Last week we brought you 5 reasons to consider warehouse outsourcing, but it doesn’t stop there! This week, we have 5 MORE reasons just in case we couldn’t convince you last week!
Initial costs lowered
If your businesses is new, you may not have the budget for a big setup. In this case, warehouse outsourcing will be your best bet as it will offer you exactly what you need but at a more affordable price. It may also be wise to rent and leave more money in your pocket to provide the products people want. This doesn’t have to be permanent, but it’s a great starting point while your success is in motion.
Equipment costs
Along with the costs of the premises, you will also find yourself saving money on the equipment you will require in order for the warehouse to run as you would like. From pallet racking to pickers, there are so many elements you will need to invest in on top of the storage facility itself. By outsourcing, these things will likely be included in the cost, offering huge savings until you think it is time to go your own way.
Flexibility
Something else that is considered to be a wonderful benefit of outsourcing is the flexibility and scalability you can get from these agreements. These days you don’t need such an agreement when setting up. What’s more, your business could change at any moment, which may mean you will need more or less space, given the direction it is heading in. If this were to happen, outsourcing will allow you to change where your stock will be stored or determine a new agreement with your supplier with next to no hassle.
Lower HR costs
Similar to what we mentioned last week, you won’t need to require as much staff, but this also goes to office members, such as HR. By outsourcing to a third party, you will also get the added bonus of having an external team who will take get of these things, leaving you with the responsibility of only hiring one or two office professionals to speak with your supplier.
Insurance and protection
Finally, you will save plenty with outsourcing as it means you will not have to fork out for the insurance of those working in the warehouse. You should be covered by your supplier’s insurance, meaning that staff will be safe and even your products could be protected!
Get in touch with Monarch Shelving for all your warehouse needs.