Articles by Month: July 2022
Cleveland warehousing is an element of operations that many small businesses in Northeast Ohio cannot afford to overlook if they manufacture, export, or transport goods in any capacity.
Although many companies will try to manage their own warehouse duties in-house, doing so efficiently can quickly become all-consuming – and close to impossible. That’s why many businesses ultimately end up outsourcing Cleveland warehousing functions to a third-party logistics provider.
What makes some firms reticent to take the first step on the initial investment is the cost. But in the end, outsourcing Cleveland warehousing functions has proven time and again to boost productivity, improve on-time-deliveries and customer satisfaction, and save money.
The customer’s journey isn’t over once the order is placed. Working with a dedicated 3PL warehouse provides you with greater transparency and control to ensure customers receive their products intact and on-time – and to promptly notify them of any issues if that isn’t going to be the case.
Benefits of Partnering with a 3PL for Cleveland Warehousing
If you’re considering a warehouse partnership with a third-party logistics firm, it’s important to go into it knowing what you hope to gain. Some of the top benefits that our Cleveland warehousing customers have identified as holding the most value:
- Improved inventory management. It’s estimated that 8 percent of small businesses fail to track their inventory. Stunningly, nearly a quarter don’t maintain inventory at all. In effect, order processing and shipments may be delayed, resulting in poor customer experience. When you have a centrally-located warehouse that is dialed in with freight logistics capabilities, it becomes easier to track, manage, and ship your inventory. You’ll have the advantage of low-stock alerts well in advance of when you’re potentially risking running out. This will also allow you to give customers potential alternatives, as opposed to simply keeping them waiting in the dark.
- Efficient packing and processing. A solid warehousing partner goes beyond simply storing your goods. It has the supplies, the equipment, and the staff to move, package, and process your orders. Pallet racks, packing materials, loading docks – these are just a few examples of what a third-party warehouse may be able to offer.
- First-rate customer service. According to RetailDive.com, nearly 65 percent of online shoppers expect their free shipping order to arrive within three business days. At the very least, there is an expectation that customers know – and be kept updated about – the estimated or guaranteed delivery time. Nearly 90 percent are willing to pay more to ensure faster delivery. The speed of delivery is sometimes the No. 1 thing buyers consider when deciding their shipping method. So as a business owner, this is something you must take seriously. If you fail to deliver orders on time, your reputation can tank and you may hemorrhage customers. When you’re working with an experienced warehousing partner, you can arrange for optimized distribution and timely delivery. This reduces errors and potential product damage during the order fulfillment process. Warehouses can also help keep your goods safe and secure, reducing the odds items will get lost or stolen during handling.
- Price stabilization. There are lots of factors that can influence the price of a product from month to month or year after year. Warehousing does provide some opportunity for price stability, though, because it allows businesses to store goods for a later date, when demand may be higher. Consistent stock levels can help ensure you can offer consistent prices to your clientele.
- Better risk management. In addition to serving as a buffer from wild pricing swings, warehousing can offer risk management services that will minimize your losses due to improper storage, packing, and deliveries. Goods that are properly packed, stored, sorted, and picked will have a longer shelf life, which means you aren’t losing product unnecessarily.
If you are looking for a warehousing and logistics partner in Northeast Ohio, On Time Delivery & Warehouse has a reputation as a leader in the field. Our customers trust us to provide quality warehousing services, inventory tracking, and distribution – so that your goods make it to their destination intact, on time, every time.
For information on 3PL Warehousing and Inventory Management Services in Cleveland, Contact On Time Delivery & Warehouse by calling (440) 826-4630 or send us an email.
Peak shipping season ahead of the holidays is about to begin for a volatile supply chain, July 29, 2022, By Lori Ann LaRocco, CNBC
More Blog Entries:
Federal Shipping Reform Impact to Cleveland Warehousing, Trucking, June 20, 2022, Ohio Warehousing Blog
Ohio trucking services have historically adhered to clear seasonal cycles, generally broken down into four quarters.
We all know that trucking – and the transportation industry as a whole – are heavily influenced by supply-and-demand, which set the bar for rates and capacity. Market conditions can vary year-over-year, but there are also consistent seasonal patterns that emerge as well.
But as our Northeast Ohio trucking service providers can explain, the largely predictable ups-and-downs of the trucking and freight industry were thrown completely for a loop during the pandemic. As noted by the International Finance Corporation, land freight was a somewhat less impacted cog in the supply chain wheel (compared to air and ocean freight) if only because roads across the globe largely remained open (except in countries or places under severe lockdown). Trucking capacity ended up being strained, particularly as there was a booming demand for food and medical supplies.
What we’re seeing now is those supply chain imbalances start to ease. The Journal of Commerce reports the market is beginning to realign (though not quite to the level of pre-COVID levels and pricing). What this means is we’re going to start seeing a shift back to seasonal Ohio trucking trends.
Being Prepared for Seasonal Ohio Trucking Trends
An understanding of trucking seasonality is important for stockholders in a broad range of industries because it can be used to forecast capacity, rates, and delivery times.
Those in the trucking and logistics sector typically identify four key seasons in freight:
Quiet Season (January – March). Volume tends to be down during this quarter. Weather across much of the U.S. (including Northeast Ohio) is not ideal for shipping. It may be possible during this quarter to find somewhat reduced shipping rates because demand has slid.
Produce Season (April – July). Ohio trucking volumes start to kick into high gear. The market tightens, demand increases, and finding a truck becomes more challenging. As a result, this season is associated with rate increases.
Peak Season (August-October). The produce season is starting to ease, but shippers are still very busy. They’re prepping for the back-to-school supply demands, as well as ramping up for upcoming holiday demands. Both volumes and rates are going to be at their peak during this period.
Holiday Season (November-December). Thanksgiving, Christmas, and New Year’s Eve put a lot of demand on the freight industry – with pressure to get it all wrapped up before the final week of December. Once we get to that final week, demand for trucking freight begins to slow, and continues that lull until the following spring.
Specifically here in the Midwest, we’re going to see the highest trucking volumes between June and September.