10 Signs Your Warehouse Needs a 3PL Upgrade
(And How We Can Help)

Running a warehouse means constantly juggling inventory, logistics, and order management. Over time, inefficiencies creep in, making it harder to meet growing demands. If you find the same challenges continue to arise in your logistics, it may be time to explore upgrading your operations by outsourcing some or all of your logistics needs to a third-party logistics provider like American Warehouse Inc.

Your Warehouse needs and upgrade? Let’s find out

Here are 10 key signs that your warehouse needs a 3PL upgrade and how we can help:

• Increased Operational Costs: If your labor, storage, and transportation costs keep rising without a corresponding increase in revenue, your logistics process might be inefficient. A 3PL can optimize these operations and reduce overhead.
• Stockouts/Overstocking: Inability to manage stock levels appropriately will surely hamper profitability due to misbalances in inventory levels. Third-party logistics offers real-time tracking and demand forecasting capabilities in order to help maintain appropriate inventory levels.
• Slow Order Fulfillment Times: Longer order fulfillment makes customers displeased. A good 3PL uses optimized workflow and technology for efficient picking, packing, and delivery of orders in a very swift manner.
• High Error Rates in Shipments: Mistakes in shipments cause customer dissatisfaction and increased return rates. 3PL services prioritize accuracy through quality control systems and precise order handling.
• Limited Scalability: If your current setup can’t handle increased demand during peak seasons, you risk losing sales. A flexible 3PL adapts to fluctuating volumes, scaling operations up or down as needed.
• Poor Space Utilization: Are you running out of space, even though you have plenty of available storage? Inefficient layout design and inventory placement can be addressed by expert logistics planning from a 3PL.
• Inefficient Technology Integration: The use of manual processes is slowing down your operations and increasing errors. 3PL providers offer state-of-the-art technology, including warehouse management systems (WMS), to increase efficiency.
• Inconsistent Delivery Performance: Customers expect on-time deliveries. A 3PL has created networks and transportation solutions that provide consistent and dependable delivery services.
• Difficulty Managing Returns: Returns can be a headache, both in cost and time consumed. A 3PL can streamline reverse logistics, making returns and restocking more efficient.
• Missed Business Growth Opportunities: In case your logistic limitations are holding you back from entering new markets, partnering with a 3PL can unlock the door and provide the level of infrastructure and expertise needed to grow with broader reach.