Build a Supply Chain That Flexes With Your Business

Supply chain demands are constantly evolving. Building a network that perfectly matches every scenario – especially in an uncertain operating environment – isn't always practical or cost-effective. Yet many shippers default to overbuilding, sizing networks and transportation capacity around peak demand or worst-case scenarios to avoid service failure.

The result is significant: excess warehouse space that is underutilized, transportation assets that aren’t fully leveraged and fixed costs that remain even when demand drops. Conversely, underbuilding presents its own challenges: capacity shortfalls, service disruptions and the expense of sourcing last-minute solutions at higher costs.

The key is an agile, flexible supply chain with end-to-end visibility, scalable capacity and an optimized network – one that doesn’t require overinvesting in fixed transportation or warehousing infrastructure.

Logistics service providers help shippers tap into shared networks to scale transportation and warehouse capacity up or down as business needs change, reducing the risk of overbuilding, limiting fixed costs and keeping resources aligned with actual demand.

Identify Over- and Under-Resourced Areas

Rightsizing starts with visibility. Data and analytics help shippers understand how their supply chain is performing by identifying underutilized assets and lanes, uncovering capacity constraints and bottlenecks, and highlighting inefficiencies in routing and network design. With that insight, shippers can reallocate resources, adjust network structure and improve overall efficiency.

Optimize the Entire Network

Rightsizing is not just about individual shipments or assets. It requires evaluating how the entire network operates. Amy Ilyes, vice president of logistics engineering at Penske Logistics, recommends starting with a clean slate assessment of all facilities and freight flows to determine the best possible footprint and resource allocation.

"We look at shipper networks for opportunities to improve routing efficiency, reposition inventory closer to demand, reduce transportation miles and costs, and better balance warehousing and distribution strategies,” said Ilyes. Sometimes small adjustments can make a significant difference in both cost and service, she added.

Outsource What Doesn’t Require Dedicated Resources

Not every supply chain function requires dedicated internal resources, and trying to manage everything in-house can stretch teams thin and drive-up costs. Transportation management, freight brokerage and warehousing can often be handled more efficiently by a logistics partner. Outsourcing reduces operational complexity, minimizes the need for additional headcount and technology investment, and provides access to specialized expertise and established carrier networks.

According to the 2026 30th Annual Third-Party Logistics Study, 88% of shippers say their relationships with logistics service providers are successful. Plus, 88% said their 3PL partners can solve their specific needs and challenges, 81% say that 3PLs help improve customer service, and 75% said 3PLs contribute to reducing overall logistics costs.

Scale With Demand

Scalability is one of the key advantages a 3PL can offer. Rather than building a network sized for peak volume, shippers can tap into existing infrastructure with broad capacity that flexes up and down with demand. Penske Logistics’ freight brokerage, for example, helps bridge capacity and network gaps, connecting shippers with capacity in underserved areas or new lanes when they need it most.

Build Resilience Without Carrying Excess Capacity

A rightsized supply chain isn’t only efficient, it’s resilient. Weather events, capacity shortages and demand spikes all require flexibility and contingency planning. Logistics providers offer access to alternative carriers and modes, flexible warehousing capacity, and the ability to rapidly reroute shipments or reposition inventory. That means shippers can respond quickly to disruptions without maintaining excess capacity year-round.

Use Visibility to Continuously Rightsize

Rightsizing isn’t a one-time exercise. As business conditions change, supply chains must evolve alongside them. Real-time visibility into shipments, inventory and network performance helps companies identify emerging inefficiencies, respond quickly to disruptions and continuously refine their network.

Penske’s Supply Chain Insight combines and analyzes data across transportation, warehousing and supplier networks to deliver real-time, end-to-end visibility into shipments, inventory and capacity. This connected view allows companies to identify inefficiencies, anticipate disruptions and make faster, more informed decisions while optimizing network design, improving utilization and aligning resources with demand.

A Supply Chain Sized for Your Business

Penske Logistics gives shippers the flexibility, scalability and insight needed to align supply chain operations with real demand. By combining deep network expertise with data-driven decision-making, companies can reduce costs, improve service levels and build more adaptable operations.

No two supply chains are alike and there’s no single formula for rightsizing. But with the right logistics partner, shippers can move from reactive to proactive, replacing guesswork with data-driven decisions and limiting fixed costs with flexible capacity.

Penske Logistics combines network expertise, advanced technology and scalable solutions to help companies build supply chains that are sized for today and ready for tomorrow.

Discover how we can help you scale capacity, reduce costs and improve supply chain performance.

Looking for additional rightsizing solutions?

• Build a Cost-Effective Fleet That Meets Your Needs
• Build a Fleet That Scales Up or Down Based on Demand, not Predictions
• Build a Fleet That Moves With the Market