Create your dream supply chain
Imagine running such an efficient supply chain that all the moving pieces come together seamlessly with minimal effort: orders arrive on time, costs are under control, and your operations run like a finely tuned machine. Sounds ideal, right?
Managed logistics can help you achieve this goal. Learn what it is, when to use it, and why partnering with the right provider can help you achieve your ideal logistics model.
What is managed logistics?
Managed logistics brings all the key parts of supply chain management under one umbrella. It includes transportation, warehousing, inventory control, supplier coordination and handling returned goods. This usually involves transitioning your in-house logistics to an outside provider who manages these processes for you.
Managed logistics providers oversee the supply chain and ensure that every piece complements the next. Real-time tracking and tools that predict potential disruptions help keep everything running accordingly. Lining up these solutions reduces waste and makes it easier for companies to grow, all while giving them more time to focus on their core business.
Managed solutions can strengthen your business
Here are some examples of why shippers choose this solution and how managed services can help enhance your business:
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Improve customer satisfaction: Reliable delivery times, consistent product availability and real-time shipping updates help build trust and loyalty with your customers.
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Free up internal resources: Outsourcing logistics processes lets your team focus on core business practices. This can lead to innovation and growth for your company.
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Reduce risk: Managed logistics providers can handle disruptions like labor and product shortages, inclement weather or market fluctuations. This proactive approach minimizes risks and bolsters supply chain continuity.
Recognizing the need for this customized solution
Now that you understand what managed logistics is and what it can do for your business, knowing when managed is the right solution for you is essential. Here are some situations where partnering with a managed logistics provider makes sense:
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Rapid business growth: Managing a growing network of suppliers, warehouses and transportation providers can be burdensome when your business expands quickly. A managed logistics provider ensures your business can scale while maintaining efficient processes.
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Seasonal demand changes: Industries with seasonal peaks often require additional resources and coordination. Managed logistics helps balance these fluctuations in times of demand.
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Complicated logistics networks: If your supply chain involves multiple modes of transportation or international shipping, managed logistics can help to centralize your operations.
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Cost management is a priority: Businesses aiming to reduce operational costs can benefit from managed solutions such as route optimization, pool distribution and inventory management. Click here to understand the return on investment better when switching to a managed solution.
Continue reading for more signs that your business may need a managed logistics provider.
Maximizing value with the right logistics partner
A proactive approach ensures that supply chains run smoothly and adapt to potential disruptions. This brings us to the question: How do I choose the right provider for my managed logistics program? It is important to ask the right questions.
When meeting with a potential partner, you will want to ask about their:
Reliability
Reliability is vital as you want to choose a strong partner who can keep up and grow with your current business. Under this umbrella, you can also research how long they have provided these services and their track record in managed logistics.
Availability
Ensure that your provider will be available when you need them most. Keeping an open line of communication is paramount in logistics.
Expertise
The right partner should be an expert in determining what logistics tools you need and utilizing them to streamline operations. Whether you’re only shipping LTL, looking to diversify your modes of transportation or expanding your warehousing ability, choosing a logistics provider who has experience and capabilities in these areas is crucial. Understand what a potential partner can offer to make sure they align with your overall business goals.
Learn more about why mode optimization is essential for your supply chain.
Gain a competitive edge with ArcBest
Ready to elevate your operations with managed solutions? ArcBest is here to help. Call us today to see how ArcBest can build out your personalized managed logistics network. With our comprehensive logistics knowledge and extensive experience, ArcBest provides a competitive advantage so you can focus on operating and growing your business.
Learn more about ArcBest’s Managed Logistics Services.
