With the global rise of Covid cases and social distancing mandates again, or in some cases as extreme as lockdowns, many companies are planning for this next surge in eCommerce dependency.
The first few months of global lockdowns in 2020 when some businesses were left holding excess inventory they couldn’t ship and others were at a standstill because the shipments were not coming in, have led businesses to adjust to challenges and make less lean-business focused decisions.
The “logistical imbalance” as it’s called, has seen the cost of shipping containers climb five-fold and take an additional week to two weeks to deliver to businesses. If they have the ability, many businesses now have additional inventory on hand with the longer shipping times to ensure they have product to sell at peak times this fall and winter.
This constant growth over the last two years has also left business owners with little to no other option than to upgrade manual processes to more efficient automated processes. Automation of processes ensures the business keeps up with the ever-increasing volume and makes profit. It also ensures employees can pick, pack and ship faster, at much higher volumes and with fewer errors in packing or shipping.
As your business approaches the upcoming holiday season, is your warehouse prepared for the challenges ahead?
Ongoing Social Distancing: Safety of employees is a key concern of most businesses and it now looks like workers spaced out, sanitization stations throughout, one-way traffic aisles and area wipe downs to help ensure the safety of employees as Covid cases may rise in your area.
Increasing Use of Automation Software: Gaining popularity in recent years, Covid has helped to escalate the priority of simplifying through automation. Warehouses are coping with additional inventory on hand with longer and less reliable shipping timeframes, as well as increased orders with more online shopping than ever.
Increasing Warehouse Capacity: With inventory shortages and sporadic global lockdowns, most businesses are choosing to keep excess inventory on hand to meet the increased need and requires additional space. In addition to inventory, social distancing requires that employees are spread out and common areas like packing and shipping provide enough space for everyone to work safely.
Relying on 3PL Distribution Networks and Decentralizing Warehouses: With so many challenges around the transportation of products, many businesses are looking to leverage the existing distribution networks of 3PLs. Many are automated and efficient, allowing businesses an additional alternative for growth.
Another option some are considering is more local or decentralized warehouses, preventing operations from halting completely if one warehouse has an outbreak. This also could benefit shipping time to consumers with ever-increasing USPS and other carrier delivery times.
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EDI | Order Management |Warehouse Management | Shipping
OPAL is the innovative solution to simplify your business fulfillment needs in today’s rapidly transforming retail world
Implementing OPAL software into your businesses’ warehouse is proven to increase productivity by as much as 50%, significantly improving your chances for keeping up with the ever-increases demand for eCommerce products and this upcoming holiday season.
OPAL is the innovative solution to simplify your business fulfillment needs in today’s rapidly transforming retail world. To learn more, click here!
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