It has become increasingly difficult for conventional warehouse operations to manage inventory to keep up with consumer demand for instantaneous order fulfillment as the guarantee of one- and same-day shipping has increased the pressure on these systems. The spread of the coronavirus has contributed to a rise in the use of online stores as an alternative to physical ones.
Online order fulfillment takes around three times more logistics space than a conventional warehouse, adding to the strain on warehouse operators. Because of the need for more product diversity, deeper inventory levels, space-intensive package delivery operations, and additional value-added activities like processing returns, all stock is kept in a single, central location—a warehouse.
It is crucial to optimize your warehouse if you want to maintain your competitive edge in today’s e-commerce environment. Following is an examination of three approaches that can be utilized to improve the effectiveness of the layouts of e-commerce warehouses.
What Are the 3 Ways warehousing and fulfillment services can Maximize your Efficiency?
Increasing inventory accuracy
Did you know that store inventory is only correct about 63 percent of the time on average? You might be wondering why anything like this is such a huge deal. If the figures for your inventory are incorrect, you won’t be able to store, choose, package, and finally fulfill orders with the same level of effectiveness.
The installation of a warehouse management system helps you maintain stock at your distribution centers and ensure that your things are stored in the appropriate locations. It integrates the requested work processes from each channel with complete stockroom management – an all-around flexible and improved arrangement that helps you identify things and complete orders more precisely and efficiently.
Not to add, we are all aware that clients and partners anticipate being able to view what is now in stock and when it will be replenished when placing an order. Increase the accuracy of your inventory using fulfillment inventory systems that guarantee an unmatched level of precision.
Using less packaging
Reducing the total amount of used packaging has to be the primary focus of each fulfillment manager. More procedures, handling, time, cash, and waste result from increased packing.
Consider Amazon as a model for how to cut down on packaging to increase inventory: The e-commerce giant is aiming to address the significant inefficiencies caused by its current packaging by increasing the number of envelopes they use and establishing a method that will enable them to send things in its original packaging. Finding the greatest approach to securing objects while they are in transit using the fewest materials possible should always be your primary objective.
Picking, or selecting and securing individual items in preparation for transportation, is vital to any efficient distribution center. Since even slight inefficiencies in picking can majorly impact profits, there is a wide variety of amazing picking technologies available.
However, investing millions of dollars in high-tech picker robots is unnecessary to accomplish the task. Minor adjustments, such as grouping orders into single-person travel units and performing all picking on the bottom floor, can significantly impact over time.
Improving the productivity of a warehouse requires a combination of common sense, the appropriate storage technology, and the application of sophisticated picking algorithms. You can consider the above three tips for better outcome.