For many companies, warehousing is no longer simply about finding a place to store products. Today’s fast-moving retail and ecommerce markets require your products to be labeled, packaged, assembled, inspected and configured correctly before they can reach customers.
When these activities (and others) are handled by separate providers, even a relatively simple project can become a complicated logistics exercise.
In this article, we’ll explore the advantages of working with a single 3PL provider that can provide these services (known as “value-added services [VAS]”) in addition to warehousing.
But what if the distribution center you rely on for warehousing services can also provide these-value added services under the same roof?
Some 3PL providers, like Weber Logistics, can perform a wide range of value-added services within the warehouse.
The warehouse thus becomes a ‘product transformation center’ where inventory can be prepared for sale or final delivery without unnecessary movement through the supply chain.
Consider a product that needs new labels before it can be shipped to a retailer. Without in-warehouse support, the process might look like this:
That process requires multiple appointments, shipments, inventory transactions and service providers.
With Weber’s value-added warehousing services, the product can remain at the warehouse while the required work is completed. Once the project is finished, the inventory can be updated in the warehouse management system and prepared for shipment.
Retail requirements can change quickly. A customer may request a new label, price ticket, multipack or promotional display with little advance notice. A product launch may require sample kits, while a seasonal promotion may call for holiday baskets or special packaging.
Shipping inventory to another provider can make it difficult to respond within a tight window.
A 3PL that can handle these services in house can quickly mobilize labor and resources to support projects such as:
At Weber, we can also build displays such as power wings, display caddies, clip strips and quarter pallets using client-provided components. Throughout the process, teams can maintain appropriate lot-code markings and follow established quality-assurance procedures.
Value-added warehousing also supports an inventory postponement strategy.
Instead of creating large quantities of every finished product configuration in advance, you can store common products or components and complete final packaging, assembly or labeling as orders and market requirements become clearer.
Components may be stored separately and assembled into different kits depending on actual customer demand.
This approach can help you:
At Weber, our warehouse management systems can support the process by tracking components, finished goods and inventory status as products are transformed.
Many value-added projects are temporary or seasonal. You may need significant labor for a product launch, packaging change or retail promotion, but only for a limited period.
Building an internal operation for that work can require recruiting, training, supervision, equipment and additional space. Once the project ends, you’ll be left with resources you no longer need.
A 3PL warehouse provides a more flexible option.
3PLs like Weber can scale labor for planned programs as well as unexpected projects, allowing you to access operational support when it is needed without permanently adding staff or facilities. Once a high-volume project is complete, those resources can be scaled back.
Products do not always arrive in sale-ready condition. Packaging may be damaged during transit, branding may change or otherwise usable inventory may require corrective work.
Instead of automatically treating these products as a loss, your 3PL partner may be able to inspect and repackage them. Corrective work can help recover inventory that might otherwise be written off, while rebranding services can prepare products for a new market presentation.
Handling this work at the warehouse avoids another round of transportation and gets recovered inventory back into circulation faster.
The greatest benefit of value-added warehousing may be simplicity.
Rather than managing separate companies for storage, transportation, labeling, assembly, display building and product rework, you can consolidate more of those activities with one logistics partner.
That can mean:
By performing labeling, kitting, assembly, display building, repackaging, quality-control work and other services inside the warehouse, Weber Logistics can help you get the most out of your warehousing partnership.
So, bring us your challenges. Our team can help determine how value-added warehousing services can save time, control costs and simplify your operation. Contact Weber today to start the conversation.