Outsource Logistics? It’s a Tough Decision

By Susan Avery

September 29, 2015 at 8:23 AM

chrobinson outsourcing white paper.jpgFrom reporting on the procurement and supply profession for more than 25 years, I know that the word “outsourcing” used to have scary connotations for some. But, as the procurement function transforms into a strategic value-add for manufacturing and other companies, supply pros have come to understand that they now play key roles in managing these critical relationships with outsourcing companies.

How do you know if outsourcing is right for your company? 

Let’s take a look at one category, logistics. (More of you are responsible for managing the logistics spend at your company than metals, energy and travel. That’s according to the most recent My Purchasing Center Profile of the Procurement Professional.) 

C.H. Robinson is a third-party logistics provider that helps companies simplify their global supply chains, and now My Purchasing Center readers figure out if they should outsource logistics in a new white paper, Is Logistics Outsourcing Right for Your Company

The white paper “can help companies decide, set reasonable expectations for what outsourcing can contribute to an organization, and how much of a role the company will need to play to achieve the successful business outcomes they seek.”

Acknowledging that “while every enterprise has unique needs and different internal staff strengths in logistics management, the white paper describes several common factors that can lead companies to consider outsourcing.” These are: 

  • Desire for more hard and soft cost savings.
  • Logistics is core to brand reputation, but there is insufficient technology and/or resources to gain a competitive advantage. 
  • Need for an agile, scalable supply chain solution that can accommodate rapid growth through merger or acquisition, new products, or new markets. 
  • Adding headcount isn’t an option, or finding the right talent is proving challenging.
  • Need best-in-class technology, but can’t afford a significant capital outlay. 

There's more. The white paper helps readers configure a logistics outsource solution that drives outcomes for your business. It also covers misperceptions about the realities of outsourcing, and offers additional resources on logistics outsourcing. 

To read the white paper, Is Logistics Outsourcing Right for Your Company?, download it now at My Purchasing Center. 

We hope you routinely take a look at the White Papers section of our website. You’ll find informative and educational pieces written by our award-winning editorial team as well as thought leadership content provided by your suppliers.

Tags: purchasing logistics Outsourcing Supply chain management Procurement
Category: Blog Post

Susan Avery


Susan Avery is Editor-in-Chief at My Purchasing Center. She writes articles, blogs and white papers and manages and creates other content for the online procurement and supply management publication. She produces and moderates roundtable discussions, podcasts, webcasts and video interviews. Susan has 30 years experience covering procurement and supply management for Purchasing magazine and Purchasing.com. 

Please add a comment

You must be logged in to leave a reply. Login »

Related Content

Suppliers and ePayables Acceptance: Latest Findings

Dennis Bouley

According to a recent NAPCP and Accenture survey, supplier acceptance of card payments has increased since 2009 across spend categories, with significant growth since 2013 in major categories Read More

A True Story of a Real Battle: Procurement vs. Operations

George E. Krauter

The CEO of a large multi-plant corporation sent a memo to the procurement CPO instructing him to reduce the company’s expenditures by 22% in the coming year. The same memo was sent to the operations Read More

Procurement Budgets Battle the Need to Digitalize Operations

Dennis Bouley

According to a recent Hackett Group research study, 95% of procurement executives indicate that digital transformation will change the way procurement services are delivered within the next two years. The percentage of organizations with Read More

Supplier Profiles


Staples Advantage is the one supplier that offers all the business solutions you need, all with the expertise of a specialty vendor. Read More


It started in 1972 with an idea, a new concept in distribution. Today, Digi-Key Corporation is one of the fastest-growing electronic component distributors in the World. The stimulus for this growth is Digi-Key's customer-centered business philosophy… Read More

Lunney Advisory Group

Lunney Advisory Group was founded in 2007. Our firm is not your typical consulting company. Some members of our firm are highly qualified and experienced industry executives/practitioners while others are full time or adjunct university professors.… Read More


What CEOs Expect Of Purchasing

Guest Contributor

Procurement and supply management leaders have a seat at the table, and management’s expectations are high. But what do CEOs really want, and is purchasing delivering on these expectations? This webcast looks at how procurement and supply management … Read More

Growing Purchasing Influence On Indirect Spending

Guest Contributor

At world-class companies, purchasing’s influence touches just about every area of spending. But, how exactly do procurement teams get to the point where other departments approach them for help with sourcing such indirect categories as human resource… Read More

Procurement-Finance Collaboration

Guest Contributor

Procurement & finance are two business functions which are often at loggerheads with each other. One reason for this is the lack of perception alignment on an important metric of procurement and finance performance - 'savings'. Read More