Outsourcing Reality Check: How to Maximize ROI | SupplyChainBrain
by: Brad Huff, July 26, 2016
The unprecedented transformation of consumer demand is driving cost and complexity into the supply chain. Keeping up in today’s fast-paced business environment is forcing mid-market companies to analyze and implement responsive supply chain strategies that meet market expectations while driving greater profitability to the business. Despite reshoring and in-house efforts, outsourcing remains a reality for many supply chains.
Outsourcing leverages a range of benefits that have the potential to ultimately improve supply chain visibility. According to Supply Chain Insights LLC, over 40 percent of companies outsource some manufacturing efforts and, additionally, 80 percent of companies outsource transportation. Despite these numbers, however, outsourcing regularly fails to achieve maximum ROI and cost savings for many organizations. Why?