Ideas for Cost Savings in E-Commerce Warehouses
What ways could your fulfillment center reduce expenses?
Jay Moris has an excellent article in Inbound Logistics on ways you can cut expenses in your e-commerce operation. Some quick pointers are below.
- Increase customer satisfaction. Moris explains that right-sizing your packages can reduce carton size and ensure customers receive the right package at the right time.
- Reduce packaging costs. By using cartonization strategies, you can reduce parcel sizes – and by extension, shipping and packaging costs.
- Decrease labor and increase throughput. By optimizing its sortation systems, one retailer cut 62 cents off every package shipped.
- Reduce freight, sortation, and shipping costs. Reducing carton dimensions does all of these things in a world where just a single sheet of paper is capable of changing a carton’s shipping class.
We live in a world where weight and dimensional measurement of packages is becoming faster and easier to gauge. Shippers can and will be able to charge more for smaller and smaller differences, so every bit of the process you can automate and optimize, the better. There are more tips (and plenty more detail) at the article – check it out.
Scott Stone is Cisco-Eagle's Marketing Director with three decades of experience in material handling, warehousing and industrial operations. He writes on automation, warehousing, safety, manufacturing and other areas of concern for industrial operations.