Warehouse Distribution Management

Warehouse Distribution Management - Top 10 Reasons You Should Outsource

In the fast-paced warehousing and logistics marketplace one warehousing solution is to outsource the warehouse distribution management by using a warehousing company. The use of public warehouses as a warehouse solution has distinct advantages to handling warehousing and logistics internally.

The most often cited advantage in some recent research is the ability of warehouse services to be responsive to service requirements pertaining to logistics and warehousing on a real-time basis. The need for fast and efficient warehouse distribution management is preeminent in the changing market environment. The ability of the team to facilitate the warehousing logistics requirements of the client company is paramount in achieving marketing goals and successes. Secondarily and thirdly, cited almost as often as responsiveness, is the quality of the warehouse distribution management team and its ethical integrity. Logistics warehousing companies provide this important aspect to the serviced marketplace.

The next four most cited reasons of importance for selecting a warehouse distribution management team are: the ability to bring value-added services to the equation, the expertise of the warehouse logistics team in the scope of services delivered, specific knowledge of the market, and the implementation of a warehousing solutions plan that provides a low-cost alternative to using in-house warehousing and logistics. Many outsourced services have the personnel in place to do some value-added services such as product bundling and even light assembly as needed. This saves time and resources for the client. The warehouse distribution management team by nature has personnel in place that know the market of the client and the logistical critical paths well and are able to provide marketing advantages of scale when negotiating shipping and storage agreements on behalf of the client.

The last three of the top ten cited criteria for outsourcing warehouse distribution management are personal relationships with the key contacts of the client, willingness to assume risk, and investment in state-of-the-art technologies relating to the warehousing logistics business process. Strong, personal relationships between key personnel in the client company with the warehouse distribution management is vital to smooth, fluid communication in the warehousing process. One area that cannot be overlooked is the risk-assumption of an outsourced service provider. The need for less capital investment and the associated risk costs and insurances are both reasons to move the warehouse distribution management process to a warehousing logistics provider. Finally, the investment into state-of-the-art technologies for inventory control, shipping tracking, reordering and fulfillment is unsurpassed with a warehouse solution provider. The cost savings to the client is self-evident in this bottom-line aspect.

The final decision with regard to choosing the outsourced warehouse distribution management provider is the size and coverage of the service. The most preferred provider is a regional company according to recent studies. The regional provider gives a larger service area, and the ability to expand, along with better technologies being utilized, while still having the needed ability to respond quickly and specifically to the needs presented. Warehousing logistics consultants and logistical service providers prefer to work with the regional company.

About TeamDCA: TeamDCA members operate 27 million square feet of warehouse space, state-of-the-science systems and decades of experience achieving customer objectives in each regional market.  The TeamDCA network of leading edge distribution centers provides a full menu of transportation services at negotiated rates with common carriers strategically located throughout the US. Whether managing inventory, filling orders, or processing returns, TeamDCA links your supply chain to, from and within the warehouse.