by Will Schneider
When it comes to making business decisions, choosing to outsource public warehousing only goes so far. Instead, it’s vital to pick the right public warehouse that truly save money and time.
Public warehousing is a strategic decision made by a company, but choosing the warehouse that best meets a company’s needs is often overlooked. Public warehousing is usually used for short-term storage solutions, such as holding extra products during busy seasons. But it’s important for a business to select one that meets all of the company’s demands. So here are some things to look over when choosing the best public warehouse:
Be Strategic – A decision process should definitely be used that involves several levels of management. Make sure put the appropriate time and analysis into the selection process and just don’t pick the first public warehouse that’s listed.
Begin with Detailed Location Analysis – One of the advantages of public warehousing is not being tied to a single geographic area. In-house distribution may be in New York but with public warehousing a company can choose a place that can better serve customers elsewhere. Request for a proposal from the public warehouse, this may give insight on the market that works best for the company.
Know System Capabilities – Make sure that the public warehouse provides the necessary system support – not only for current production but future advancements.
Leave Room to Expand – Usually public warehousing is short term, however, businesses should consider future expansion plans that could turn the contract into something more long-term.
Evaluate Public Warehouse Networks – Again, a lot of preparation is looking down the road. Look and see if the provider’s other locations may be beneficial to future expansion. Does the company allow movement into new and profitable markets?
Timing is Everything – Find out how long it takes to move and start using the public warehouse. This should give an idea of how long the process will take and how much money it will actually save.
Visit the Site – This seems like an obvious step but sometimes businesses jump into things without even seeing a public warehouse. Examine the facility’s cleanliness and maintenance standards and how was the relationship of employees and management. These are all indicators of a well-managed public warehouse.
Check Independent Sources – Make sure to evaluate independent references. They usually have insight of how the public warehouse is run and how it helped out their business.This entry was posted on Friday, March 2nd, 2012 at 8:51 pm and is filed under Warehousing and Fulfillment Resources.