Over the years Crimson & Co has assisted many clients in various stages of logistics outsourcing. Recently we completed the 3PL selection and transition phases for a large-scale, multi-site eCommerce fulfillment operation. Important elements of this very successful transition were putting together a strong team and executing to a detailed plan. Check out our latest blog posts on these critical “get rights” as you consider your path to outsourcing. We started the dialogue of the transition phase recently on this piece, Successful Outsourcing: Building the transition team. To revisit a previous series on the 3PL selection process, see Logistics Outsourcing, Is it right for your business?
The Path to Outsourcing Warehouse Operations
Once the transition team for 3PL selection is in place and the objectives are documented, the project team must plan and execute the transition of the operation from its current location (or provider) to the new location. An effective 3PL implementation project plan will reduce risk and support developing corrective actions when elements are delayed or when problems are encountered while migrating to a new 3PL warehouse. Here is a link to a series I wrote about the 3PL selection process.
Throughout the transition period, the shipper and 3PL company project managers will coordinate activities, monitor status and highlight any delays. The project managers identify and report conditions that represent risks to meeting schedules and milestone deadlines. Appropriate team members should work together to develop risk mitigation plans to proactively avoid potential problems. They will coordinate communications and status reporting to the organization and the executive teams to keep key constituents informed. A comprehensive implementation planning approach will enable a seamless transition for the shipper and its customer base to their new third-party logistics partner.
To read our first post in this series, visit Successful Outsourcing: Building the transition team