So Whats Your Plan? Start Planning Now, Not After your Crisis
Hits!
Slide 8
Warehouse and Fulfillment Strategy Companies hire 3PL firms to:
Outsource part or all of their supply chain, including inventory
management, warehousing, transporting goods, importing and
exporting from other countries, and order fulfillment.
In-HouseOutsourced 3PL (Third Party Logistics): Refers to companies
that provide an outsourcing option for many parts of the supply
chain by offering consolidated transportation alternatives, and
managing the movement of goods and information for their
clients.
Slide 9
In-House Fulfillment Close to Operation Provides Visibility
Customer Service Level Support based on your objectives Control
Process Systems and Labor Cost Reduction As Volume Increases
Organizational Knowledge Team Culture and Business Values
Consultant Expectations Advantages of In-House
Slide 10
In-House Fulfillment Bring in experts They do this every day
Invest in Intelligence Reduces hardware and labor costs Prepare to
move.Often Office vs. Warehouse Do you have the right staff?
Fulfillment strategy - Central vs. Regional Items to Consider
Slide 11
Outsourcing Fulfillment Focus on Growing Your Business Leverage
your Core Competencies Someone else can do it Better Experience and
Infrastructure Economies of Scale Flexible Labor and Shipping Costs
Variable Cost vs. Fixed Cost Cost per Order and Storage Fees Quick
to Market Advantages of Outsourcing
Slide 12
Outsourcing Fulfillment Minimum Commitment Typically 2-3 Years
Flexibility to Accommodate Sales Spikes and Growth Labor and
Facilities Reduce Initial Implementation Costs Building, Software,
Hardware Facility Locations Regional Network Advantages of
Outsourcing
Slide 13
Outsourcing Fulfillment Capability Broken Case vs. Full Case or
Pallet Flexibility Changes in business strategies Ability to
support growth Geographical locations Automation or Manual
Processes Customer service process FIT YOUR CULTURE? Selecting a
3PL
Slide 14
Outsourcing Fulfillment Provide accurate specifications Drives
processes and costs Pricing strategies Cost Plus Transactional
Receiving Storage Selection (Orders, Lines, Units) Shipping Value
Added Materials Selecting a 3PL
Slide 15
Incentives Commission Payouts Obsolete Inventory Promotions
Starter and Bonus Kits Auto Ship Program Balance Monthly Sales Tip
#1 Managing Orders Balance Monthly Sales Tip #1 Managing
Orders
Slide 16
Barcode Products Tip #2 Managing Inventory Barcode Products Tip
#2 Managing Inventory 1 Dimensional 2 Dimensional UV 2 Dimensional
Barcoding provides opportunity to increase productivity and
accuracy
Slide 17
Avoid Excess Shipping Costs Tip #3 Managing Shipping Avoid
Excess Shipping Costs Tip #3 Managing Shipping Both UPS and FedEx
announced it will apply dimensional-weight pricing to all shipments
starting Jan. 1, 2015. Dim Weight factor has been drastically
reduced from 5184 to 166 Now a 6 x 6 x 6 size box, qualifies for
dim weight pricing
Slide 18
Avoid Excess Shipping Costs Tip #3 Managing Shipping Avoid
Excess Shipping Costs Tip #3 Managing Shipping Examples on Shipping
Cost Impact
Slide 19
Avoid Excess Shipping Costs Tip #3 Managing Shipping Avoid
Excess Shipping Costs Tip #3 Managing Shipping What Can You Do?
Avoid Excess Product Packaging
Slide 20
Avoid Excess Shipping Costs Tip #3 Managing Shipping Avoid
Excess Shipping Costs Tip #3 Managing Shipping What Can You Do?
Pack Efficiently
Slide 21
Avoid Excess Shipping Costs Tip #3 Managing Shipping Avoid
Excess Shipping Costs Tip #3 Managing Shipping What Can You Do?
USPS Flat Rate Shipping
Slide 22
Shipping Frustrations What do you get if FedEx and UPS
Merge?
Slide 23
Shipping Frustrations
Slide 24
Dan Kremers www.4walls-solutions.com
[email protected] 866-598-0304 x102 616-443-7964
cell