Capital Equipment News June 2018

Managerial input should guide decisions to outsource logistics Organisations are increasingly outsourcing their transport logistics operations to an expert to allow them to better focus on their core activities. Bridgewater Logistics continues to

demonstrate that, if managed correctly, this strategic decision can bring improve- ments in efficiencies that, in turn, lead to increased customer-service levels and lower operating costs. However, Quinton de Villiers, MD of Bridgewater Logistics, recommends that organisations that seek to outsource these critical components of their businesses should first develop robust guidelines to ensure expectations are met. “There has been a marked increase in the number of players that have entered the industry over the years. While there are many examples of reputable trans- port logistics operators that provide a sophisticated service, there have been just as many – if not more – that have turned out to be ‘fly-by-night’ operators, who prey on unsuspecting businesses. To avoid potential pitfalls and accrue maximum benefits, transport logistics outsourcing should be exercised diligent- ly,” De Villiers says.

Bridgewater Logistics is a 3PL partner to many businesses.

Importantly, he says that a sound agree- ment with a 3PL will stipulate performance and cost expectations, while ensuring that policies, procedures and service-level agree- ments are fully understood. De Villiers notes that problems also arise when there is inadequate managerial involvement in the logistics outsourcing process, starting with the appointment of the most suitable 3PL partner. In addition

to the outsourcing agreement, managerial input should be sought in the transitioning of resources, as well as the ongoing admin- istration of the long-term relationship with the 3PL partner. Bridgewater Logistics remains a preferred 3PL partner to many businesses, provid- ing state-of-the-art capabilities that span line-haul transportation, distribution and warehousing. ❂

CAPITAL EQUIPMENT NEWS JUNE 2018 37