5 Reasons to Outsource Your Warehousing Operations
What do large Fortune 500 companies, mid-sized manufacturers and small seasonal retailers all have in common? They all benefit from the expertise of third-party logistics providers.
Third-party logistics providers — or 3PLs for short — exist to simplify your supply chain. Many companies don’t have the infrastructure, personnel, oversight or time to handle their own warehousing and logistics, so instead, they outsource those processes to a 3PL.
A successful outsourcing partnership can help a company reduce overhead costs while preparing to scale. For example, a manufacturing company may depend on a 3PL to receive, store, organize and transport its raw materials. Or an e-commerce company specializing in holiday decorations may call on a 3PL to help it manage the seasonal fluctuations in demand.
However, opening up your company to a third party may not be an easy decision. If you are deciding whether outsourcing your warehousing is a good fit for your business, here are five reasons to consider.
PROS:
1. Growth Without Guesswork
Building your own infrastructure for warehousing and fulfillment requires a lot of trial-and-error. Consequently, the learning curve can lead to losses in money, productivity and efficiency. A 3PL, on the other hand, has already been perfecting its systems for decades, and you gain access to that expertise as soon as you outsource your processes. The right partner can help you scale rapidly while maintaining flexibility within your business model.
2. Mutually-Beneficial Partnership
The best 3PLs will have the same goals as you — to grow your business. A fresh set of eyes can help identify weaknesses within your processes and present strategies to achieve your growth goals faster. In a strong partnership, your provider will seamlessly integrate into your organization, giving you the insights and manpower you need to succeed.
3. Streamlined Processes
A 3PL can handle every step of your warehousing and fulfillment, from receiving shipments to delivering products to a customer’s doorstep. For example, Armstrong Relocation provides kitting services to streamline the processes within a manufacturing warehouse by taking care of storage, production, packaging and delivery. By outsourcing your operations to a single provider, you can be more productive and your business can be more efficient.
4. Sophisticated Technology
To stay ahead of your competitors, you need to be up-to-date with the latest trends and technology. Your logistics provider can help with both. At Armstrong Relocation, we provide our partners with proprietary inventory-management technology that allows them to receive minute-by-minute information about their assets from any location. With our 24-hour monitored security, leaders know their products are safe and protected.
5. Nationwide Networks
3PLs can easily manage large projects that require expansive warehouse networks. For example, outsourcing to Armstrong Relocation gives you access to a of owned locations and vetted partners. We can handle a project of any size or scale, giving you the freedom to return to your day-to-day work.
Is outsourcing right for you?
If you’re ready to take your company to the next level, give Armstrong Relocation a call at 800-288-7396.