Cleveland 3PL warehouse
Warehousing is a crucial link in your supply chain network – in both global and domestic markets. Choosing the right Ohio warehouse for your operational needs can make a sizable difference in your firm’s ability to be efficient, effective, and profitable.
With Ohio warehouse space and labor at a premium, outsourcing often makes sense – especially if you can find a place that also provides services like packaging, repackaging, kitting, labeling, and distribution. Bonus if it’s near an airport.
When warehousing is done correctly, it provides numerous benefits beyond basic storage. Some of those include:
- Facilitates increased turnover.
- Improves production.
- Decreases shrinkage.
- Maximizes customer satisfaction with fewer products damaged in transit.
- Optimizes safety for workers and your goods.
Still, there is no denying warehousing costs have risen markedly in recent years. That’s thanks in large part to soaring e-commerce demand, which has expanded nearly 30 percent in the last three years. Even despite some predicted slowdowns on the horizon, the pandemic revealed that consumer consumption can be fairly resilient to economic cycles. Warehousing rent has climbed 3 percent a quarter nationally since 2020, reaching nearly $9.56/square foot earlier this year, according to The New York Times. (In some markets, it’s more than $15/square foot.)
If you’re looking for an Ohio warehouse that delivers great value for the cost, here are some priorities you’ll want to bear in mind to ensure you find the right fit.
- Location and accessibility to major linkages. Identify what mode – or modes – of transport is best-suited for your company’s operations. The warehouse that’s right for you will have easy access to that transport mode. For example, if air transport is one of the most efficient means of getting your goods from Point A to Point B, you will ideally find an Ohio warehouse that is within 20 miles or less of a major airport. (On Time Delivery & Warehouse, for instance, is just 4 miles from Cleveland Hopkins International Airport.) You also want to identify where your customers are primarily located. Warehousing that is close to your customer base can give you the advantage of more timely, cost-effective deliveries. Finally, an accessible warehouse that offers easy highway connectivity and few traffic backups so that trucks don’t waste time idling and goods get where they need to go as efficiently as possible.
- Diversity of capabilities. An Ohio warehouse with a broad range of capabilities is going to offer a better deal than those that offer storage and nothing else. If you can get integrated solutions for things like logistics planning, kitting, packaging and repackaging, labeling and sorting, CFS Freight, and distribution, it helps your firm come out ahead. Asset-based warehouse solutions – those that invest not only in the facility but in a transportation fleet and skilled workers – can offer a higher level of warehousing service.
- Experience. With new warehouses in Northeast Ohio cropping up daily, it’s a good idea to consider the experience of the provider. Newer facilities may offer some advantages, but take a look also at the operational dates. Supply chain logistics has always been a dynamic, evolving industry. Warehouse providers that have been around a while have the advantage of invaluable insights that have allowed them to stand the test of time.
- Material handling capacities. The warehouse you choose needs to have the availability of staging capacities and handling equipment that matches your demands. What kind of docks are you going to need? Will you need a facility with cross-docking capabilities? CFS? Last-mile delivery services? All this will help you determine which of your warehousing options will best suit your needs.
- Technology. Advancing technology has fundamentally altered the way warehouses operate – from electronic data exchanges to pick-by-vision systems to real-time product tracking. Keeping customers happy means providing them not only with faster results, but transparency through the process. Technology has been vital to that. Make sure the warehousing company you choose has the systems in place that will allow you to best serve your client base.
- Minimized risks. Handling, storing, and shipping products is not without risk. You want a warehousing management team that is fully aware of those risks, takes them seriously, values their team members’ safety, has appropriate safety measures in place, and invests in adequate insurance in case something does go wrong.
- Taxes and rates. Of course, cost needs to be considered. Compare each facility’s rental rate per-square-foot against the value they’re providing. Depending on your operation type, there may also be certain state or regional tax implications or incentives to weigh.
At On Time Delivery & Warehouse, we recognize that warehousing is an integral part of your operations – and we take our role in that seriously. Our goal is to help our clients maximize efficiency, excel, and ensure their own customers are fully satisfied with services that deliver their goods intact, on time, every time.
For information on Northeast Ohio Warehousing, Inventory Management, and Trucking Services in Cleveland, Contact On Time Delivery & Warehouse by calling (440) 826-4630 or send us an email.
Industrial Facilities Near Airports Command Rent Premiums, Oct. 5, 2022, CBRE
More Blog Entries:
6 Supply Chain Insights From Northeast Ohio Third-Party Logistics Warehouse Pros, Aug. 28, 2022, Cleveland, Ohio Warehousing Blog
Top-performing businesses have always felt big pressure to earn and maintain superior customer satisfaction. These days, however, they’re faced with the herculean task of doing so while grappling with the aftermath of a global pandemic, long-standing labor shortages, and a seemingly unrelenting stream of supply chain disruptions. The good news is: These challenges too shall pass – eventually. However, some recent changes are part of bigger movements that are likely here to stay. Primarily, these include booming e-commerce sales, high demand for direct-to-consumer deliveries, and robust enforcement of warehouse worker rights. One way to gain an edge on the competition is by working with a dedicated Cleveland 3PL warehousing & distribution company – particularly one with a rock solid reputation and the flexibility to shift amid changing times and customer demands.
Recently, the Logistics Managers Index (which measures U.S. supply chain pressures) rose to a record-high. This reflects not only soaring inflation costs impacting inventory and logistics, but also the waning amount of available warehousing space. Bloomberg reports inventory stockpiles many companies purchased during the pandemic may be contributing. Companies are now holding excess inventory at premium rates, something likely to continue for at least another year. Consumer hesitance driven by inflation appears to be further exacerbating the issue. On the flip side, given the global supply chain tumult of late, many manufacturers, suppliers, and retailers have seen the value of having at least some inventory stockpiled so they aren’t caught short.
In any case, one thing is clear: Whereas warehousing was once considered an afterthought for most companies, it’s now recognized as a critical element in the go-to-market strategy for most firms.
“It’s sort of like the shift we saw with the information technology sector in the early aughts,” explained On Time Delivery & Warehouse CEO Anthony Figliano. “What was once basically a background function quickly became a pivotal part of intraorganizational planning – and for good reason. Today, it’s the warehousing and distribution functions that are increasingly acknowledged as mission critical.
“But of course, that’s been at the core of our wheelhouse from the start, so we’ve always recognized its inherent value. As 3PL partners, we’re as committed as ever to continuing to meet fluctuating demands with both top speed and accuracy.”
The safety and well-being of our valued Ohio warehouse & logistics workers have always been an imperative at On Time Delivery & Warehouse.
Recently, the U.S. Department of Labor announced that given the heightened demands being placed on warehousing and logistics employees, it would be launching a new initiative to vigorously enforce these workers’ wage and hour rights and safety protections.
“The increased demand and constraints on the global supply chain have combined to place enormous strain on the nation’s warehouse and logistics industries,” the DOL said in a news release.
Regulators are ramping up federal enforcement to ensure employees are safe from harassment, paid their legally-owed wages, and are afforded proper family and medical leave in accordance with applicable employment laws. They’ll also be watching for potential misclassification of employees as independent contractors, a practice that tends to result in underpaid wages and benefits, as well as an unfair competitive advantage for companies in the free market.
Of course, the agency has had its eye on the industry for some time now. But the pandemic underscored the critical economic function of warehouse workers, truckers, delivery drivers, and other Ohio warehouse & logistics professionals. Ongoing supply chain exigencies have left more than few logistics firms scrambling to keep pace. Still, the DOL doesn’t see that as an excuse to make concessions on worker pay and safety measures. The recent announcement involves news that the agency is hiring more than 100 new wage and hour investigators – with more likely on the way.
Our Ohio Warehouse & Logistics Team is Committed to Worker Safety and Customer Satisfaction
We recognize that Northeast Ohio warehouse & logistics costs and challenges have risen in recent months, but investment in dedicated employees and their well-being is a core tenet on which our team has never compromised. We’ve had this commitment dialed in for decades, so the DOL’s announcement has no real impact on our day-to-day activities.
Meanwhile, companies that are just launching and/or struggling may want to reconsider any internal warehousing and logistics operations – especially knowing that there will be additional federal oversight and zero room to cut corners without significant penalties.
Inbound and outbound logistics are among the most complicated functions of running any business. Effective warehouse management is essential to these processes. Get it wrong, and you’ll be stuck with low staff morale, poor customer satisfaction and dwindling profit margins. Get it right, and you set your business up for success with reduced losses and delays and improved product flow.
At On Time Delivery & Warehouse, we understand that the best warehouse management and distribution practices include more than just moving and tracking goods. Communication, transparency, honesty, responsiveness and the willingness to always go the extra mile are also imperative. As a third-party logistics (3PL) provider, we wear many hats in order to offer our customers an all-in-one solution.