Evaluating Logistics Outsourcing: Look Before You Leap!

Top Performers Keep Customer Service Levels High, and Carrying Costs Low


BOSTON, MA--(Marketwire - November 10, 2009) - Aberdeen Group, a Harte-Hanks Company (NYSE: HHS), announced the release of its latest supply chain execution study, "Evaluating Logistics Outsourcing: Look Before You Leap!" This report examines how companies have enabled more automated and collaborative transportation and warehouse processes through strategic decisions to use logistics service providers.

"The shift in the global economy over the past year has forced Logistics Executives to re-evaluate their supply chain strategies in order to create more efficient and cost-effective operations," said Bob Heaney, senior research analyst, Aberdeen Group. "The role of logistics service providers (LSPs) has continued to evolve as companies look to utilize their services as part of a more integrated supply chain."

In this study, top performers were distinguished from their peers based on three performance measures: on-time and complete shipments, on-time delivery, and year-over-year reduction of inventory carrying costs. These performance criteria were chosen because they provide insight into the impact of overall supply chain strategies (including outsourcing), how those decisions affect customer value, and track a cost associated with making better supply chain decisions.

Across all respondents, overall supply chain cost (40%) and increasing complexity (39%) are the two most-frequently cited pressures of supply chain organizations. How do organizations combat these pressures without compromising performance? "The role of technology to support in-house and outsourcing strategies in supply chain management is a critical factor in determining success," said Heaney. "It's important to evaluate and understand the value of internal solutions in any outsourcing strategy."

To obtain a complimentary copy of the report, visit: http://www.aberdeen.com/link/sponsor.asp?cid=5883.

Visit Research.Aberdeen.com for additional access to complimentary Supply Chain Management Research.

About Aberdeen Group, a Harte-Hanks Company

Aberdeen provides fact-based research and market intelligence that delivers demonstrable results. Having queried more than 30,000 companies in the past two years, Aberdeen is positioned to educate users to action: driving market awareness, creating demand, enabling sales, and delivering meaningful return-on-investment analysis. As the trusted advisor to the global technology markets, corporations turn to Aberdeen for insights that drive decisions.

As a Harte-Hanks Company, Aberdeen plays a key role of putting content in context for the global direct and targeted marketing company. Aberdeen's analytical and independent view of the "customer optimization" process of Harte-Hanks (Information - Opportunity - Insight - Engagement - Interaction) extends the client value and accentuates the strategic role Harte-Hanks brings to the market. For additional information, visit Aberdeen or call (617) 854-5200, or to learn more about Harte-Hanks, call (800) 456-9748.

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Contact Information: Media Contact: Bob Heaney Aberdeen Harte-Hanks (617) 854-5360 bob.heaney@aberdeen.com