Warehousing bottlenecks are a source of time-consuming and costly delays that ultimately chip away at customer confidence. A once-in-a-while warehouse bottleneck might be manageable, but even an occasional bottleneck can signal larger, non-obvious systemic issues that are hurting your bottom line. If this or constant in-house warehousing bottleneck headaches sound familiar, it’s time to discuss these concerns with an knowledgeable Cleveland 3PL provider.

Outsourcing warehousing services to a third-party logistics firm is sometimes the smartest way to manage complex and/ or fluctuating operations long-term – and avoid warehousing bottlenecks.

What is a Warehousing Bottleneck? 

A warehousing bottleneck is any point within the warehousing process that delays subsequent points in your supply chain. Sometimes it’s a single inefficient process. Other times, it’s a series of overlapping procedures that conflict.

Some common sources of warehousing bottlenecks include:

• Fluctuation in customer demand for product
• Under-staffing
• Poorly-trained employees
• Receiving area too small
• Inefficient delegation of staff responsibility
• Outdated equipment and technology
• Communication failures
• Poor organization and layout (receiving area too small, no optimized picking paths, no separate location for dead stock or returns)

Any one or a combination of these in your warehouse impedes your ability to be efficient and productive.

Impact of Warehouse Bottlenecks

A warehouse bottleneck can have numerous serious consequences. These can include:

• Production and supply chain failures. For instance, if receiving department staff is inadequate or improperly trained, distribution is going to suffer. Customer order wait times are prolonged, and that’s going to ding client confidence and potentially impact your profitability. Plus, no matter your business size or structure, time is money. Delays can have especially steep costs when the product involved is one with a short shelf life.
• Inventory management failure. Although we might make it look easy, the reality is so much goes into smooth inventory management. Our Cleveland 3PL warehouse is carefully organized to maximize pick-and-pack efficiency. Complimentary items are organized closely together and frequently-picked products are placed in a way that makes them accessible. We also employ smart technology to help us stay organized and on top of sudden changes. Even seemingly “simple” solutions can be challenging without a well-trained team and the right tools.
• Supply chain halts and employee frustration.  A single error can snowball into a bottleneck that impacts everything else, including your employees’ productivity. They have to wait for the issue to be resolved before they can resume their work, often understandably resulting in frustration and grumbling – something no warehouse manager enjoys.

If you’re constantly encountering these hurdles, seeking outside help might be the best answer.

Cleveland 3PL Warehouse Solutions

As a trusted and long-time Cleveland 3PL, our team at On Time Delivery & Warehouse understands the enormous challenges of warehouse management.. Smaller operations may be able to handle it with some degree of efficiency, but beyond a certain point, it’s no longer feasible – or wise. Even if you’d prefer to do your own handling, our public warehousing options help give you the space and the tools to stay organized.

Effective warehouse management, one with deft control over both accuracy and productivity that sidesteps common bottlenecks and forecasts those not-so-common, requires years of experience. A third-party warehouse logistics company can help assess your unique needs, develop transparency within each link of the warehouse supply chain and anticipate customer needs.

If you have questions about Cleveland 3PL warehouse third-party logistics partnerships, contact On Time Delivery & Warehouse by calling (440) 826-4630 or sending us an email.

Additional Resources:

How to Determine the Bottleneck in Stock Warehouse Picking, October 2018, By Luke Arthur, Small Business – Chron.com

More Blog Entries:

Get The Most From Your Third-Party Logistics Partnership, May 30, 2018, Cleveland 3PL Blog