6 min read

What are the Warehousing Requirements for D2C eCommerce Businesses?

April 29, 2021 by Srishti Arora - 6 min read

In 2021, if you are still processing large eCommerce orders from a makeshift warehouse or your studio, your business is in for a challenge. With the increasing internet penetration and access to eCommerce, users from across the country are now turning towards D2C eCommerce stores for shopping, even the essential products. Since everything is available online, buyers prefer getting it delivered to their doorstep. 

However, with increasing order volumes, you need to prepare additional space to process them accurately. Warehouses are not just a single unit of operation. They are areas where the real action happens. All eCommerce fulfillment operations like order management, inventory storage, picking, packaging, etc., are carried out in the warehouse. Therefore, you need to research all aspects properly before committing to any long-term plan or outsource operations.

If you are just starting, here are some of the warehousing requirements for eCommerce businesses in 2021. Let’s dig deeper to understand them better. 

Warehousing Requirements for Smoothly Running eCommerce Fulfillment

Slotting Optimization for Inventory Management

Organization in the warehouse is critical for eCommerce businesses. Since the entire process is extremely fast-paced and you need to process orders quickly, an organized warehouse will facilitate the same. That is why slotting optimization is essential for eCommerce warehouses

Optimization refers to the warehouse loading process in which you identify the most critical storage location for each product and store it accordingly. Sorting optimization lets, you pick orders faster and further enables quick and accurate order processing. 

You must analyze your existing stock and seasonal sales forecasts for inventory growth and then decide your business’s best slotting optimization technique. 

Warehouse Management System

The following requirement of commerce businesses is installing a warehouse management system. The warehouse management system helps you establish the best floor plans, picking rules and also helps maintain synchronization between the incoming orders and the inventory.

If you do these functions manually, they can lead to a considerable delay in order processing, eventually causing late deliveries and a poor customer experience. A warehouse management system lets you optimize orders based on priority and does significant heavy lifting.

Warehouse management systems also help you forecast inventory and demand to be on top of your game and not accumulate dead stock or face unfortunate situations. 

Hand-Held Terminals for Order Picking

To ensure proper storage and packing, it is essential to put barcodes on every incoming product inside the warehouse. Also, while picking orders, you must use handheld terminals (HHT devices). These devices are directly synchronized with the warehouse management system and can detect the product from the inventory. This way, you can conveniently pick orders without errors and process orders with utmost accuracy. Also, automation will help you speed up the process by many folds. 

Picking Strategies

Picking might seem like a tiny task in the whole fulfillment process, but it is indeed an essential one. A vital requirement for warehousing is devising picking strategies.

You must try and incorporate batch picking, zone picking, cluster picking, or wave picking strategies. For eCommerce businesses, cluster picking is the most effective speaking strategy as a group of orders are pieced together into a cluster and then picked up together. This makes the process faster and enables you to fulfill multiple orders at once.

Packaging Material and Inventory

Without packaging material, you cannot successfully fulfill any order or deliver it. Therefore, a critical warehousing requirement is to stock packaging inventory and utilize it for every order. An intelligent approach would be to map SKUs to packaging material, so you know which packaging has to be used for every order. This will enable you to correctly pack in order, reduce weight disturbances, and ship better. 

Shipping Solution

Shipping solution helps you automate shipping operations along with warehousing ones. It enables you to ship with multiple courier partners, and you can deliver sooner with a wide pin code reach and express delivery. Shipping solutions give you the advantage of handling non-delivery seamlessly by automating functions and also give you a superior post order tracking experience with the help of tracking pages, SMS, and email notifications. 

Reverse Logistics Management

Last but not least, an essential warehousing requirement is reverse logistics like management. Without reverse logistics, you will not be able to handle return orders and will lose out on customers because of the same. Your warehouse must be equipped to accept incoming orders and merge them with the inventory or ship or exchange as soon as possible. 

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3PL Fulfillment – Your Hack to Achieve These Requirements Without Capital Investment

If you are ready to see an eCommerce business that has just started, investing in warehouse capital can be a daunting task. You will need to lease or rent a warehouse space where you set up operations all by yourself. If you do not do so, you will be running your business from your house, basement, studio, etc. With self-fulfillment comes the challenge of storage, aura management, and seamless shipping. Since you require a team to handle these operations efficiently, it can get challenging to run the business smoothly.

However, you can meet all these warehousing requirements for your eCommerce business by outsourcing operations to a 3PL fulfillment center like Shiprocket Fulfillment. 

Shiprocket fulfillment enables you to store products and inventory in thoroughly equipped fulfillment centers located across the country. With this, you can keep products closer to customers and deliver 3X faster. It also helps you reduce RTO orders with efficient delivery and reduce weight discrepancy with an automated falcon machine. With a skilled team at your disposal, you can achieve all warehousing requirements without actually investing in any of them. Moreover, you can save on fulfillment and shipping costs by a margin of up to 50%. If you want to work smart and not complicated, outsourcing eCommerce fulfillment operations is your best bet. 

You can save on money, time, resources and do your business much faster than your contemporaries. 

Final Thoughts

It is vital to fulfilling all warehousing requirements before you set up a warehouse and start shipping. However, you cannot achieve everything if you are just beginning. It is intelligent and lets a third-party fishermen company take care of your business and help you gain profits. 

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April 29, 2021 by Srishti Arora

5 min read

Tips for Warehouse and Distribution Center Management Success

April 29, 2021 by Srishti Arora - 5 min read

Without efficient fulfillment, your eCommerce business cannot achieve maximum growth. According to a report, the logistics sector in India is expected to touch US$200 billion by 2020 & India’s warehousing requirement is expected to grow at an annual average rate of 9% to 1,439 million Sq. Ft in 2019 from 919 Sq. Ft in 2014. This indicates the warehousing and fulfillment sector is on the rise in India. With the increasing requirements of e-commerce businesses and the vast spread of logistics in India, fulfillment centers are the next big thing. 

If you own a warehouse, you would understand the kind of Input it requires a successful functioning. Your warehouse acts as your distribution center and also as your storage in most cases. If you do not own a warehouse, you can understand the requirements and prepare your business.

With the increasing trends, it is unnecessary to have a warehouse to run your eCommerce business successfully. Let’s find out more about warehousing & distribution center management success. 

The Modern-Day Fulfillment Center = Warehouse and Distribution Centers

The modern-day fulfillment center is a culmination of storage, order processing, and shipping. Earlier businesses used to have separate storage known as the warehouse and different facilities used to distribute goods. The goods were often brought from the warehouse to a distribution center and then sent further for order delivery. Today’s fulfillment centers are equipped with all the necessary infrastructure and processes to ensure that storage, order processing, and distribution can happen from the same place.

Fulfillment centers take up warehousing by storing the inventory for multiple eCommerce businesses and processing the orders as and when they receive them from the company. Next, they take care of the picking and packaging operations involved with autoprocessing and move the orders to the shipping stage. These fulfillment centers have different areas designated for handling incoming and outgoing inventory to act as warehouses and distribution centers at once. 

Let’s move further to see how you can ensure operational success within the warehouse and distribution center. 

How to Ensure Operations Success?

Prepare Warehouse Floor Plans

To ensure proper order processing within the fulfillment centre, it is necessary to prepare a warehouse plan to store inventory systematically and create intelligent routes for optimized picking and order processing. This gives you a map of the entire functioning within the fulfillment centre, and you can allocate space and resources accordingly. This blueprint will help you with effective management when you set up operations. 

Segregate Inventory

The next step is to segregate inventory within aisles, racks, bins, etc. You must know by which category your products are located so that the packing process can be simplified and the time spent in this operation is reduced to the bare minimum. If your inventory is not appropriately segregated, the picking operator will keep roaming around in the distribution facility and be confused about where you want to pick up the product. Also, all the products must be barcoded to be easily tracked within the warehousing and distribution center. 

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Devise a Uni-Flow of Operations

The next step is to devise a unique flow of operations. This means that all the processes must flow in a single direction. If there are many too and fro between the operations, there might be confusion, and the resources might get entangled within the system. If you want to ensure seamless processing, devise a floor plan and routine that gives you a Uniflow of operations. 

Hire Skilled Resources 

The next crucial step of running a warehousing and distribution center effectively is by hiring skilled resources. Your resources are going to be the heroes of your Centre. They will be running the show, so you must ensure that they know their business and are trained to carry out daily operations. Along with that, they must also be trained to tackle difficult situations. 

Conduct Fulfillment Training

The next step is to conduct fulfillment training for all the people you hire. You might have a staff that does not necessarily work actively on the floor. However, they must know about every operation they can handle any emergency easily. Also, understanding every fulfillment process will help them do their work effectively as they will not have to fend for the information again and again. 

Track Relevant KPIs

Next, you must track all the relevant KPIs related to warehousing and fulfillment so that you can assess the performance of your warehouse and regular intervals. This will give you insight into whether you need to make any changes in the process or update your infrastructure.

Conduct Regular Audits

Finally, you must conduct regular audits with a trained team to ensure that all the processes are working in synchronization and if you have to make any changes to the machinery, infrastructure, etc. Even though in my file check-in relevant KPIs and conducting regular audits are a similar operation, an audit will give you a deeper insight into the people and their concerns and the KPIs. Therefore, conducting regular audits is essential for your business. 

Conclusion

To make your warehousing and distribution center management successful, it is essential to establish stringent processes followed diligently. If these processes are not followed, it can eventually lead to a delay in order processing and poor customer service. 

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April 29, 2021 by Srishti Arora

5 min read

3PL Warehouse Management – How to Make the Shift to Using Fulfillment as a Service?

April 22, 2021 by Srishti Arora - 5 min read

Being an eCommerce seller in 2021 means a lot of competition and super-fast operations. You need to be on your toes to adapt to the latest trends and ship your order in the fastest way possible. This means that you might have to pay extra for express delivery or even shell out some additional cash to ensure a positive customer experience. However, if you skip a beat, you might just miss out on a potential deal.

This often puts eCommerce sellers in a huge dilemma. Incorporating sophisticated infrastructure to process orders quickly and deliver faster is not everyone’s cup of tea. For those who are starting, investing in infrastructure can be a huge setback if the business idea does not come through.

To stay competitive and edge over competitors, it is essential to explore options to assist you with successful eCommerce operations. One such resource is 3PL warehouse management. 

This is the age of using the software as a service. Moreover, we are now moving towards an age where we are using operations as a service. This means there are established firms that can take care of business for you. Outsourcing fulfillment is one such opportunity. 

Let’s find out more about 3PL warehouse management, how you can shift towards a 3PL warehouse management company, and finally, the scope of fulfillment offered as a service in India. Read on. 

What is 3PL Warehouse Management?

3PL warehouse management refers to a company that takes care of warehouse management operations for retailers, wholesalers, and manufacturers. This means that this company will indulge in handling inventory, storing it, processing incoming orders, and shipping them. They are also known as 3PL fulfillment companies today as they offer more than just the storage of goods. 

Earlier, business owners used to outsource inventory for storage because they did not have ample space to store their products. They used to arrange themselves for shipping and delivery. But with the advent of eCommerce and a hyper-competitive market, 3PL warehouse management companies have become 3PL fulfillment companies that take care of end-to-end fulfillment. 

How to Make the Shift to a 3PL Warehouse Management Company?

Questions You Must Ask

If you have not worked with a 3PL warehouse management company before, making the shift can be slightly tedious. 

You can ask questions like how many orders to the process in a day, who their clients are, the structure of operations, where the warehouses are located, what packaging material they use, who ships their orders, etc.

These questions will give you an insight into their day-to-day operations and how they will carry out the processing of your orders. 

Tips to Get Started

Here are a few tips to get started with 3PL warehouse management companies

Ask for a Trial Period

Before tying up with any 3PL warehouse management company, make sure you ask for a free trial period. This will help you assess the performance of the company and how beneficial they are for your business. It is imperative to educate yourself appropriately before you commit to any third-party provider. Also, this will give you a chance to understand their operations, and you will be able to decide if it works for your business or not.

Send Across Your Inventory

The next step to getting started with a 3PL fulfillment provider or 3PL warehouse management company is sending across your inventory. Once you send across your inventory, the entire process will start, and you will be able to understand the concept live with your business.

Assess the Performance

After you kick start the process, regularly assess the performance of the 3PL fulfillment provider. This will include scanning reports, tracking deliveries, and monitoring your customer’s feedback to see how the 3PL warehouse management companies perform concerning your business. 

Track Metrics

Next, it is vital to analyze numbers before making a final decision. Track essential metrics relating to warehouse management and order fulfillment. Data will help you make concrete decisions and reason with more insight. 

Look for Transparency

Even though it is important to track metrics and assess performance regularly, it is essential to establish a connection with the company before committing to them for the long term. Look for transparency in communication and connect with the agent regularly to understand how willing they are to address your concerns. Do not shy away from asking doubts and clarify every query that comes to your mind. 

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Fulfillment As a Service (FaaS) – The Upcoming Trend in India

Fulfillment as a service is an up-and-coming concept in India. More and more eCommerce businesses are now turning to use eCommerce fulfillment as a service rather than setting up the infrastructure themselves. This has several advantages as it allows them to outsource operations to 3PL warehouse and inventory management company. They do not have to pay any additional warehouse rent or lease charges; they can let go of the headache of setting up picking, packaging, and inventory management operations and also let the company handle shipping for them.

Shiprocket Fulfillment is one such fulfillment as service provider that helps you streamline your eCommerce fulfillment operations by providing end-to-end warehousing, inventory management, and shipping operations. You can deliver 3X faster as we have warehouses located in all zones across the country. You can save on shipping costs and reduce your weight discrepancies and RTO as the products are stored closer to the customer’s delivery location. Also, fulfillment as a service helps you improve your delivery performance by giving you the opportunity of offering 1-day and 2-day delivery. 

Final Thoughts

Offering eCommerce fulfillment as a service is the next step of 3PL warehouse management companies. It is time for eCommerce businesses like you to take the plunge and outsourcing, sell payment operations to such companies to ensure faster delivery, reduce shipping costs, and accurate operations.

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April 22, 2021 by Srishti Arora

6 min read

Renting Warehouse Space vs Outsourcing Fulfillment – Which is More Suitable for Your Business?

April 20, 2021 by Srishti Arora - 6 min read

According to a report by efulfillment service, online shoppers not only want free shipping, but they also have a growing expectation of what they consider to be fast shipping. This means that your buyers are becoming intelligent, and expectations are on the rise. It is not far when customers will demand same-day delivery too! With the growing internet penetration and rising eCommerce in the Asia-Pacific region, you need to find innovative ways to deliver faster to your customers. 

Setting up warehouses closer to customers is an intelligent way of reducing the shipping time and delivering sooner to customers. However, there are two ways of going about it. You can buy or rent a warehouse space, set up operations, hire a team, and process orders or you can simply outsource your fulfillment operations to 3PL fulfillment providers and focus on other aspects of your business. 

Even though outsourcing seems like a much lucrative option, it is only wise that you make these decisions solely based on your experience and goal due to your business growth and trajectories. We have compiled a small comparison between the two options – renting warehouse space and outsourcing fulfillment to assist you with this decision-making processt. With this comparison, you can weigh your options and decide what works best for your business. Let’s get started. 

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What Does it Mean to Rent Warehouse Space?

Renting a warehouse space means leasing out or occupying space to store your inventory and process orders simultaneously. In this arrangement, you only pay for the space you hire and set up all other operations yourself. 

Pros of Renting a Warehouse Space

Control Over Location

The first advantage of renting warehouse space is that you have complete control over where you want to be located. If you have more customers in the southern region, you can rent a central space and reduce your business’s shipping time and cost. It allows you to see where the best resources are available and select the location accordingly. 

Space for Innovation

Secondly, when you rent a warehouse space you have all the space for innovation and deciding how the warehouse is structured. You can formulate floorplans yourself and utilize intelligent courier routing to pick the best routes for picking and processing the orders.

Cons of Renting a Warehouse Space

Additional Investment

The first disadvantage of renting warehouse space is the additional investment. Since this investment is recurring and you need to pay only for this space, it can be a huge capital loss for your business. Also, this investment can hamper other facets of your business that might require growth. 

Pay Only for Space

The next disadvantage is paying only for this space. When you hire a warehousing space, you only pay for the land and the setup. You do not get any other services like processing operations. This can be a massive blow to your budget, especially if you’re just starting. 

Setup Operations Yourself

The next big drawback of renting warehouse space is setting up operations yourself. This means you might have to set up racks, bins, warehouse management software, higher resources to manage all operations, tie-up with courier companies, etc. If you’re planning to expand your business in different locations, renting several warehouses can be expensive. 

What Does it Mean to Outsource eCommerce Fulfillment? 

Outsourcing eCommerce fulfillment refers to the concept of delegating fulfillment operations to a third party. This means that this fulfillment company will take care of all your operations, starting from inventory management, order management, all up to shipping and delivery. In most cases, these companies also handle return orders for your business. 

Companies like Shiprocket Fulfillment offer you this platform to seamlessly deliver your shipments without any additional hassle of capital investment, lending operations, resource hiring, etc.; following are a few advantages of outsourcing eCommerce fulfillment operations with companies like Shiprocket Fulfillment. 

Pros of Outsourcing eCommerce Fulfillment

Experts to Handle Operations

Companies hire experts to handle operations like shipping, picking, packing, etc.since these companies solely focus on processing orders, the team is skilled, and the chances of errors are significantly less. They also have the sophisticated infrastructure to handle large volumes of orders and occasional spikes.

Skilled Team

The team hired to conduct fulfillment operations is skilled, and they throw in the job. They do these operations daily. Hence they can do it with utmost precision. So, if a dedicated resource is hired for packing your products, he will be an expert at it. A skilled team can help you deliver orders faster as the processing speed and accuracy will be much higher, and the order-to-ship time would below. 

End-to-End Services

3PL fulfillment companies offer end-to-end services. So if you outsource your operations to a 3PL company, you will be signing up for all operations like storage, order management, picking, packaging, shipping, delivery, and returns. Essentially, all the hassle relating to order fulfillment will be taken care of by the fulfillment company. 

No Additional Investment

With Shiprocket Fulfillment, all you have to pay for is the processing fees, storage charges, and shipping fees. The rest is handled, and you do not have to pay for any additional rent. This enabled you to deal with occasional order spikes during the festive season, sale periods, etc. Also, integration with marketplaces helps you deliver marketplace orders quicker with all the impending requirements. 

Save on Processing and Shipping Costs

Fulfilling orders with Shiprocket Fulfillment Testimonial helps you save on processing and shipping costs. You don’t need to go on our word; you can see the calculations and the cost-benefit with the following blog. 

You can save up to 50% in processing charges and similarly up to 40% and shipping charges. Along with that, you can deliver 3X faster, reduce shipping charges, decrease audio, and also eliminate weight discrepancies. 

Cons of Outsourcing eCommerce Fulfillment

Lower Transparency Over Inventory

One of the very few drawbacks of outsourcing eCommerce fulfillment is the lowest transparency over inventory. Since the stock is not in your hand or physically not with you, there is a high chance that you might lack clarity. However, with advanced software, this problem can also be taken care of quickly. 

Shipping Stock to Fulfillment Center

A minimal inconvenience for outsourcing eCommerce fulfillment is shipping the stock to the fulfillment center. However, this is not a very recurring task, and you do not have to do it very frequently, so it is not a roadblock. 

Final Thoughts

Renting a warehouse means a lot of commitment. Also, outsourcing eCommerce fulfillment seems like an easy task. In our opinion, you can try outsourcing eCommerce fulfillment operations to a 3PL company like Shiprocket Fulfillment and see how that works for your business.

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April 20, 2021 by Srishti Arora

6 min read

How to Assess if You’re Meeting Your Warehousing Requirements

April 6, 2021 by Srishti Arora - 6 min read

Running a warehouse end-to-end is a time-consuming process. You need all hands on deck to ensure that you reduce errors by a considerable amount. Over time, your warehouse efficiency can reduce, and you need to re-evaluate the requirements to ensure that you’re meeting the requirements of your eCommerce business and the warehouse. This is where a warehouse assessment comes into the picture. You need to ensure that warehouse assessment is conducted regularly to upgrade your operations to match the current industry trends and make changes wherever necessary to improve your business’s delivery performance.

eCommerce fulfillment is a critical aspect of your business, and without it, your business will not be successful. Since the warehouse is where most of the action happens, conducting warehouse assessments becomes essential to assess your fulfillment quality. 

Let’s look at the importance of warehouse assessment and how you can do it effectively to determine the best results for your business. 

Why is it Important to Assess Warehouse Requirements?

A thorough warehouse assessment will give you vital information about the operations and the improvements you can make to enhance productivity and adopt ongoing industry trends. 

Here are a few advantages of assessing your warehouse requirements – 

  • It gives you an idea of how well the system is facilitating your business needs.
  • A deeper understanding of the current flow of goods and workers within the system.
  • Utilization of space and how well you can optimize the floor space.
  • How you can improve productivity to achieve the desired goals.
  • What changes need to be considered with respect to the material handling. 
  • It helps improve productivity in various departments and helps with better centralization between operations.
  • Improved inventory accuracy. 
  • Optimized floor plans and intelligent routing.
  • Increased efficiency for order fulfillment in return processing. 

How to Conduct a Warehouse Assessment?

Observe Existing Operations

The first step to conduct a successful warehouse assessment is by analyzing the existing operations. You need to walk through the entire facility and observe every operating condition and its effect on the whole fulfillment process. This will give you a clear idea about the detailed steps and the current productivity and service level. Along with the operations, you also need to check the general conditions like the cleanliness, the employee attitude, morale, ease of movement, etc. 

Gather Data and Necessary Information

After analyzing and observing existing operations, the next step is to gather the data and necessary information regarding each step of the functions. You need to do a research analysis, report view, and on-site assessment. You need to set standards and understand if the current operations are meeting the standards. This will help you identify discrepancies and where you need to enhance your processes so that the expectations are met. 

Talk to Your On-Ground Team

Your warehouse is not complete without the on-ground team that carries out the synchronization tasks with each other. Therefore the next step would be to talk to your on-ground team and executives that take care of the daily operations to understand the problems and opportunities they face on a day-to-day basis. Understand their plans for growth and gauge their perspective on the product changes and planned process changes. This will give you a better understanding of the facility and how you can make changes to the process. 

Analyze Current Operations & Reports

After the first and second step, you have collected enough data and formed reports of the existing operations in the metrics around it. It is now time to analyze these operations and reports by closely examining them to understand the service levels. 

Take a look at each operation separately, like the order shipping accuracy, turnaround time, receiving, quality assurance, stock put away, returns, inventory control, picking, packing, etc., to understand the critical areas of improvement. Analysis of these reports will give you an idea about which department is currently reaching its goals and which ones need attention. 

Determine Areas of Improvement

The next most crucial step is to determine the areas of improvement and where you can set benchmarks for your goals. Analyze the external and internal performance to gauge the best measures of success and set targets to achieve them over some time. Make improvements in the process keeping in mind the existing operations so that you can facilitate maximum efficiency. 

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Common Metrics to Review for Warehouse Assessment

When you begin your warehouse assessment process, here are a few metrics that you should review while preparing your reports and examining each operation – 

  • Units per hour for receiving, putaway, and replenishment
  • Orders per FTE (Full Time Equivalent)
  • Picking units and lines per man hour
  • Cost factors as a % of Net Sales
  • Percent utilization of available space
  • Outbound shipping costs

Outsource eCommerce Fulfillment for Simplified Operations

Suppose you feel assessing your warehouse repeatedly can be a time-consuming task that requires most of your attention while running an eCommerce business. In that case, it is time to switch to a 3PL fulfillment provider. 

A 3PL fulfillment provider can help you reduce fulfillment costs, delegate operations, and improve efficiency by a considerable margin.

Shiprocket Fulfillment is one such 3PL fulfillment provider that can help you optimize your operations to achieve the maximum results. All you have to do is ship your inventory to our fulfillment centers located in cities across India. This will enable you to look store your inventory closer to your buyers so when you receive orders, our team can pick, pack and ship them to the customer’s doorstep. 

This way, you can reduce your fulfillment costs, deliver 3X faster, decrease the shipping costs by 20 to 30%, and lower weight discrepancy issues and RTO. 

Not just this, you can reduce your order to ship time and fulfill more orders in a shorter period. This empowers your business and helps you expand to the next level. 

Conclusion

Warehouse assessment is an essential factor for the success of your eCommerce business. Make sure you do not skip the steps as it will ensure maximum efficiency of operations. If you have any other tips regarding your warehouse’s assessment, drop them in the comments below. 

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April 6, 2021 by Srishti Arora

7 min read

How To Optimize The Warehousing Process: Tips That Work

April 1, 2021 by Rashi Sood - 7 min read

Optimized warehousing operations are crucial for efficient eCommerce fulfillment and increased customer satisfaction. They also help in keeping the costs low. When the operations are not optimized, inventory is not received or shipped on time, workers are not productive, and the business losses its customers and credibility in the market.

warehousing process

Optimizing the warehousing process means examining every aspect of the process, identifying inefficiencies, and working on them. The optimized warehousing process helps in accurate and on-time order processing and an efficient order fulfillment process.

This blog will help you understand the steps involved in the warehousing process and the best practices to optimize the operations.

Steps in Warehousing Process

warehousing process

Fundamentally, there are six steps involved in the warehousing process – receiving inventory, putting it away, picking it, packing it, shipping it, and managing its return. Optimizing these steps will help you streamline your warehouse operations, reduce costs, and achieve better fulfillment operations.

Let’s take a look at the steps in the warehouse process and how to optimize them:

Receiving Inventory

Receiving inventory is the act of handling products and adding them to the warehouse system. The products can be as large as an air conditioner or as small as an awl pin. You may receive a single product and object or a pallet and crate.

Significantly, receiving is a crucial step in the entire warehousing process. To perform it properly, you should ensure that you have received the right product, in the right condition, and in the right quantity. If you fail to do it, it may have consequent impacts on your options.

Receiving inventory also means its responsibility is transferred to the warehouse. Therefore, you become accountable for maintaining its condition and quantity until it is shipped to the buyer. So, make sure you receive the products properly – this will reduce the chances of receiving damaged products. And its liability will also not fall on your shoulders.

Optimization Tip

The main objective of optimizing the inventory receiving step is receiving the load efficiently and avoiding the accumulation of different products at the receiving dock. You can have solutions like conveyer and power pallet trucks for efficient unloading of the cargo. This will also aid in clearing the receiving dock faster.

Alternatively, you can also use pallet and parcel dimensioners to automate the weight and dimension capturing. This will accelerate the receiving process.

Putting Away and Storing

Putting away the inventory is the second step in the warehousing process. Essentially, it is the movement of the goods from the receiving dock to their storage location. The put-away staff delivers the goods to the storage location. Once the goods reach the location, the operator either manually confirms or scans the bard code of the stock to confirm that it has reached the correct location. Once securely stored, the put-away staff confirms that the process is completed.

Optimization Tip

In the putaway process, the load is stored at its assigned location. So, the main aim of optimizing this step is to store the load effectively and efficiently. You can take the help of warehousing software that can help you in allotting and managing warehouse space for each cargo that you receive for maximum space utilization. The software must also calculate the space in the warehouse for efficiently storing the product.

Picking Inventory

Picking is the process of collecting products from their allotted space to fulfill orders. It is the costliest step in the entire warehousing process and comprises almost 55% of the operating expense. Thus, optimizing this step can reduce the cost significantly. You can streamline this process to achieve higher efficiency and accuracy and reduce errors.

Picking is of two types:

  • Primary: the primary picking is when the goods are directly sent to the staging or packing area for the finalization of the order and dispatching it. Thus, primary picking is also the last picking.
  • Secondary: some orders are grouped before being sent to the staging and packing area. Thus, they are subject to a second picking process where other products are picked.

Once the orders are received, they are released in real-time or in a wave. Real-time is when the orders are released as soon as they are received. On the other hand, when orders are accumulated for a specific transport route or shipping time, it is called waves. Waves are released as per the discretion of the in-charge manager as per the criteria decided.

In a nutshell, the picking process can be discrete (picking one order at a time), clustered (picking multiple orders together), or batched (picking all the goods and then sorting them for a specific location). While some companies may use one of the types, some may employ all the types.

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Optimization Tip

Introducing the right technologies is the best strategy to optimize the picking process. You can streamline the picking process by allowing warehousing workers to access the picking list wirelessly and accessing the system in real-time. You can also look forward to improving your warehousing layout, trying and choosing the right picking methodology, and utilizing different software that helps the workers execute the picking process efficiently.

Packing Orders

There are different ways you can pack the orders before shipping them. Packaging plays a crucial role in keeping the products safe and secure throughout the shipment and increases customer satisfaction. You can follow the following tips while packing products:

  1. Clearly mention all the ‘use-by’ and ‘best before’ dates in the packaging.
  2. Products picked up from different storage locations in the warehouse must be combined to ensure order completeness.
  3. You must pack all the goods as per their size, temperature, quantity, value, and hygiene.
  4. Make the products are future traceable by adding invoice numbers or document numbers to them.

Optimization Tip

Optimizing the packing process can be done by guiding the team who executes the task. A packing system that has all the necessary data related to the product dimensions and weight can help the team perform the task efficiently. Besides, you should also source the best packaging material that can keep the products safe and sound while shipping.

Dispatching Orders

The successful dispatch of the orders depends on the operation’s ability to keep the products packed and ready for departure before time. The manager, thus, requires forecasting and planning packing and dispatching well in advance. While packages that are ready in advance will fill up and jam the staging area, the late packages will delay deliveries.

Optimization Tip

Streamlining the tasks is crucial to optimize the shipping process. Allotting the right number of resources is also vital. A mobile application or software that shares the right information well in time can be really helpful.

Managing Returns

Managing returns are an important part of the entire warehousing process. Though it is a complex process, handling it well is important:

  1. Have a pre-determined return process describing what to do with the returned product – send them to the stock, destroy them, or return to the manufacturer.
  2. When customers initiate a return, they must be given a place where they can outline why they are returning the product.
  3. The returns must be trackable – their location through their invoice number or document number.
  4. Inventory must be timely updated when the goods are returned.

Optimization Tip

While many warehousing managements may not give the returning process its due importance, it can significantly affect the overall warehousing process. Having a system in place that describes what to do with the returned products and adding them automatically to the stock is vital.

The Final Words

The modern-day supply chain process is a bit complex. It includes a lot of activities, processes, and transactions. Using a pen and paper or managing on an excel sheet is not more of an option to efficiently manage warehousing operations. Investing in IT infrastructure is required to remain competitive in the market. Equally important is to optimize the warehousing process to ensure a smooth process and maximum customer satisfaction.

Shiprocket Fulfillment features
April 1, 2021 by Rashi Sood

5 min read

Tips for Organizing Warehouse Storage Space

March 31, 2021 by Srishti Arora - 5 min read

A warehouse is a place where significant action happens. All your orders are received, packed, and shipped from the warehouse. If your warehouse or storage center is not organized, there can be a delay in processing orders that can eventually lead to a poor customer experience.  This can act out poorly for your business. Hence, it is essential to organize your warehouse correctly to ensure that you can streamline your fulfillment operations and fulfill incoming orders in the most efficient manner possible. 

What Does Warehouse Organization Mean?

Warehouse organization refers to the process of arranging your warehouse and aligned operations systematically to ensure the smooth functioning of daily operations. 

It includes organizing inventory, aligning the process, and ensuring that all the parts of the fulfillment process are working in synchronization with each other. 

Organizing the warehouse is not an easy task. It involves a lot of dynamic elements that keep changing as the trends change. Since you need to take care of a large number of stocks, you must ensure that you organize the warehouse properly so that no items are left out or do not accumulate dead stock. Many sellers spend a lot of time doing trials to see what organization techniques work for them. This can be a time-consuming task.

Here are a few expert tips that can help you understand warehouse organization and do it efficiently. 

Expert Tips for Warehouse Organization

Keep the Warehouse Clean

Keeping the warehouse clean is the most crucial step for an organization. All parts of your warehouse must be cleaned thoroughly before you start with any organizational activity. Cleaning can boost your efficiency by a considerable amount, and you might also be able to find a thing or two that you might have been missing. Also, a clean warehouse facilitates more effortless movement, and employees would be able to move around conveniently to get things done faster. 

Organization of Floor Plan

The floor plan is the next most important aspect of your organization. An optimized floor plan helps you streamline the process flow, and you can make sure every operation is in sync and flows around easily within the warehouse. You must constantly keep overlooking the floor plan to organize the warehouse with changing trends and requirements. A pro-tip would be to set up the floor plan concerning the order of operations. There should be a set area for docking and collecting inventory that gradually leads onto the next step of quality check, followed by stocking and so on. 

Classify Inventory

Classify your inventory either by the ABC inventory sorting method, alphabetical order, or any combination you feel is appropriate. But do not randomly stock your inventory as your resources and workforce will spend a reasonable amount of time just picking orders. Therefore, you need to optimize the process and reduce the order-to-ship time. In that case, you need to make sure that your inventory is classified and your warehouse is organized to host this invention systematically. 

Segregate Inventory In Aisles, Racks, and Bins

The next step would be to segregate the inventory in aisles racks and bins. You can label the aisle in alphabetical order, and in these aisles, you can use shelves to organize the inventory. It is best to use stackable beans to move around if you want to change the organizational layout. Segregation into aisles racks and bins gives you more visibility of the inventory and helps you track the SKUs better. 

Label Everything

Next, label everything. Used Harman printers to constantly print any barcodes or labels for the bins or racks. This will give you improved inventory visibility, and you will be able to locate the product much faster within the warehouse. Not just this, we will also be able to track inventory better. When you undertake the inventory reconciliation activities, you will complete them much faster since you have labeled all products. You will be able to locate discrepancies quicker. 

Warehouse Management Systems

Using a warehouse management system can help improve the quality of operations. Since the WMS technology is advanced and automates the process for you, you can store all data in it and track your products in the warehouse with utmost efficiency. Moreover, advanced warehouse management systems also provide you with the most optimal floor plan to organize your warehouse and achieve maximum efficiency. 

Use Barcoding Technology

One cannot stress enough barcoding technology as it helps you maintain sync with The records and physical inventory. You can just scan a barcode to learn more about the product or find its location. Using handheld devices to scan barcodes and pick orders is a much faster process than writing down or locating inventory manually. 

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Overcoming the Hassles of Self-Fulfillment

Self-fulfillment can be challenging if you do not have the most advanced technology and a team of skilled resources to help you out. It can be time-consuming and mentally draining to run an eCommerce business and also fulfill your autos yourself. Even if you are a small business and the orders are less, self-fulfillment can be a task. Therefore, we recommend that you outsource your eCommerce fulfillment operations to a 3PL fulfillment provider so that you can easily focus on other aspects of your business. 

Shiprocket Fulfillment is one such 3PL fulfillment provider that can help you with an organized fulfillment center to keep track of all orders and delivering them seamlessly. You get access to fulfillment centers across the country so you can easily store inventory closest to buyers and get started with 3x faster delivery immediately. Each fulfillment center is equipped with a warehouse management system for optimized operations, and the warehouse is thoroughly organized. 

Conclusion

eCommerce fulfillment can be complex if your warehouse is not organized according to your requirements and the inventory. Make sure you spare a keen eye towards the fulfillment operations so that you do not face any setbacks because of poor organization. 

Shiprocket Fulfillment features
March 31, 2021 by Srishti Arora

6 min read

Benefits of a Warehouse Management Software (WMS) for Your eCommerce Business

March 25, 2021 by Srishti Arora - 6 min read

It is imperative to maintain efficiency in your fulfillment center if you want to scale and achieve maximum growth for your eCommerce business. To do so, you need to have efficient systems to ensure timely delivery and optimized operation. Earlier, warehouses functioned on manual labor, and operations took devastatingly long to complete.

With the advent of eCommerce and online selling, you do not have the time to delay any part of your fulfillment supply chain as you need to ensure your customer receives their order as soon as possible. Therefore, you need streamlined operations within your warehouse to provide minimum fallbacks. Here is why a warehouse management software system will be helpful for your business. Let’s look at what a warehouse management software system is and what role it plays in managing your warehouse. 

What is a Warehouse Management Software System?

A warehouse management software system is a combination of software and processes that control the warehouse operations starting from inventory management and leading up to picking and packaging. It incorporates all procedures into a single-line supply chain and helps you track all operations seamlessly from a single-view platform.

It helps you track inventory to process incoming and outgoing orders uniformly and keep track of inventory simultaneously. 

Several warehouse management software like standalone software, supply chain module, integrated with ERP, etc. All of these are designed to either enhance a single function of your entire supply chain or combine the whole supply chain for seamless functioning. 

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Let’s try and understand this with an example. If you have a warehouse and receive an order from a client on your eCommerce website, you would first forward this to your warehouse, whether the concerned party will then start looking for the product in the inventory and then pack and ship it. In this manual process, you will need to update the inventory accordingly and manually locate the warehouse’s product. This can take hours, and you might face a delay in shipping the product out. Whereas, if you have warehouse management software in place, it will automatically sync your inventory and incoming orders and tell you where the product is located so you can find the optimized route to reach and pick it. This process will considerably reduce your overall processing time. 

Benefits of a Warehouse Management Software (WMS)

Reduced Operational Expenses

You can considerably reduce your expensive operational expenses by deploying warehouse management software. They help reduce operating expenses in a wide variety of ways. You can use both labors in space which eventually reduces any additional costs or time while processing orders. Most warehouse management software also provides you with floor plans that can help you decide where to locate particular items based on their sale so you can look at them faster whenever you receive an order. They allow you to accommodate your products better to optimize supply chain and warehouse operations by a significant margin. 

Improved Inventory Visibility

Warehouse management software gives you an improved look at your inventory so you can track it at any point in time. Along with providing inventory visibility, they also update your inventory in real-time so you can ensure that your stock is always up-to-date. This will help you forecast your demand better, and you will be able to avoid stockouts and debt stock situations. Warehouse management software provides real-time data about your inventory via barcoding, serial numbers, or RFID tagging. This enables you to efficiently document every item as it enters the warehouse and keep track of where it is stored for a more accessible location. 

Seamless Synchronization

A warehouse management software lets you seamlessly synchronize your order management and inventory. This means you will be able to update your inventory in real-time whenever you receive or ship an order. Wrong with that. It helps you create optimized routes for picking products not to waste time locating every SKU. Once all the processes are synchronized, your communication improves by a significant margin. You can reduce any manual errors that might come in due to improper communication between fulfillment process departments. 

Optimized Storage Space

By assigning specific storage space based on the seals and trends, warehouse management software helps you optimally place items in bins, racks, and shelves. This enables you to optimize your warehouse storage space so you can accommodate maximum inventory. If you do not make use of warehouse management software, you might place products according to improper understanding and face difficulty tracking them. Eventually, you will need to invest in additional warehouse space when your inventory increases because you cannot accommodate all inventory in one warehouse. With warehouse management software, you can optimize your storage space and know which stock to get rid of in a much more streamlined fashion. 

Inbound and Outbound Process Optimization

Last but not least, a warehouse management system helps you optimize your inbound and outbound process optimization. They allow you to optimize how a product moves around the warehouse and helps you plan your inbound processes such as gate receiving, barcode scanning, and putting away inventory. Along with that, warehouse management software also allows your supplier to determine the most appropriate date and time to receive a shipment based on the labor and equipment available. For the outbound processes, a WMS helps you optimize the most suitable routes for picking and packaging. 

Get Efficient Fulfillment Operations Without Investment – Outsource to 3PLs.

If you are a D2C brand that has just started, it can be challenging to invest in a WMS. Therefore, it is recommended that you outsource your warehouse and fulfillment operations to a 3PL fulfillment provider like Shiprocket Fulfillment. 

With Shiprocket Fulfillment, you get access to thoroughly equipped fulfillment centers located across the country. You can store your inventory in these warehouses, and we will process orders with utmost accuracy and provide lightning-fast delivery to your buyer’s doorstep. Our fulfillment centers consist of advanced warehouse management systems and other automation that enhance the fulfillment process and process orders 3x faster and with 99.9% accuracy. 

Final Thoughts

A warehouse management system can be a game-changer for brands who want to amp up their warehouses and deploy seamless technology for efficient functioning. However, in our opinion, outsourcing to 3PLs might be the best bet for you if you aren’t looking for heavy investment. 

Shiprocket Fulfillment features
March 25, 2021 by Srishti Arora

6 min read

Here’s Everything You Need to Know About Fourth-Party Logistics

March 2, 2021 by Rashi Sood - 6 min read

Fourth-party logistics, also known as 4PL, is a model where the business owner outsources all of its supply chain and logistics to an external service provider. This provider is responsible for the supply chain process and assessing, designing, and building the solutions. The external provider can either have his own warehouse or tie-up with warehouse companies. It is just that the business owner doesn’t have to look after the supply chain process and an external provider takes care of everything on his behalf.

fourth-party logistics

What Is Fourth-Party Logistics?

A fourth-party logistics partner is like a third-party logistics partner, but it is authorized to subcontract a few of its responsibilities. Essentially, 3PL provides all the contracted services through its resources only. However, when it outsources its part of the process to a separate provider, it becomes a 4PL.

For instance, a company ABC outsources its shipping and remote storage of products to a supplier XYZ. The supplier XYZ then outsources the warehousing operations to a warehousing company. Thus, the supplier XYZ becomes a 4PL party.

Notably, outsourcing logistics services is a business decision. A company that doesn’t have the ability or resources to conduct the logistics operations contracts out the process to a supplier. The supplier then stores or moves the products as well as takes and fulfills the order.

Difference Between 1, 2, 3, 4, and 5 PL

fourth-party logistics

1PL – 1st Party Logistics

A 1PL or 1st party logistics is a firm that transports orders from the origin to the destination. Essentially, it functions like a courier service that moves goods from a manufacturer to the distributor or retailer.

2PL – 2nd Party Logistics

A 2PL offers transportation of goods from a specific segment, like rail, road, air, or sea. They typically function as carriers and are mainly used for international transport of products, especially heavy and wholesale.

3 PL – 3rd Party Logistics

A 3PL or third-party provider is related to the transportation and delivery of the product. But it provides a bundle of logistics services as well, like transportation, warehousing, supply chain management, freight forwarding, packaging, and much more. They can also offer IT software products for tracking and tracing product delivery status.

Apart from offering all the services mentioned above, they also help manage all the supply chain and order fulfillment process obstacles. They take care of domestic, international, and offshore shipping and warehousing.

4 PL – 4th Party Logistics

A 4PL acts as a single point of contact for the company and manages all of its supply chain and logistics operations. They are also called Lead Logistics Providers. They cover all the services offered by a 3PL. They work as a consulting company and take care of every supply chain aspect. Unlike a 3PL, a 4PL can also outsource a few of its responsibilities to an external provider. 4PL is becoming the next big thing in the supply chain and logistics sector.

5PL – 5th Party Logistics

A 5PL is a logistics aggregator that aggregates the demands for 3PL for better and cheaper rates with different shipping and warehousing companies.

Advantages of 4PL

fourth-party logistics

Many companies find themselves in a dilemma when they decide to outsource their supply chain and warehousing operations to a 4PL provider. As logistics itself is complex, there is a demand for qualified, experienced, and independent individuals or companies handling logistics operations. These external providers offer innovative and end-to-end services to meet their client’s requirements.

The new supply chain is a high-tech world with several operational software, sophisticated strategies, and customer-centric operations. So, to help these businesses, many 3PL and 4PL providers are coming up. These providers are providing not just ordinary shipping solutions but tracking and tracing solutions as well.

Let’s take a look at the benefits of outsourcing supply chain and logistics operations to a 4PL:

Trusted Solutions

4PL providers take logistics services to the next level by offering the best services to the clients. They are committed to their clients and keep their clients’ interests at the forefront. They take the relationship between them and their clients as a valuable partnership. This points towards nothing but the quality of services 4PL providers offer.

Data collection and analyzing it to get meaningful and useful information is crucial for optimizing a company’s supply chain process. A 4PL provider collects valuable data and uses it to come up with better strategies for its clients.

Not just this, a 4PL provider also provides the security of an in-house logistics department with the benefits of outsourcing the supply chain process.

Customer Connectivity

How a seller and buyer connect is ever evolving, and so is the supply chain process. Online buying options are also creating new consumer habits. Customers nowadays are spending less time with the sellers, and they are heavily dependent on online interfaces to interact with the sellers.

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While online communication may harm the buyer-seller dynamic, 4PL providers help improve the relationship by keeping the customers informed about their purchases. When a 4PL provider takes on a business’s requirements, it takes care of its customers’ needs. For this reason, customer engagement is a 4PL provider’s top priority.

4PL providers keep the customers informed about their purchase – from the moment they buy the product to the time it is delivered to them. Notably, greater customer service leads to enhanced brand loyalty from customers.

Improved Efficiency

4PL providers offer operational improvements that help streamline work and eliminate all types of inefficiency. This helps companies reduce their spends. The companies also get their resources free and available for other work.

The companies can redistribute their resources from work related to logistics and focus more on the core company related work. While the company focuses on core work, 4 PL providers help them by handling the distribution of their work and keeping their customers happy. When a 4PL provider properly handles logistics, productivity tends to increase.

Expansion

Every company’s goal is growth, and 4PL providers can help make this vision a reality. A 4PL provider has access to the supply chain industry, and they can assist their clients in growth and expansion. They have good connections with national and international partners. They build reliable networks to support the development of a company.

Corporate Clarity

4PL providers are a single point of contact between their clients and their supply chain process. They oversee and manage all the complexities a company might face in its logistical operations.

A singular point of contact to coordinate all the steps throughout the supply chain process – from material sourcing to last-mile delivery solutions, helps a company manage its operations efficiently.

4PL providers help make all the improvements and ensure maximum operations efficiency can be achieved.

Shiprocket Fulfillment features
March 2, 2021 by Rashi Sood

6 min read

Warehousing Strategies to Make Your Supply Chain Future-Ready

February 18, 2021 by Rashi Sood - 6 min read

Warehousing operations are a crucial aspect of a company. Efficient warehousing operations can keep the costs low and customers happy. Whereas, inefficient warehousing operations lead to receiving products late, delayed shipping of products, unproductive workers, and your business losing money and credibility in the market. Therefore, you must have a warehousing strategy in place to keep a tab on all your warehousing functions and operations efficiently.

warehousing strategies

Warehousing operations play a significant role in the supply chain process, as well. As your business grows, customers demand faster fulfillment and supply chain becomes complicated. But with some warehousing strategies, you can make your supply chain future-ready.

Tips to Create a Warehousing Strategy

Warehousing operations are crucial for the progress of a business. It is imperative that you plan a warehousing strategy to ensure efficient operation and business success.

A warehousing strategy revolves around making critical decisions, such as operation cost and investment, that can decrease the logistics overhead cost. Let us take a look at some tips that can help you create a warehousing strategy effortlessly.

warehousing strategies

Existing Warehousing Operations

Firstly, look at your current warehousing operations. This is a critical step as it involves looking at the current facilities you have. This step involves creating an accurate sketch of your warehousing floor plan and building. Make sure to maintain accuracy as it will be the base of your future warehousing strategy. You can also manually draw the floor plan by looking at your warehouse.

Write down all the equipment you have in your warehouse. Also, record the number of staff you have and their responsibilities and processes. Look at the procedures you have and then check what is actually happening on your warehouse floor. There is likely to be a discrepancy in what is happening and what should actually be the procedures.

You can also consider interviewing your employee and getting a picture of the warehousing operations. This will help you find out the procedures your staff is using in the warehouse.

This first step of warehousing strategy is about documenting your warehouse, floor, equipment, processes, and items. You cannot change anything until you don’t know what you actually have.

Determine Your Storage Space

Having what’s happening in your warehouse documented in advance will prepare you to look at your inventory requirements efficiently. This means planning and forecasting the stock you require and determining the warehouse space aptly to store the same.

Consider organizing inventory in the warehouse based on the material and storage traits. When you estimate the inventory requirements, consider thinking about seasonality and high sales value products. You can use previous inventory turnover data to make exact estimates.

Know Your Weaknesses

Nobody is perfect! Find the areas and warehousing processes where you can improve operations. The operations notes you made earlier will help you analyze the situation and look for critical areas that require improvements.

Perhaps you may require hiring more staff or upgrade infrastructure to store a certain type of products. To ascertain this, look at the current facilities, processes, and equipment you have. Search for the efficient solutions that can help you overcome the warehousing weaknesses.

Warehouse Management System

Warehouse management systems centralize inventory management, shipment planning, product packaging, and order fulfillment. Finding the right management system is crucial to make your warehousing strategy future-ready. If you have the right tools in place, the warehouse management system will help your staff address all the issues that may arise in a timely manner.

A warehouse management system lays the foundation for optimizing labour and warehouse operations before taking a step further towards warehouse automation.

Warehouse Automation

To ensure your supply chain is future-proof, you must opt for warehouse automation. It uses various technologies, including cloud-based applications, conveyor belts, robotics, etc. Warehousing automation helps remove all possible human error from operations. Automatic tasks can be sorting, packing, and managing inventory.

The following are the benefits that you will get by investing in warehouse automation:

  • Increase speed in processing orders and packaging and shipping them to the customers.
  • Decreased warehousing operations cost by replacing manual operations for repetitive tasks.
  • Optimize warehouse space by reducing human force on a floor and becoming more precise of pallet organization.
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Set Success Benchmark

It is imperative to recognize the need for change before it’s too late. This will prepare you for all the situations in advance. If you are always busy addressing your orders, it will turn impossible to get ahead of new technology and business demands. This is why you must set internal benchmarks for your warehousing and distribution.

You can set benchmark goals for individual processes and departments and high-level metrics. This will help you organize everything easily. If you notice you are struggling to meet the benchmarks, you need to change or upgrade your warehouse operations accordingly. Actively addressing all the performance challenges and overcoming them will help you minimize cost/order.

Identify Alternative Solutions

If things are not working in your favour, think of new and alternative solutions for these problems. You can consider how to improve warehouse facility, the staff processes, and equipment. Simply look for ways to remove flaws in the ways warehouse operations run.

Assess New Plans

Consider the following points while evaluating your financial plan:

  • Total warehousing operation cost
  • Tax
  • Time value of money

Consider the following when conducting a qualitative analysis:

  • Staff safety
  • How to easily adjust to changes
  • Possibility of inventory damage

Update Plans Regularly Based on Assessments

After making assessments, you must next draft an official warehouse strategy. You must include the following in your strategy:

  • Space
  • Equipment
  • Staff
  • Processes
  • Future plans

Understand that your strategic plan is always a work in progress, and it will still require amendments. Essentially, you must always keep your strategy updated as you collect data. Updating your plan will also ensure that you are operating efficiently.

Outsource Warehousing and Distribution

The best way to make your supply chain future-ready is to outsource it to a third-party logistics. Instead of investing in new technology and changing your warehousing operations, you can outsource your warehousing and distribution operations to a third-party logistics provider.

A 3PL provider takes care of the entire business logistics and offers warehousing, distribution, and fulfillment services. Shiprocket Fulfillment is a 3PL service provider that helps businesses offer one-day and two-day delivery to more than 27000 pin codes through their automated platform.

The Final Say

Warehousing strategy is very critical for improving warehouse efficiency. It helps know about the right floor space, storage equipment, staff, processes, and procedures. With the help of the tips discussed above, you can make your chain supply future-ready.

Shiprocket Fulfillment features
February 18, 2021 by Rashi Sood