Sep
Are You and Your Clients Looking for a Fresh Start?
We’re sure we’re not alone in that perspective. This year has certainly brought a number of challenges for countless industries around the world, but with 2021 comes a new opportunity — not only in terms of a refreshed perspective but also in how small and midsize businesses approach their logistics. SMB logistics may not be at the top of your “changes to make” list for your clients this year or even next, but we think it should be.
The need for this comes as industry powerhouses such as Amazon seek to dominate the SMB logistics market for retailers at virtually any cost, attempting to edge out third-party logistics (3PL) companies with whom companies have built long-standing relationships. Their increased competition puts both companies and their logistics partners at risk — potentially forcing businesses to switch providers simply to keep their doors open.
The good news is that you and your clients don’t have to wait for 2021 to arrive to take action. Never before has there been more opportunity for SMB logistics programs, despite the growing competition in the field and the seemingly ever-growing dominance of major service providers like Amazon Logistics.
Four Opportunities for SMB Logistics Programs
1. New Resources Mean New Possibilities
Software developers, third-party logistics providers, and logistics consultants are beginning to explore the SMB logistics space because this particular market presents a major opportunity. Historically, SMBs had a hard time accessing the resources they needed to grow because larger enterprises simply had more opportunities to explore or obtain them, leaving smaller companies to their own devices. If your SMB clients have been struggling with managing and improving their logistics programs, the opportunity for change is here.
Success starts with data: Brady Partners supports companies and their trusted advisors with logistics solutions designed to improve bottom-line financial performance. Our complimentary logistics health check evaluates your program to identify opportunities that can be leveraged right away for success. Get in touch with us to learn more.
2. Leverage Your Clients’ Market Knowledge
If your clients are SMBs, there’s a good chance they understand their market better than a major enterprise, whose focus tends to be on “the whole” rather than a distinct segment and because they’re simply too large to optimize individual segments. Your clients are involved in these markets more frequently, are closer to them in terms of proximity, have less overhead when it comes to supporting them, have more efficient processes, and are more innovative and nimble because of their size. This means they have a distinct advantage over other larger organizations competing in their market space.
Optimize for the future: As a trusted advisor to your clients, you can help them understand the importance of their logistics program. Remember, logistics isn’t a standalone department — it’s a collaborative, living function that interfaces with supply chain, operations, and many other departments and teams within an organization. Help your clients understand the opportunities they have available through logistics.
3. Invest in Newly Available and Growing Technology
Whereas major enterprises often have bureaucratic processes and heavy technology systems that are difficult to maintain let alone optimize, your clients have an opportunity to invest in the latest and greatest technology to make their SMB logistics and supply chain efforts easier. New solutions are faster and easier to implement at an SMB as opposed to an enterprise-level organization, enabling them to take advantage of that technology sooner and for a faster return on investment.
New attention from software developers has also made technology that was traditionally accessible only to larger organizations more available to your SMB clients. We’re not talking stripped-down or “lite” versions of tools like Oracle or SAP, either, but rather the full suite. These are being made available to SMBs thanks to new financing and delivery options. And of course, there are SaaS solutions as well. These more affordable platforms make it easier for your clients to scale their SMB logistics technology up with production increases and also reduce costs when the need isn’t as great.
4. Leverage Logistics Partners for Long-Term Success
The logistics space is becoming more crowded and competitive. Larger organizations are moving in to gobble up as much market share as they can, and more and more service providers are creating solutions and approaching SMBs to compete for their business. It’s a difficult function to manage — particularly for SMBs who may lack the resources, team, and expertise needed to truly optimize a logistics program for long-term growth and success. That’s why it’s important that your clients work with a reliable, proven partner.
At Brady Partners, we work with trusted business advisors such as accounting and business advisory firms, operations consultants, private equity firms, and banks to help their manufacturing and distribution clients take advantage of new opportunities to improve financial performance. These opportunities are often untapped or missed, but once action is taken, they can positively impact your clients’ business value, overall profitability, and even their competitive positioning.
Let’s Make Your Clients’ SMB Logistics Programs a Success
If your clients have been struggling with their logistics program, or if you’re looking for new ways to help them reduce costs and improve performance, we’re here to help. The best way to get started is with our complimentary logistics health check — a service that evaluates your clients’ logistics program to identify opportunities for improvement that are available now.
Contact us today to learn more about this service and how it can benefit your SMB clients.