Advantages of Outsourcing your Fulfillment
If you are a growing company attempting to ship your own orders, but are limited by warehouse space or manpower, there is a perfect solution. Outsourcing fulfillment will not only make getting products to your clients more efficient, but it will free your time to focus on reaching your target audience and generating additional sales.
Here are the top reasons for outsourcing your fulfillment:
• Warehouse Space – One of the biggest challenges associated with a growing business is having enough space to store inventory and process orders. Fulfillment companies have dedicated receiving docks, staging areas, storage areas, as well as picking, packing & shipping areas. When you use fulfillment services, you can continue to grow your business without worrying about space to manage the flow of goods.
• Fulfillment Software – Many attempt to manage inventory using excel spreadsheets, but is this really the most cost effective way? State of the art fulfillment software provides on-line and real-time information. The right software will also provide robust reporting as well as insight into inventory valuation, inventory turn, reorder points, lots / versions, expiration dates and much more. In addition, it will promote efficiency throughout the logistics process, such as integration with your shipping carriers and automated shipping updates to your customers.
• Labor and Expertise – Fulfillment companies have teams of professionals who are experts in logistics and fulfillment so you do not have to be. They are familiar industry trends and terms such as “dimensional weight”, “fuel surcharges”, “dunnage” and “FIFO valuation”. They are also equipped to handle spikes of orders in an on-time & efficient manner.
• Cost Savings – After close evaluation, you may find that there are cost savings to be obtained by partnering with a fulfillment company. Savings can be gleaned through on-time processing of orders, reallocation of labor, reallocation of space, the elimination of errors & costly re-work. You may also benefit from the economy of scale with freight charges due to volume discounts.
Outsourcing fulfillment allows you and your company to focus on other key issues and gives you peace of mind knowing that your customers’ orders are in capable hands. If you’re unsure if you need a fulfillment partner – contact us today to speak to one of our experts.
About the Author:
Kelly Newcomb is the VP Strategic Initiatives at CFS, Inc. in Norton, MA. She is an accomplished leader with a background in fulfillment and project management; Kelly is the creator of CFSprocess+, our innovative client focused business mapping methodology. To learn more about how we can create roadmaps for success for our clients, you can contact her at email@example.com or click here connect with her on LinkedIn.