When all of the various moving pieces come together just right, sound logistics practices enable customers to get the goods they want in the time and condition they expect. When things go wrong, however, it’s another story entirely. There are so many potential snags to hit along the way, from customs problems to missing products, which is why investing in logistics is essential for firms.
In a recent Adigital survey of 2,000 online retailers, 92 percent of respondents said that on-time, error-free shipping was the single best way for a business to rise above the competition. Unfortunately, not every business excels in this regard. Managing warehouse space and finding the right employees can be a tricky proposition. Many firms decide to outsource logistics and leave this vital task in the hands of professionals.
This is beneficial in several ways. The right fulfillment partner can focus on all those little details that allow shipments to go off without a hitch, from deadlines to shipping vendor issues, freeing a business’s employees to focus on developing and selling their products. In addition, fulfillment partners are usually on top of the latest technology and trends in the field, which can be difficult for outsiders to keep up with.
One mistake that a lot of retailers make is to use just one or two logistics management systems. These tend to be siloed and therefore highly inefficient, and they also lack the flexibility needed to keep up with demand. A multi-line logistics platform, on the other hand, can keep miscommunication to a minimum while providing the retailer with easy access to the entire supply chain. This is essential when you consider the fact that 40 percent of executives interviewed for a study by Deloitte identified sudden changes in demand as the biggest blow to their supply chains.
Choosing a Logistics Partner
Finding the right logistics company can be overwhelming, but you can narrow the field almost immediately by zeroing in only on those that specialize in fulfillment for the industry in which your business operates. Experience should be valued more than price, and you should only consider those that can demonstrate that they are on top of the latest technology. After all, the right logistics partner can mean the difference between success and failure.
This blog post was based off of an article from Supply & Demand Chain Executive. View the original here.