How to Improve Logistics Efficiency in Your Wholesale Company

Logistics efficiency is important for success as a wholesale distributor. You will need to consider where you can enhance your current fulfillment processes to make them more efficient.

Below, we have covered some top tips for improving logistics efficiency within your wholesale distribution business.

Consider Outsourcing to a Third-Party Logistics Provider

Allowing a third-party logistics (3PL) provider to oversee your logistics operations can ensure accurate and timely deliveries. Outsourcing your non-core logistics tasks to a reputable 3PL provider also frees time in your and your staff’s schedules, allowing you to focus on other essential tasks within your business and reducing labor costs.

A 3PL provider knows how wholesale distribution works, and will take responsibility for transporting goods to your customers and maintaining a quick and friendly service. A 3LP has the expertise, equipment, and shipping containers to provide top-quality service to you and your customers, contributing to your overall business success.

Use Inventory Management Software

Inventory management software enables you to automate various aspects of fulfillment. Your warehouse employees can use it to find products quickly when picking and packing orders, speeding up order fulfillment and reducing the risk of errors.

Inventory management software can also be beneficial for streamlining stock count. It can provide accurate information about which products are available at any one time, reducing overstocking and understocking.

Batch Orders Wherever Possible

Batching orders enables your warehouse team to fulfill more orders in a shorter space of time. Batch picking reduces the time taken to fulfill each order and speeds up the logistics process as a whole.

Organize Your Warehouse Appropriately

To make it easier for your warehouse team to pick and pack orders efficiently, keep your warehouse organized and store similar products near one another. Design your warehouse such that it guides your workers smoothly from product to product.

Ensure popular items are stored in easy to access areas of the warehouse and make sure your warehouse operators know where they are when fulfilling customer orders.

Optimize Your Delivery Routes

Consider using smartphone apps that provide your delivery drivers with real-time traffic updates so they can avoid traffic and roadworks that would delay their deliveries. Use advanced software to optimize your delivery routes to maximize efficiency and reduce fuel and labor costs.

If you ship internationally, ensure that you pack as many packages into each vehicle as possible to minimize transportation costs.

Train Your Staff Appropriately

Proper staff training is essential for ensuring efficient and accurate order fulfillment. Make sure you provide adequate training for new logistics staff members and ongoing training for existing employees.

Ensure staff are trained in using warehouse equipment to avoid breakages, accidents, and injuries. If you use in-house staff in your last-mile delivery, ensure they are adequately trained in how to drive your delivery vans or lorries and check that they have the appropriate licenses for doing so.