For nearly every business out there today, warehousing and distribution plays a role in its success, from a one-person show working from their garage to a colossal corporation with thousands of employees and products. In some instances, the traditional warehouse system works fine (for a while) and others require a more complex and targeted approach. What is a busy and already overworked manager to do? Stick with the tried and true stand-alone warehouse-distribution routine or opt for a supplier that offers both in an integrated arena?
Whether your startup company is growing leaps and bounds or you manage a 24/7 operation poised to expand its regional or national presence, integrating your warehouse and distribution processes provides enormous benefits from on-the-floor labor to bottom line profits. Not convinced? Let’s look closer at some command impactful results of integrated warehousing.
One of the foundations of business success is efficient operations. When it comes to logistics, efficiency is everything; one hiccup along the way can lead to a host of aches and pains. Low cost, reliability, and quality metrics make up the brass ring and to get there, you need on-time delivery preceded by uber-organized inventory management, speedy and mistake-free packaging, and delivering product quickly. An efficient warehouse infrastructure is a great start but integrating distribution is a huge step closer to grabbing that ring and holding on.
Too many chefs
The old kitchen cooking adage holds true in warehousing and distribution as well. If you think you can’t handle the different tasks and enlist the help of third parties, trouble could be brewing. The more opinions and hands in the process, the greater the chance for setbacks, from minor annoyances to doomsday crises. Confronting an unexpected ordeal internally is far better than juggling a gaggle of different links in the chain. Ownership of successes as well as failures rest only with you
Any company wants to operate at a higher level while keeping costs low; that’s the not-so-secret formula for greater profit. Single-source warehousing or distribution can work, as they have for generations, but integrating the two provides immediate efficiency and lessens the chances of dropping the ball. That efficiency in turn translates to reduced costs throughout your company’s operations. Always remember, however, not to sacrifice quality to save a few dollars.
Do you have full control over your services’ timely delivery and execution? If there is a breakdown anywhere in the supply chain, the weakness resonates until it directly impacts your business. Customizing your service processes with an integrated warehouse and distribution approach allows the opportunity to make better choices that ultimately provides higher quality products and of course, more loyal and satisfied customers.
Streamlined admin chores
If you’re dealing with a dozen different suppliers providing warehouse and distribution tasks, it boosts the odds (by 12!) of you being saddled with a tremendous administration headache. Imagine the stress-free days of implementing an integrated system—simplified purchasing, far fewer invoices and POs, and much less time spent the phone or sending email inquiries.
These are just a few of the benefits of integrated warehousing and distribution. It’s effective and it works.