few tips to help you make the most of your outsourcing efforts. Here are some quick tips for successful outsourcing:

  1. Plan ahead: To have a successful outsourcing experience, you need to be prepared. Create a timeline and budget, and define objectives to make sure the process goes smoothly.
  2. Understand your needs: Be clear on what your exact needs are before outsourcing and communicate those to the vendor.
  3. Have a clear strategy: Before you start looking for a BPO provider, create a clear strategy to ensure that you choose the right partner and that the work will be completed efficiently and to your satisfaction.
  4. Be clear on requirements: Define requirements such as deadlines, legal considerations, required skills, and the desired outcome.
  5. Research possible vendor: Make sure to extensively research the vendor you’re considering outsourcing to. Check reviews, ask for references, inquire about their ongoing support, and get an understanding of their expertise.
  6. Use agreements: Agreements help define the partnership and ensure both parties are held to the same standards.
  7. Maintain open communication: Open communication helps make sure everyone is on the same page and no one drops the ball.
  8. Set clear expectations: Clearly outline expectations to create a smooth process.
  9. Monitor performance: Once the outsourcing begins, monitor the performance and progress to ensure quality and timeline expectations are being met.
  10. Quality control: Set up checks and balances to ensure the quality remains at the highest level.

Hire an outsourced supply chain and logistics specialist today!

Are you ready to take your supply chain and logistics operations to the next level? Hire an experienced and reliable outsourced logistics today and make sure your business is future-proofed and ready for anything! 

Our experienced team has helped countless companies in Australia, New Zealand, and the United States streamline their supply chains and logistics operations, ensuring maximum efficiency and minimum cost. Get the most out of your supply chain and logistics investments by working with experienced professionals who have your business needs firmly in mind.

If you are keen to look for an outsourcing partner, optiBPO is the right fit for you! As one of the leading outsourcing companies in the Philippines, we can help you recruit the best talents in their field. Contact us today and get on the fast track!

 

Looking for an ideal outsourcing partner?
optiBPO can help you plan, build, and manage a dedicated outsource team in the Philippines. Contact us today to discuss your requirements.