Fulfillment Make vs Buy Analysis

Compare the costs of continuing with 3PL fulfillment versus bringing operations in-house.

Demand Growth Rate

20%

Annual growth rate of order volume

Cost of Capital

12%

Annual discount rate for NPV calculation

In-House Staff Cost

$48,000

Fully loaded annual cost per FTE

3PL Per-Order Rate

$1.50

Base pick & pack fee per order

Cost Projections

3PL Cumulative Cost
In-House Cumulative Cost
Break-Even Point

Key Metrics

Metric 3PL In-House
3-Year NPV - -
Total 3-Year Cost - -
Monthly Cost (Month 36) - -
Break-Even Month -

Sensitivity Analysis (±20% Volume)

Scenario 3PL NPV In-House NPV Recommendation
-20% Volume - - -
Base Case - - -
+20% Volume - - -

Recommendation

Calculating recommendation based on current parameters...

Key Drivers

  1. Calculating key drivers...