Owning and operating trucks and trailers to haul freight is extremely expensive. Some of the largest companies in the country have chosen to outsource their fleets, rather than owning. A small or medium-sized business owner, with even more limit resources, would benefit from this kind of thinking. Before you decide whether outsourcing your transportation needs is a good fit, consider these three benefits for your company.
Lower Costs
An adequate number of trucks and trailers requires a huge capital investment. A company that transports a huge quantity of cargo will require a massive fleet. Fleets this large, often have in-house maintenance, repair facilities and staff. What’s more, buildings and other infrastructure are necessary. It’s not hard to see why these endeavors can cost millions of dollars. Outsourcing, however, requires none of these things. A transportation partner provides the equipment and drivers for a specific price.
Reduced Liability
Along with the financial obligations that come from owning a fleet, there are also other issues to consider. The safety and well-being of the drivers, warehouse workers and the general public is of paramount importance. Your company can be held liable if one of your trucks malfunctions, or a driver causes them injury. You’ll be required to carry insurance on your fleet and drivers, another huge expense. With an outsourced freight shipper you effectively reduce your potential for liability.
Increased Flexibility
During certain seasons, or due to the introduction of a new product, you may well need more capacity. If your fleet is already maxed out, you’ll delay deliveries and lose money. Buying new trucks for a temporary increase in business doesn’t make sense. When you outsource, however, you will have the flexibility to add new equipment when you need to. That means your company will be more nimble and quicker to react to customer demands.
The lower costs, reduced liability and increased flexibility by outsourcing your trucking certainly makes it an option to consider. This single change in your supply chain will allow your company to not just compete with, but out-pace, your competition.
