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Logistics is everything when it comes to a great business plan. It’s no good having the best products in the world if there is no way to get them to the customer. You can receive thousands of pre-orders and still fail as a commercial enterprise because you are not able to get the goods out to the customers. Logistics isn’t just about getting something from one place to another. There are a number of other considerations to think about and the first one would be warehousing. If you have nowhere to store stock, allow stock to be delivered to, checked and audited, then the delivery process had ended before it even begins.

In business, it is all about the profit and in order to do this, you must try to reduce your overall costs to create customer satisfaction. The first thing to do is to have an audit of your operations and find out what your company is currently doing. This way you can ascertain your business’ productivity in regards to efficiency and other ways to identify patterns that need to be fixed. You can also make comparisons both internally and externally, like with your 3rd party logistics provider, and once you have all the data you need, you can create some kind of an action plan, so that you can improve. Here are some key indicators of a successful warehouse operation which will allow for an increase in shipping efficiency.

  1. Using Space Efficiently – Most warehouses, when you go in and look around, are not taking advantage of all of the space they have. The rule of thumb when looking around a warehouse is to look upwards and see if they are using the space that is there. All of the things involved in logistics like the receiving, packaging and shipping are done, using only about fifty percent of your space. You should be looking at installing racks and powered conveyors to improve upon your warehouse’s utility. You can learn about the benefits of a conveyor system through articles available online.
  2. Use Bar Code Technology – Bar code technology has added a lot to the logistics and warehousing industry. It is a fantastic way to track all your stock in relation to what is coming and what is going, and it allows you to track your orders, ensure accuracy, add speed to most processes and cut out unnecessary paperwork. This allows you to keep your area clean which will say a lot about your operations overall, when you or somebody else looks around at your facility’s organisation and appearance. To learn more about the applications and benefits of barcoding, there are articles about it on the Internet that you can refer to.
  3. Tell Your Workers – It’s no good having data and information about your warehousing and logistics if you just keep them to yourself. Tell your staff, who do want to know how they are doing, and this will result in improvements even if you decide to do nothing else. Contrary to beliefs, we all want to do better in our work.

Making improvements in any business is ongoing, and continual audits provide opportunities for change. Make comparisons with other shipping and warehouse businesses to see if you are ahead or behind industry expectations.