Absolute productivity has declined in many ecommerce fulfillment centers because productivity has not kept up with the rate of increased costs. Some larger companies are paying $18 to $20 per hour in some markets. With this in mind, here are 6 ways to become more efficient and reduce costs in your ecommerce fulfillment operations.
In 2021, will order demand continue at the same volume? How will it change? And how will it impact my labor demand? For many multichannel companies, this means moving toward fulfillment automation in order to decrease the amount of labor and its increasing costs. Here are 2 scenarios where automation was cost justified.
For some ecommerce and multichannel companies, using third-party fulfillment (3PL) can be a viable alternative and provide high customer service as an option to internal fulfillment. The burning question for management: “How will it compare in terms of costs?” Here’s a step-by-step process for conducting your analysis.
Picking errors have a very high cost to your ecommerce business in both actual costs and in lower customer satisfaction, lifetime value (CLV) and retention. These problems will erode your business’ profitability and damage the customer experience. We’ll help you identify the costs and share 6 ways to minimize picking errors.
In developing an ecommerce fulfillment center move plan, it is helpful to understand some common problems other multichannel companies have encountered, including lack of a sufficiently detailed planning and budgeting process and inventory inaccuracy before and after. Following these 10 steps will help make your move a success.
There is no end to the process of reducing labor, saving time, making better use of ecommerce fulfillment center space and reducing costs and errors. To be competitive, flexible and survive in these turbulent times, continuous process improvement is critical. Here are 9 steps to consider when implementing this type of program.
Inventory management is a strategic ecommerce issue that affects profitability and customer service. Additionally, many fulfillment centers have overstock inventory tying up valuable space. Here is a primer on liquidation strategies and ways to reduce overstock levels, freeing up valuable space and flowing dollars to the bottom line.
For many ecommerce businesses, even absent COVID-19, a profitable Christmas season will make or break the year. During the shutdowns, many 3PLs have remained open, serving clients even amid the labor challenges. Should you continue internal fulfillment or move to a 3PL? Here are seven considerations as you weigh the choice.