Outsourcing Specialist Expertise and Resource is on the Increase

In the relatively healthy economic climate of the lastindependent consultancy firms.
few years, businesses have understandably beenThe modern specialist consultants business should
focused on sales and revenue growth, often withouttherefore be focused on the key project objectives,
ensuring that operational and Supply Chain bestuse proven industry experience and methodology
practice has also been implemented. Now thatfrom their own expertise, and focus not only on
survival rather than growth is the number onedeveloping a strategic solution but also on the
priority, organizations are looking long and hard atimplementation of it and the handover to the client
their Supply Chain operations and, in many cases,of strategy ownership as soon as it is feasible. This
finding that they have become fractured,minimizes cost to the client and ensures that the
cumbersome and expensive.improvements to their business, and that the return
Whilst outsourcing has always been prevalent in theon investment into specialist resource, can be realized
Logistics and Supply Chain Consultants sectors, thereas soon as possible.
has been a marked increase in the requirements ofFor example a key area of unnecessary and wasted
businesses in all sectors, for independent specialistcost within the supply chain across all sectors is often
Supply Chain Consultants over the last 6 months. Thiswithin Returnable Transit Packaging (RTP)and
is not just due to economic slowdown or uncertainty,Materials Handling equipment fleets, whether they are
making companies more cautious in employingowned and managed internally or rented from and
permanent resource, but mainly due to the diversity,managed by a third party. The client therefore needs
unique requirements and expectations of the modernto choose specialist independent Materials Handling
supply chain.Consultants with expertise in RTP management and
Never has so much attention been focused on takingpooling implementation, with the ability to design,
cost out of all aspects of the supply chain as well asdevelop and implement equipment pooling processes,
reducing the effects on the environment, whilst offacilitating improved equipment control, user
course achieving higher levels of customeraccountability, optimal logistics and supply-chain
satisfaction - a tall order for any business especially ininfrastructure, repair & maintenance operations
what we are being told to expect as tougherand overall RTP fleet cost control. This should have
economic times ahead.the result of a fully developed and implementable
With so many different aspects of the increasinglysolution providing significant savings to RTP fleet
complex Supply Chain to consider, the number ofoperations, reducing losses and damage, as well as
specialist project requirements increase and it is notreducing fleet sizes through improved process,
possible for one person within an organization,reducing dwell times and therefore increasing trips per
(whether a permanent employee or an interimRTP unit. Having developed and implemented a
contractor), to have the skills and expertise tostrategic solution, which can in some cases deliver
successfully optimize all of them. As the Supply Chain15% to 20% savings on annual RTP costs, a
is broken down into smaller identifiable elements,specialist consultant will seek to hand ownership of
there is a greater need for more specialist expertisethe strategy over to the client as soon as it is
to ensure best practice.feasible, minimizing costs and delivering the fastest
It has also become more evident that a number ofpossible payback period.RTP fleet management is
businesses have reduced resource in some areas toalso a key area which can have positive
such an extent, in an effort to minimize costs, thatenvironmental impact as a by-product of the original
they are now finding they are unable to operate tostrategy objective of minimizing costs.
maximum efficiency and potential as the remainingEveryone is a winner (including the planet), thanks to
staff are being asked to "multi-task" (often in areasthe specific RTP expertise of the specialist
outside of their core competence), therefore losingindependent consultancy. During good economic
focus on their key roles and functions. This in mostgrowth, as we have experienced over the last few
cases is a short term cost saving solution, butyears, businesses can prosper and grow financially
unfortunately has the medium to long term adversefocusing on sales and revenue, without perhaps the
effect on the business as both the specialist projectsoperational focus to ensure that best supply chain
and the key business objectives are diluted; reducingpractice is implemented as the business grows. It is
their effectiveness and worth, preventing theonly when the growth slows down and the business
business from achieving continuous improvement andis analyzed in more detail that one realizes that their
growth.Supply Chain has become fractured, cumbersome and
Simple economics and common sense dictates thatexpensive. This is a potentially very damaging
rather than employing a permanent team of staff tosituation for smaller businesses that have grown
work on a few short to medium term projects, morequickly without true understanding of the impact of
and more businesses are opting for the more flexibletheir Supply Chain operation on to their costs. Often
and cost effective approach of using sector specialistin these cases a simple analysis and implementable
independent supply chain consultants.strategy recommendation from specialist Supply
Logic dictates that using an independent consultancyChain Consultants will enable the client to identify
specializing in a particular area or discipline will be morewhere savings can be made and the supply chain
effective, (cost and operationally), than usingstreamlined to suit their business, whilst it remains
someone who has to learn about the area offlexible for economic boom or recession. The answer
expertise during the course of the working day.is often in reducing handling and transport
The days of the general "Management Consultants"requirements, and centralizing more functions but with
who claim to be able to improve any aspect of yourthe introduction and adherence to standard operating
business by writing lengthy (and largely theoretical)procedures (SOPs) and measuring the continued
strategy reports, too "all encompassing" to practicallyperformance of the business through simple Key
implement are, thankfully, behind us. They still exist,performance indicators (KPI's).
but are not really in touch with the requirements ofOnce again, thanks to the expertise of the specialist
the modern streamlined business culture, andindependent Supply Chain Consultants, the needs of
contradict the proven and sound logic behind usingthe client and the environment are satisfied.
sector specific resource through experienced