Running a successful distributorship can be a challenge in many ways when a businessman attempts to provide all aspects of the company functions by himself. There can be a depletion of savings and a gigantic misuse of energies that could better be spent on marketing efforts for increasing sales and providing company name recognition. In the Texas area, a Houston Public Warehouse can be found by just opening the phone book or going online and conducting a search. There are a lot of contented clients who use a Houston 3PL (third party logistics provider) as a means of outsourcing some or the entire scope of their supply chain management functions. A few of the functions offered consist of, but are not limited to, assembly, packaging, shrink wrapping if needed, and labeling of products. Using a third party can cut costs by offering a “one stop shop” type of operation for the business. They can provide packaging and transportation support to manufacturers, retailers, distributors, importers and even other shippers. So the scope of influence in employing this type of service is far reaching and has very complex advantages to the business who wishes it.

There are many additional accepted practices to outsource company functions that can also provide cost savings to a company. Just a few of these are:

• Human Resource Functions: Many companies are now using private firms who specialize in the functions of a human resources department thus eliminating the need for the company to invest money in maintaining their own. These private firms will come on an as needed basis and perform duties such as hiring and firing employees, introducing and establishing company policies, and providing training to employees.

• Payroll Processing: Outsourcing payroll has become an accepted way of eliminating that department from the company and allowing the job of payroll to be handled by a private provider. Most of these companies provide exceptional service and provide a way of tracking money earned, along with deductions taken, on the web for employees to track as desired.

• Legal Representation: Legal work and representation has long been recognized as a logical candidate for company outsourcing. Maintaining a legal department in-house is quite costly and legal representation is not sought out on an every day basis but rather required on an “as needed” basis. Contracting with a legal firm is a logical option and supplies experts who are top notch in their field when needed. Most of these firms charge a retainer fee and then will invoice clients on an hourly basis as they assume responsibilities in representing them. The firm where the attorney is employed will then send a statement out each month detailing the services provided to the contracting company.

• Advertising and Marketing Agencies: These are two areas of expertise that can be readily available and can save a business vast dollar savings when used on a contractual basis. Each of these agencies concentrate on areas such as website development, search engine marketing, video production and internet technology tools that are so specialized that they are best left to the experts.