In house deliveries or outsource to courier company?

If you have ever worked in office environments in SIngapore, you will notice that there are lots of documents which needs to be delivered to other companies on a near daily basis. This is especially the case if your department or company is big.

Should your company simply perform its own deliveries, or would it simply be more advisable to outsource to a courier company?

Usually, my answer to people would be to multiply the estimated delivery volume by the average price that the courier company quotes you per delivery, and see if it’s more or cheaper than hiring a full time deliveryman. If it’s cheaper or even slightly more expensive, then it’s more worth it to outsource to a courier company (as the courier company would have back up couriers in case he/she falls sick, while you don’t have any back ups if you only have 1 deliveryman at full capacity). However, this is more the case for last mile delivery such as for E-commerce or retail businesses. What about normal courier deliveries? How should you decide? The answer is still straightforward and I shall explain it in the following paragraph.

If you’re the boss, and are thinking of getting your employee to do it, ask yourself, “Will I be wasting more time and money by getting my employee to drive/travel to the location halfway across Singapore just to pass a document, only to return half a day later?” If the answer is yes, then of course, outsource it to a Singapore courier company.

If you’re the sole proprietor, need you even ask! Time is the most precious thing to you. If you’re a doctor or dentist, if you leave your clinic, you lose your income indefinitely. Don’t do that, when you can simply outsource the delivery to a courier company for less than a fraction of the revenue you make from a patient.