Reviewing Your Distribution and Warehousing Operations: Get to the Bottom of the Bottom Line

January 18 2017

Reviewing Your Distribution and Warehousing Operations: Getting to the Bottom of the Bottom Line.

In today’s increasingly competitive and politically uncertain climate, there has never been a more important time for suppliers and retailers to focus their attention on the bottom line of their operations and to review or respond to any potentially destructive or negative influences on the company’s objectives and projections.

Many Operations Managers are rightly being asked to reduce costs or better yet, increase productivity and efficiency and lower cost at the same time.

Easier said than done! Which is why many clients have sought help from PDX in reviewing aspects of their operational structures, either on a consultative basis or by bringing their operations to us. It is important to any organisation to periodically review its operations and its operational structure to support its mission and objectives, and know if the financial reporting mirrors the reality.

Reduce-operational-costsWe are thankful for the hundreds of direct-to-customer clients we have had in the past 25 years and our mission is always the same – to assist your company in becoming more profitable by increasing efficiency, reducing costs and at the same time improving customer service.

In fact, in January and February 2017, PDX is offering a free ‘operational overview review’ to companies considering outsourcing any part of their operations to us. For that same period we are also offering new clients *7 Days Free Storage to help the bottom line right from the start. Contact us for more information.

The key to an efficient warehouse and distribution operation is strong data.

You can’t improve something you haven’t measured. Good data will help you understand exactly what’s going on, how long it’s taking, and at what costs. This will help you to implement a plan for continual process improvement within your operations.

PDX through experience and knowledge have outlined warehouse and distribution center improvement strategies that are offered up for consideration because we know and appreciate all clients are different. We have been successful in lowering the cost per order, increasing / decreasing storage capacity, looking at inbound and outbound freight and improving service levels and turnaround times by implementing these strategies with clients. All to ensure our clients get ‘Value for Money’.

Warehouse Automation & Technology

Warehouse-automation-and-technologyAs labour becomes costlier, and as companies struggle to find qualified labour for the warehouse, companies should investigate how warehouse automation can help to reduce cost and improve efficiency and throughput. Companies need to evaluate each process in the warehouse and determine what touch points and processes can be eliminated by equipment.

Inventory Management in the Warehouse

Effective inventory management is the single most important tool to improve customer service and reduce cost of operation. Companies must look at the critical key performance indicators (KPI’s) and report to management on a regular basis. These KPI’s will assist you with determining the slow moving inventory that is negatively affecting margins, needlessly consuming excessive space in the warehouse, and hurting customer service.

warehouse-operationsWarehouse & Distribution

With some companies coming out of a less than perfect holiday season, there is a real need to increase productivity without having to make major capital purchases to do so. Discover ways to reduce your warehouse cost per order, increase capacity without expansion and improve service levels.

Business Systems

Order management, warehouse, e-commerce and inventory management systems are at the heart of the company. These systems affect the productivity and sales of all departments including merchandising, marketing, fulfilment and contact centre.  Investigate ways to plan for, select and implement effective business support systems.

Alternative articles you may find useful in your business review;

Is it time you considered outsourcing your online order fulfilment?
Warehousing and Distribution: Ownership vs Outsourcing
Want More from 3PL Fulfilment than Just Pick and Pack? Episode Two: Geeta’s Foods

Contact us today for your free operations review overview (limited to enquiries in Jan and Feb 2017), or if you require a more in-depth consultation with one of our experts, please contact us in the first instance.