The reality is that it’s expensive to perform vital supply chain initiatives in-house. In order to do so, you need to invest in servers to support technology and store data, warehouse management software systems (WMS), automated data collection tools like barcode scanners and mobile computers, and automation systems such as conveyors and automated retrieval systems.
Fortunately, outsourcing supply chain services to a reputable third party logistics (3PL) provider can give you the chance to save money on significant initial investments and focus on your core operations and growing your business. It can also make it easier for you to handle seasonal volume increases and boost your revenue.
Another noteworthy benefit of working with a 3PL is the chance to streamline fulfillment activities. Believe it or not, you may be able to raise order accuracy by 99% while reducing the cost of labor. When your orders are accurate, your customers are happy and more likely to refer you to others and/or buy from you again. This is a big deal as referrals and customer loyalty are essential to organic growth.
Improved Shipping Networks
Most 3PLs have strategically located distribution centers. Therefore, you can limit distribution points across your supply chain by taking advantage of a 3PL provider’s logistics centers. They may be able to provide you with last mile delivery that you may not have been able to afford otherwise.
Efficient Returns Processing
You can also depend on a 3PL to assist you with returns processing. They can use cutting-edge technology to ensure orders return to where they came from and products are removed from their packaging and taken back to stock. With an efficient returns processing system in place, you can save money on returns while keeping your customers happy.
Save on Labor Costs
In addition, outsourcing to a 3PL can help you save on the high labor costs that typically come with picking, fulfilling orders, and value added services such as custom packaging, embroidery, and sampling programs. A top-notch 3PL will have pick and pack services available to manage fulfillment and returns; ensuring optimal efficiency.
Contact Amware to Learn More About a 3PL Warehousing Services
When you’re looking to add value to your supply chain, consider adding warehousing and fulfillment services with Amware. We offer both freight preparation and warehousing to make it easier for our customers to do business in Cleveland. When you want a company you can trust, and a solution that fits your tight budget, we’ll be here with a solution. Contact the team at Amware now to find out how warehousing and fulfillment services can help you maximize your public warehousing budget.
If you’d like to learn about the hidden costs of public warehousing, click below and download the free report.