3 Tips For Managing Fulfillment In-House

I will be the first to admit that outsourcing your order fulfillment is not the right move for everyone.  In particular, very small businesses that want complete control over every aspect of their business, those that carry very little inventory or those that have only a handful of orders per month are poor prospects for fulfillment providers.

Here are three tips that will help you better manage your own order fulfillment.

 

Squeeze The Air Out

In the fulfillment industry, a common pricing component is often balloonwarehouse space.  That’s because the amount of space in any  warehouse is limited.  The goal of any business managing  inventory should be to use as little space as possible.  To do  this, one must constantly squeeze the air out.  Boxes that are  partially full should be cut down or emptied, the space between items minimized and items faced so that they are easily found.

 

The Steps

steps

It is no secret that labor costs can be the difference between a good month and   a great month for any business.  For a functional warehouse, the goal is to minimize the amount of labor for any particular order.  A simple, yet often overlooked area for savings, is the amount of time it takes to walk from one location to the next when picking an order.  By arranging products so that  your fastest selling products are closest to where orders are shipped, you will  gain efficiency in labor and, in turn, maximize your cost savings.

 

Clean The Windshield

For any business, visibility is key to success.  Maintaining Key Performance Indicators and accurately measuring day to day, month to month and year over year metrics can help you gain a competitive advantage.  Make a small investment in the technological tools that can provide visibility.  Of particular interest may be number of orders shipped per month, cost of labor per box, amount of errors per order and average cost per error.

 

Whether you use Lynx Fulfillment, another provider or handle fulfillment yourself, these tips could help your business.

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