Published December 5, 2023
As we approach the new year, many companies are focusing on transforming their supply chain operations and adding new supply chain optimization projects. From nearshoring and diversification to warehouse automation and digital technologies, 43% of businesses are planning to increase investments in supply chain resilience over the next year, according to a recent report by the Capgemini Research Institute.
Drawbacks of Third-Party Logistics Providers
Given the significant capital required for these efforts, many companies may be tempted to cut costs during the supply chain optimization project process. We often see this when it comes to the design phase, where companies will turn to a third-party logistics (3PL) provider or material handling equipment vendor that provides a free network analysis or warehouse assessment. While the lack of an upfront cost may seem attractive on the surface, these designs will be limited to the specific systems and services each provider has to offer, which can lead to major inefficiencies and costs down the road.
Another main reason why many of these designs and implementations fail to achieve their expected results is due to a lack of strategic planning and a siloed approach. As witnessed during the COVID-19 pandemic and subsequent disruptions, each link in the supply chain impacts the others. While leveraging warehouse automation or outsourcing logistics operations may offer some improvements in those functional areas, a holistic, strategic approach is necessary to increase resilience, reduce costs and meet customer demands.
This is where an independent supply chain consultant can drive value for your company. As part of the design process, an experienced consulting and implementation firm will perform a comprehensive, end-to-end supply chain assessment, enabling them to identify the right combination of people, processes and technology to meet your unique requirements and goals for today and for future growth.
Why Choose a Full-Service Consulting Firm for Your Supply Chain Optimization Project?
Below are just a few of the benefits you can expect to receive when working with a full-service supply chain consulting and implementation firm:
- End-to-end project management. From planning and design to implementation and post-go-live support, consultants lead the entire lifecycle of the supply chain optimization project, ensuring success while freeing up your internal resources and minimizing disruption to your daily operations.
- Unbiased, customized recommendation. Successful supply chain solutions are not one-size-fits-all. Since they aren’t motivated to sell specific systems or services, independent supply chain consultants evaluate all available options to create the optimal design based on your specific requirements and objectives.
- Comprehensive, strategic solution. Instead of focusing on a single function, a full-service consulting and implementation firm will take a holistic view of your entire supply chain and overall business strategy to develop a flexible solution that is capable of supporting your current and future operational needs and long-term business growth.
- Widespread expertise. Supply chain consultants boast a wealth of knowledge and hands-on experience across a wide range of industries, functions and technologies. Their depth of design and implementation expertise enables them to quickly and accurately analyze data and deliver an actionable solution that achieves the desired results.
- Higher value and performance. By performing an end-to-end assessment, a supply chain consulting and implementation firm can identify improvement opportunities across your entire operations, resulting in reduced costs, increased service levels, greater efficiency and higher profit margins.
The increasing complexity and interconnected nature of supply chains today requires companies to take a holistic approach to optimization. An independent supply chain consulting and implementation firm possesses the knowledge, experience, objectivity and resources to deliver a customized, flexible solution to accommodate your evolving needs. Contact us today to learn how we can help you transform your supply chain to achieve maximum value and long-term business success.
