Operational costs are rising daily, and keeping them in check is challenging. Logistics outsourcing to third-party companies can be a game-changer, as they leverage tools, technology, and scale to streamline processes, reduce costs, and enhance customer support.

Logistics outsourcing also brings flexibility. Your partner can quickly adapt to capacity changes, unexpected events, or market shifts. Also, it can even help you tap into new markets and regions you couldn’t reach before.

According to a Gartner survey, the top three logistics priorities are upgrading technology (37%), reducing costs (31%), and boosting customer satisfaction (29%). 

Outsourcing logistics can help you achieve all three while making your operations more efficient and future-ready.

What is Outsourced Logistics?

Outsourced logistics means hiring a third-party logistics (3PL) company to handle certain supply chain tasks for your business. These tasks can include storing goods, managing inventory, shipping orders, and using technology to improve operations. 

The terms such as “outsourced logistics” and “third-party logistics” are the same. 

Here are some common logistics management tasks companies outsource:

Technology Support

Many businesses don’t have in-house tech experts familiar with logistics software, so outsourcing ensures efficient operations.

Delivery Scheduling

Third-party providers can handle delivery schedules. It offers more flexibility and makes it easier to meet customer needs.

Transportation Options

Outsourcing lets businesses access a variety of shipping methods. This ensures smoother and more flexible delivery services.

Cost Management

By outsourcing logistics, companies can free up resources. It allows them to offer more delivery options and better control shipping costs.

Why Should You Outsource Your Logistics?

Managing logistics is getting more expensive every day, and keeping costs in check can feel like an uphill battle. That’s where outsourcing can help.

Third-party logistics companies have the tools, technology, and expertise to do the job more efficiently while offering better pricing and excellent customer service.

Outsourcing makes your business more flexible. Your logistics outsourcing partner can quickly adapt to changes like fluctuating demand, market shifts, or unexpected challenges. Also, it can open doors to new markets and locations you couldn’t reach before. 

How to Outsource Your Logistics?

Are you thinking of outsourcing your logistics? Here are some steps that can help you out. 

Know What You Need

The first step is understanding your logistical requirements. Start by figuring out what you need to store. How much inventory will you keep? This depends on factors like how quickly your products sell, how long it takes to restock, and the safety stock you want to maintain. 

Once you know this, it becomes easier for your logistics partner to set up the right storage options for you.

Well, you do not need to stop there. You must consider your shipping and delivery needs. Do you require custom packaging or extra services like co-packing? Think about how you’d like to handle returns. Addressing these details upfront saves time and ensures smooth operations later.

Find the Right Logistics Partner

Choosing the right partner is crucial because they manage a big part of your customer’s experience. Your logistics outsourcing partner is responsible for storing, picking, packing, and shipping your products, so they represent your brand’s quality and values.

Look for a provider who understands your needs and offers solutions that fit your business. They should have warehouses in good locations such as near highways or carrier hubs, and align with your goals, such as reducing environmental impact. 

It’s also a good idea to pick a partner with easy-to-use technology for tracking and managing orders. Systems that connect quickly and easily can save you a lot of hassle.

Check the Technology

Technology is a big part of modern logistics. Make sure your logistics outsourcing partner’s systems, such as your website or order management tools, can connect with yours. 

Plug-and-play systems are especially helpful because they simplify the process, automate tasks, and give real-time updates on orders and returns.

For e-commerce, these systems can be directly integrated into your website, making it easy for customers to track their orders or start returns. This enhances their experience and boosts trust in your brand.

Send Your Inventory to the Warehouse

Once you’ve picked a logistics partner, the next step is to send your inventory to their warehouse. Proper packing is essential to ensure products are safe during transport and easy to handle when they arrive. 

Use boxes and pallets to simplify stacking and storage, and clearly label everything with product and pallet references.

Choosing the right carrier is also important. Consider costs, delivery times, and any special requirements, such as handling fragile or perishable goods.

Plan Your Shipping and Delivery

Your shipping and delivery methods play a major role in customer satisfaction. Use packaging that fits your products well and protects them from damage. Avoid oversized boxes to save on shipping costs.

You can either deal directly with a carrier or let your logistics provider handle shipping for you. The choice depends on your budget and how involved you want to be in the process.

By following these steps, you’ll create a logistics system that’s efficient, cost-effective, and customer-friendly and set your business up for success.

Cargaison Express: For The Best Outsourcing Logistics Operations

Outsourcing logistics is a smart way to save time, cut costs, and focus on growing your business. By partnering with the right logistics outsourcing, you get access to top-notch technology, expert handling, and flexible solutions that adapt to your needs.

Cargaison Logistics Express makes logistics outsourcing simple and efficient. With reliable services, cost-effective solutions, and a team that values your business, we ensure smooth operations from storage to delivery. 

Our tech-driven approach and customer-first mindset make us the perfect choice to handle your logistics, so you can focus on your business success. Choose Cargaison for hassle-free logistics!