You have outgrown your current warehousing situation, or you do not have the financial capacity to build a warehouse, what do you do now? If you are looking to rent out new warehousing space, contract warehousing services may be the solution that you are looking for. Whether your needs include extra space to store goods or a full-time facility crew to distribute your product, contract warehousing can do it all. Here are the advantages and disadvantages of contract warehousing.
Business today is growing. Whether it be a one-person operation out of a garage or a multi-million-dollar operation, businesses will always have the need to expand their inventory. As a supply chain strategy, businesses will choose either to build or add on to warehousing to increase storage capacity or to outsource their warehousing and distribution to a third-party logistics provider (3PL).Which is the best option for your company? the pros and cons of building or expanding a new warehouse compared to outsourcing.
A crisis in the supply chain can happen at any time. Currently, in 2020, the world is encountering unprecedented disruptions due to a new coronavirus. However, a crisis can come in a variety of forms. It could be a widespread problem like COVID-19 or a localized challenge, like a fire destroying a warehouse.
Third-party logistics (3PL) services allow companies to outsource operational activities like warehousing and delivery. By outsourcing logistics, your business has more time and resources to dedicate to sales, marketing, growth and product development.
Warehousing and fulfillment are important components of supply chain management. Sometimes these terms are used interchangeably, and often, warehousing and fulfillment services are offered by the same company. There are, however, distinct differences between the two. Understanding the relationship between warehousing and fulfillment, and the need for both, can significantly improve order processing and inventory management.
