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The outsourcing of logistics functions continues to grow in popularity among supply chain leaders. In fact, Gartner Inc. says 85 percent of surveyed logistics leaders say they expect their outsourcing budget will increase by more than 5 percent this year.

“Outsourcing one or more logistics service types has become largely mainstream,” said Courtney Rogerson, senior principal analyst with the Gartner Supply Chain Practice. “The question no longer is whether to outsource, but what and how much to outsource. Evaluating different outsourcing strategies has become a priority for logistics leaders.”

A major driver behind turning to 3PL providers and other outsourcing vendors, respondents said, was to help meet or exceed their functional, end-to-end supply chain and overall business objectives.

“To be effective, the logistics outsourcing strategy needs to be aligned with the overall logistics priorities,” Gartner observed. “Almost half of surveyed logistics leaders stated that updating their technology systems, increasing speed to customer and improving visibility are their most important goals” in 2020.

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