Is Third Party Warehousing Right For You?
When it comes to supply chain management, you have a number of different options available to you
. You can have a dedicated warehouse that you own or lease to store your items and you can have your own in-house trucking and shipping procedures in place to transport those items to customers. This typically works only for large companies that store and ship thousands of pounds of cargo on a weekly basis. You can enter into long-term contracts, which is a good choice if your storage and shipping needs are steady. Or, you can consider third party warehousing.
Third party warehousing is a cost effective and smart choice for many businesses both large and small. There are third party public warehousing solutions available for companies that ship tons of cargo on a weekly basis, but there are also third party warehousing solutions available for those who ship very small amounts. If your shipping and production volume changes throughout the year, monthly or quarterly for example, third party warehousing can also accommodate the shifts.
Because of the flexibility and affordability of third party solutions, third party or public warehousing is a great choice for many different businesses but is it right for you?
How to Know if Third Party Warehousing Right for You
Almost anyone can benefit from using third party warehousing options, but there are certain businesses that may find this option especially advantageous. For instance:
* If your production and shipping needs change regularly, third party warehousing may be an effective solution since you won't be tied into long-term contracts for services you do no need.
* If you want up-to-the-minute tracking and reporting from a third party provider, then you may benefit from public warehousing. Reporting is available upon request so you can know where your items are at all times, if you choose to- but you can also sit back, relax and place your trust in the professionals to get where you are going.
* If you are located convenient to a third party warehouse, the process of third party warehousing may be even easier. You should choose a central warehousing facility that is close to you and/or to your customers so you can shorten ship times and cut costs.
* If you are interested in outsourcing a portion of your supply chain management to professionals who specialize in warehousing solutions, third party warehousing is the best choice. Knowledgeable experts can help make sure everything goes smoothly and that your items are protected and get where they are going. This is a major advantage as it removes the stress from internal employees since everything is taken care of by top-notch warehousing experts who provide superior customer service.
These considerations are just some of the things to think about in deciding whether third party warehousing is the best choice for your company. Take the time to educate yourself about this option and about the benefits that it can provide so you can make an informed and educated choice about your supply chain management process. You may be surprised to see just how many advantages that third party warehousing will offer.
by: Rod Cooper
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