Budget Building: How to Budget for Your In-Building Logistics Platform
So, you’ve identified a need for a new in-building logistics platform, and now you need to make a realistic budget for the transition. Your journey to creating your perfect logistics solution will be exciting, but there are key decisions to be made. One of the things that can hamper your efforts is the discussion of your budget. What do you need to consider as you craft your budget? Three key categories of needs: your hardware, software, and setup. Let’s break each category down and determine the must-have features of your solution
The Software
Let’s begin our journey with a core component of your logistics operation: an intuitive logistics software or platform. Your software system is among the most important decisions you will make on behalf of your organization. Several considerations must be made to carve out the right solution for your team. One of the first things to determine is whether your software system will be web-based or PC-based. Each option has its pros and cons, so carefully choose the best option that fits your team. You must also determine if any data from a legacy system must be migrated to your new platform to help maintain data continuity during your platform transition.
Another thing to consider is whether you would want to integrate an enterprise resource platform, or ERP, system with your platform. Companies and organizations use ERPs to manage their daily operations and supply chains, so having that functionality integrated within your software could profoundly improve your processes. Lastly, since we’re talking about integrations, consider other functions that you integrate within your software. A good logistics platform should be able to accommodate a plethora of options, whether its carrier-specific operations, smart lockers or outbound shipping. Choosing only the necessary components of your software will help you save money, freeing up capital for other parts of your solution.
The Hardware
Now that we’ve discussed your software requirements, let’s talk hardware. Take time to think about and determine which hardware and tools are needed to execute your daily tasks. To start, you will need to consider the physical needs of your system. Will you need handheld devices, USB scanners, barcode printers, kiosks, intelligent lockers, or signature capture pads? For each item for which you say yes, you will next need to determine the total number of devices you must purchase and the specific operating system and brand you want. Consider the bare minimum you may need, as well as the ideal number. Identify any sellers that offer discounts for bulk purchases so you can include that in your estimates.
The Setup
By now, if you’ve used the guide for hardware and software considerations correctly, you should have the building blocks needed to create your perfect solution. Now let’s determine how you will initiate and execute your vision. You first need to decide how you want to handle installation and training for your customized platform and tools; your team can explore remote training via Teams or Zoom or train on-site. You also must decide on the terms of use and service for your hardware; if there are service contracts, determine the appropriate length (anywhere from 2-5 years) that allows for the best negotiation leverage with your hardware vendor. Speaking of hardware, you may also consider utilizing loaner services like SCLogic’s Depot Express program, which provides temporary devices while your device is being repaired.
Take your time and go through each of these three sections to determine the critical features needed within your solution. If you have a firm grasp of the needs of your team and can choose budget-friendly components within each section, you will successfully craft your perfect logistic solution. And if ever you may need help, know that SCLogic has you covered!
Does your team need help setting up an in-building logistics platform? We’re here to help! Email us at [email protected] or schedule a demo with us today.