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Why Outsourcing deliveries helps small businesses

January 29, 2023

Small businesses and Fortune 500 companies alike can benefit from utilizing third-party courier companies and outsourcing their deliveries. Outsourcing deliveries can help improve employee productivity and workflow management, streamlining a company’s overall process and function. By outsourcing deliveries, workflow management can be improved so that the company can stop adding to its growing list of expenses and better cultivate the employees they have. Overall, outsourcing deliveries allows a company to grow its business, save time and expand their businesses functions.

Employee productivity

 

Allowing the employees to focus on corporate strategies at a higher level without being hindered by the outsourcing process can help increase your business. Since employees will not have to focus on the logistics of shipping and receiving, they can focus on how to improve their gross domestic product (GDP) and increase customer retention. This will also allow employees to research and analyze the competition and make improvements to beat out competitors’ products.

Efficiency:

Cost:

Improving time efficiency is one of the main goals of outsourcing deliveries. When a small business outsources deliveries, it can expect to cut down on costs and the number of roles an employee or owner may have to keep an eye on. Not having to pay for the extra labor of keeping a close eye on the logistics and deliveries means money can be better invested elsewhere and on improving profits. Keeping employees off of simple tasks and focused on higher performance areas, such as marketing and sales, will help boost a company’s revenue.

The cost efficiencies do not stop with labor and workload reduction of employees, but with equipment as well. Small businesses will cut costs by not having to maintain a fleet of delivery vehicles that incur fuel, maintenance, insurance, and more.

Time:

As many small businesses have come to find out, the logistics and shipping process can become a bottleneck without outsourcing. Employees will not have to dwell on packaging a product, transferring the inventory, and delivering it to customers. Instead, employees can focus on the next project or task at hand and improve the growth of the business, and adjust priorities.

What are the facts about outsourcing deliveries

 

  • Labor costs account for 70% of a business’s spending before outsourcing deliveries ad drops to almost 52% on average after outsourcing, according to Forbes.
  • The second largest cost hindrance for a small business is the cost of inventory at 17% to 25%. Companies are not shipping fast enough and are spending more to store inventory instead of shipping faster with an outsourced courier service.
  • More than half of all small businesses saw a 27% improvement in supply chain efficiency after outsourcing shipping and logistics.
  • 90% of small businesses in 2022 have outsourced their shipping and deliveries,

Benefits:

Expertise:

 

With outsourcing also comes expertise. When a small business outsources any part of the supply chain, they are employing experts in that field who can almost double the productivity of a business in that sector. Outsourcing deliveries helps a small business because the courier service will be able to quickly calculate delivery routes and perform deliveries at a much higher rate than keeping them in-house. Reliable couriers have been in business for years, and the delivery drivers have been certified, and protocol trained to complete their deliveries as quickly and efficiently as possible.

Experience:

 

Down the road, having outsourced deliveries may also prove beneficial to improving the learning curve on logistics, not just for the owner(s) but employees as well. Outsourcing allows business owners and company heads to receive expert advice and learn from experts in their field at a fraction of the cost. Being exposed to outsourcing deliveries allows owners and employees to learn trade secrets and insights they might not have known before and may be able to implement them in other sectors of a company.

Business Value:

 

A business can improve quality, productivity, and efficiency when outsourcing supply chain portions. This means that the overall value of a company is therefore increased. A company is better suited for growth because of outsourcing since it allows an increase in overall sales and market share without hindering overall product quality or reducing the company revenue. About one-fifth of small businesses (19%) that have 251 to 500 employees use outsourcing primarily to scale their business, according to Clutch business marketing and research.

Overview:

Overall, a small business benefits greatly from outsourcing its logistics and delivery services. This includes:

  • Improving overall efficiency
  • Saves time in all departments
  • Reducing employee workload
  • New partnerships
  • Knowledge and experience gained.
  • Better collaboration between departments
  • Increased business operations
  • More business opportunities
  • Improved customer satisfaction

At Reliable couriers, we have partnered with local and small businesses for years, providing them with a reliable and cost-efficient way to outsource their deliveries. Our couriers have catered to all types of businesses and can accommodate them all with our large fleet of vehicles ranging from sedans and cargo vans to box trucks with lift gates capable of transporting up to 10,000 pounds. We are readily available to help you outsource all your delivery needs 24/7. Call us or go online to receive an obligation-free quote from a helpful member of our staff.