There are so many things that a company does. From hiring the human resource to managing the employees, from setting up the manufacturing unit of the products to storing the products, from setting up the customer service department to creating the website for more clients from different markets, everything is done by the company that’s into some kind of business.
However, when it comes to storing extra units of manufactured products and shipping the same to local to international markets, things become quite difficult. Not all the companies have enough knowledge about these two departments and thus, they need to outsource these services. Firstly, terms like DDP Shipping and their meanings are way too difficult for the ordinary companies to understand them. Secondly, these processes are quite huge. Thus, it is not even possible for a business house to dedicate time to learn about such things.
Thus, the best thing to do is get another company on board so that your business can go worldwide. This is what most of the business houses do and hence, if you are unable to create your own logistics and shipping department, you need to do this to.
Want to know why companies hire third party shipping companies?
There is not just one reason, but many.
Firstly, the job of shipping is not a child’s play. Even if a specific business house has spent years in the market and has captured the major part of it, there are fewer chances for it to have a bigger knowledge of the shipping process, too, unless it has its very own shipping department. Without being equipped with the right kind of knowledge, no business house can go ahead with the shipping process, even though it has ruled the market for five to ten years.
Secondly, not all the business houses can afford establishing a department into logistics and shipping services. Since such a department takes immense investment, it is always affordable to outsource such services. To have such a department, you not only need some space at your office, but also highly paid experienced professionals who have been in the shipping line. Let’s not forget the expenditure on software, systems and all the other things that you need to track the shipping process.
Lastly, when you outsource the shipping services, the third party company takes a guarantee of its services as well as the delivery.