Subcontracting deliveries
28 August 2012
Q: I work for the procurement division of a bank. We are trying to cut the cost of repairs and maintenance on the vehicles we use to deliver items such as mail to our branches. Are we likely to save money if we subcontract this to a logistics company?
A: Claire Kilbride, strategic buyer at Abbey National, writes: The basic issue you face here is a “make or buy” decision - whether it would be better to meet your logistics needs through a third party or an in-house fleet. As always, when faced with the option to outsource, the solution must be focused on what is appropriate for your organisation.
You need to...