What are the benefits of using a single integrated logistics provider?

There are many benefits to using a single integrated logistics provider. Here are just a few of the key advantages of taking this approach.

Reduced Overheads

By fully or partly outsourcing their logistics, companies can save a significant amount on employment costs as there is less or no requirement for an internal logistics department or training. A small in-house logistics team may struggle with illness and holiday cover, whereas an outsourced logistics partner will have the necessary resource to provide a dedicated team 52 weeks per year and should be able to scale with the growth of your business.

Working with a logistics partner that offers a warehousing solution will also save you the expense of renting your own storage facility, not to mention your own vehicles. If the company’s warehouse is strategically located close to a port or airport, there’s a good chance you’ll save on haulage costs too, while?bonded warehouses?allow you to defer duty on imports until they are ready for distribution.

BETTER RATES

It’s also possible to save on your overall logistics spend if you use an integrated logistics provider. Having one company deal with everything rather than different companies handing off responsibility at different stages is more economical. It allows that company to be more competitive on price, and they will typically be able to negotiate better rates with shipping lines and hauliers, with whom they’ll have long-term relationships.

Greater Efficiencies

Working with a single partner can make your logistics operation a lot more efficient, saving you the need to adapt to the different processes of multiple third parties, all of whom may have an alternative interpretation of your business needs and priorities. Having to negotiate with numerous different agencies can also consume a lot of time that could be better spent elsewhere.

On top of this, because your logistics partner will view the bigger picture around your supply chains, they should be able to spot opportunities for efficiencies such as shipper consolidations and amalgamating shipments to maximise container utilisation, thus shipping products more cost effectively.

Control and Visibility

With multiple parties managing your logistics, it can be difficult to keep track of all your shipments. By letting one company coordinate and manage every shipment on your behalf, you’ll enjoy a greater degree of control and visibility, saving yourself an unnecessary headache in the process.

Focus on Business-Critical Activity

Entrusting your logistics activities with a single provider will allow your team to focus on their core competencies, whether that’s marketing, business development, sales or product development. This means you can grow your business while somebody else takes care of the heavy lifting, negotiation and time-consuming paperwork that comes with logistics.

Long-term Relationship

Working with one partner and having a single point of contact should result in a successful long-term partnership. Over time, the logistics company will come to know your business and internal processes as well as any employee, effectively aligning their services with your business objectives to drive growth and profitability.

By partnering with one company, it will also ensure that you receive a reliable and consistent service, which you won’t necessarily get working with multiple partners.

How HGL Delivers an Integrated Solution

At HGL, we serve as an integrated logistics provider for clients across multiple sectors, forging long-term relationships and taking the hassle of logistics off our clients’ plates.

No matter what is required – whether transport by sea, air, or road; warehousing; export packing; customs compliance; shipping documentation; coordination with factories/suppliers and end clients; order monitoring or reporting – we can help.

Ultimately, partnering with HGL gives you peace of mind that everything is in safe hands. It frees up your time to focus on your core business while having the confidence that your logistics is in the hands of competent, dedicated experts.

For more information on our integrated logistics offering, please don’t hesitate to?get in touch?today.