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Wednesday , 14 November 2018
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Modern & Secure Warehouse Is Vital For SCM

ware house

source: wikimedia.org

Modern & secure warehouse takes care of the physical distribution of goods. This is where the goods are brought in and stored. The inventory level is kept updated in the warehouse software. All clients have access to the propriety software where they can see various types of updates and reports.

Manufacturers are big users of warehouse space. They store all their raw materials at a bonded warehouse and retrieve the amount they need to produce finished goods. Many companies are importing the raw materials and various components that are used in manufacturing finished goods for the local market. They like to use the logistics services of a third-party service provider.

Importers prefer to sign a service contract with a warehouse that offers trucking as well.  These days the modern warehouses offer a host of services which makes importing goods and distribution a lot easier and affordable.

Whole sellers also like to store their merchandise in a warehouse where they use the pick and pack services. Those selling imported items online look for a modern & secure warehouse for fulfillment services. The trucking service of the warehouse is responsible for delivering the merchandise to all the buyers using the less than truckload service. 

All business managers like to address, improve and communicate supply chain management plans to the logistics provider. Both parties work together to straighten out their understanding of the various stages of the supply chain which includes planning, sourcing, making, delivering, and the return stage.

In the planning stage, the client devises the strategy. They have an option to either buy the goods from the supplier or to manufacture it. They look at the various advantages and disadvantages of both options. Suppliers can be either domestic or foreign and whichever option seems more feasible they opt for it. These days many companies are producing goods abroad to save on the cost of labor. The finished goods are shipped to local ports from where a trucking company picks the shipment and stores it in their warehouses. When a business manufactures locally they involve the warehousing and trucking company into planning.

In the sourcing stage, businesses look to procure raw materials and components from the best parties. If two parties offer the same price it is more feasible to buy from the one located near the warehousing and trucking company as it saves them on the cost of transportation. The raw materials or components have to be picked up in the right quantity and delivered at the right time. Schedules are given to the transporters, so they can work in an efficient manner. When multiple suppliers are selected the trucking, company picks up the shipments from multiple sources and delivers it to the manufacturer’s facility as and when required.

In the third stage, the production is scheduled and finished goods are tested. It also involves packing goods and releasing them to the market. The trucking company is given a list of all buyers and they may also help with packing if the client requires. In this scenario, the finished goods are trucked to the modern warehouses and packaged at their facility. Each client is assigned a team of workers that do all the work for them and also update the inventory. The warehouses have the temperature-controlled spaces that are ideal for storage of all sorts of goods. Security cameras are installed onsite to monitor the movement of personnel. No one can gain access to the secure areas and this prevents pilferage.

The fourth stage is the delivery stage. Both the transporter and the client work on refining the distribution strategies and the various transportation options. Clients usually outsource warehouse management and inventory to a third party. This third party can also manage their import and export requirements for finished products.

The last stage is the return stage. When consumers are not happy they return the goods. If there are defects in the manufactured goods, the entire lot will be returned. The trucking company goes to the buyers and picks up the returned items on behalf of their client. The return stage also includes the end of life products or the expired goods that the truckers pick up when they go to do the next delivery. Clients inform the trucking company about the return rules.

A modern & secure warehouse works in a flexible manner to fulfill all client needs. They ask clients how they can do better for them. They like to focus on optimizing their operations in an effort to retain all their clients. Business meetings with new clients help improve the performance of warehousing and trucking services of a third-party logistics provider. Throughout all the supply chain cycles the service provider is kept in the loop so it can optimize its services based on client requirements.

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