Posted by When outsourcing any supply chain activities or processes to third party logistics (3PLs) operators in emerging markets, there are a number of factors to consider:
- Expertise – Do they have the required expertise?
- Alignment – How aligned are they with our organisational goals and strategy?
- Culture – Do we anticipate any culture clash?
- Organisational Fit – How will the partnership work with our organisation structure?
- Collaboration – Will it improve overall collaboration?
- Management – What do we know about their management?
- Partners – Are they working with strong supply chain partners?
- Visibility – Will it improve visibility in the supply chain?
- Cost – Do we understand cost to serve and total cost?
- Process impact – How aligned are our processes?
- Technology – What software are they using and will we have any integration challenges?
- Efficiency – Will it improve efficiency?
- Closeness – Will we get closer to our customers or end consumer?
- Flexibility – How flexible is their system?
- Implementation risk – How long will it take and what guarantees do we have?
- Barriers – What challenges will we encounter?
- Regulations – Are there any regulatory issues we need to be aware of?
- Safety – What is their safety record?
- Financial – How financially stable are they?
- Quality – Will we maintain or improve quality standards?
- Trust – Do we trust them?
The Supply Chain Lab 