The benefits of outsourcing your warehousing and inventory management
Does your business need an inventory management makeover?
Every business leader understands the need to use their resources in a productive and efficient way. But how can you maximise your potential even further? The answer lies with outsourcing your warehousing and inventory management. It could be just what’s needed to kickstart your business up another level.
Outsourcing your inventory management services can open the door to a world of possibilities. From greater flexibility and next-day delivery, right through to loyalty fulfilment. Improved product handling could be just what you need to take things up a level in terms of efficiency and profitability.
Read on to see how it can improve the way your company functions as a whole.
What is inventory management and why do you need it?
Inventory management is essential for businesses if they want to stay on top of their supply and demand.
With the right inventory management system, you can make sure all your stock is properly tracked and organised. This makes it easier to locate specific items or keep everyone in the company up-to-date with current stock levels. Not only does this increase customer satisfaction but it can save money by avoiding overstocking or restocking too frequently.
But managing your warehouse and inventory can be a massive undertaking.
Before you even begin thinking about stocking materials and ordering supplies, there’s one all-important question that needs to be considered: Do you have enough physical space?
Finding the solution goes beyond simply looking for a larger space or finding multiple locations to handle operations. Important factors such as scalability, storage capacity, safety regulations, and workflow must all be taken into account to ensure efficient, cost-effective inventory management.
Acquiring new space might require evaluating multiple options in different locations and then making adjustments to processes and procedures so your business can make the most of this new environment.
You’ll have to manage issues and expenses related to labour, staff training and certification to operate equipment, communication, and the upkeep and maintenance of the facility and preventative maintenance of equipment and repairs during breakdowns.
It also includes security expenses such as cameras, alarms and other measures to keep your warehouse and inventory safe from theft or damages.
The benefits of outsourcing inventory management
Outsourcing your inventory management is a great way to simplify your business, streamline your operations and keep better track of the items that make up your supply chain. It allows you to easily monitor what comes in and out of your business, while also keeping an eye on your budget. Not only can this help reduce costs — like potential overstock — but it can also ensure more timely restocking of important products to keep up with your customers’ demand.
With minimal oversight from you and your team, everything happens automatically, eliminating the need for extra management.
With a dependable third-party provider, you’re guaranteed to receive consistent, reliable monitoring and expert advice as you navigate all aspects within inventory management.
It’s the perfect solution for businesses with limited resources who want to maintain a lean workforce but have the ability to keep track of their goods, materials and components. It also gives your business valuable flexibility to scale up or scale back almost overnight.
All in all, outsourcing your inventory system provides a host of benefits that can greatly assist any size business.
What to expect from your warehouse and inventory management provider
Outsourcing your inventory management is an investment that pays off. With outsourced inventory management, you instantly gain access to expert tools and know-how.
You don’t have to hire, train or supervise staff. You don’t have to manage, maintain or fix the equipment and facilities. Instead, you can offload these tedious tasks to experts who have years of experience in cost-effective inventory management.
Simply put, they can do it better and more efficiently than you. And, they can take all that responsibility and obligations off your plate.
It allows you to maximise efficiency, reduce overhead costs and make sure that everything you ship out is accurate, up-to-date and traceable. Plus, it ensures goods are shipped on time, giving you peace of mind that each order will be fulfilled without a hitch.
For companies doing a high volume of business but feeling the pinch from limited physical space, commercial warehousing is an excellent solution. With its ability to store goods offsite, it can unlock more capacity for businesses that need added room without taking up valuable real estate.
Warehousing and distribution from a professional facility offers many advantages. One of these is shipment consolidation, which can lead to the lowest possible transportation rate as well as reduced crowding at customer receiving docks. Stockpiling also offers economic benefits, especially for seasonal inventory. Having the space to store an inventory buffer helps increase production efficiency while taking into account both material sources and what customers need.
Cross-docking is a smart supply chain solution that streamlines the flow of goods from transport vehicles to recipients. Unnecessary time and labour costs are saved as incoming products can be quickly reloaded for dispatch within minutes, avoiding inventory storage altogether.
For less-than-truckload shipments, cross docking eliminates warehousing steps by transferring cargo directly onto an outbound truck or rail car – allowing customers to receive their orders faster than ever. In some cases where multiple consignments need combining into one outgoing package; space in staging areas facilitates this process until final shipment readiness is achieved.
Pick and Pack
Your items get shipped to the warehouse and stored securely until it’s time to fulfil orders for your customers. Once orders are received, they are prepared (pick and pack) for shipment out to your customers on your behalf.
Preparation of the order includes proper packaging and shipment documentation, and notifying the couriers/delivery service that orders are ready for shipment. Each shipment gets processed individually, or when multiple shipments arrive with similar products they can be grouped together to simplify their handling and preparation.
How to find the right inventory management company
Choosing an inventory management company can be a great way to have control over your business’ stock levels and can save you time, money, and a lot of stress.
But with so many companies out there and all making the same promises, it can be difficult to know which one is right for you. It’s important to do your research, understand their services and processes, and evaluate their reputation before you make a decision.
- Make sure they match up with what your business needs as well as having competitive prices and reliable customer service.
- Does the provider offer tools such as real-time reporting, automated ordering options, or detailed reports?
- Additionally, look for a company that is committed to customer service with live chat operators or phone support for assistance when you need it.
- Don’t forget to check how established each vendor is. Has this company been active in the industry for at least 5 years?
Finally, try to get feedback from other businesses who have used these services so you can make sure you are making an informed decision about which inventory management company would work best for your business.
A game-changer for your business
Organisations of all types and sizes have started to recognize the tremendous value of taking advantage of resources outside their traditional physical walls.
It all starts with the effective use of resources, both indoors and out. Consider outsourcing your warehousing and inventory management – it could make an incredible difference for taking your brand to new heights.
At Boyd, we’ve been in the business for over seven decades and our warehouse facility has over 50,000 square feet of space to store and distribute everything from short-term projects to long-term products, and can scale to accommodate the changing needs of your business. Take advantage of the benefits like improved product handling, increased flexibility, plus faster delivery – all while increasing efficiency and profitability.
You’ll have total control over your Boyd-based inventory with our cutting edge logistics software. Log in securely anytime, anywhere and access everything from item counts to customizable reports—perfect for managing operations on the go! Whether you’re out of town or just relaxing at home, this revolutionary system unlocks real time data visibility 365 days a year.