Top 5 Signs to Watch out for When Your Business Really Needs a Third Party Warehousing and Distribution Contractor

November 8, 2016

As businesses grow, so does the need to maintain efficiency or else the way companies handle, store and distribute their products becomes overwhelmed. When that happens, companies begin to suffer in many ways, mainly, products can get misplaced, mislabeled, and not delivered on time. Fortunately, there are things that business owners and managers can watch out for to prevent any disruption of the company’s operations.

5 Signs That Your Business Needs a Third Party Warehousing and Distribution Contractor

Nearly every business today deals with physical products of some kind that needs to be stored, handled, packaged and distributed. With that said, this distribution process can become pressed and stretched to its limits, until signs of inefficiency rears its head. That is when contracting a third party warehousing and distribution contractor becomes a welcome solution.

1. Growing out of room – companies that grow quickly often run out of storage space for stocks, and areas dedicated for handling, wrapping and packaging become overcrowded as every available space is used for storage purposes. In this case, leasing warehouse space to store materials and stocks that are not absolutely needed is advised. By renting extra warehouse space, areas become available to expand packaging and wrapping operations, or for any use that will benefit the company the best.

2. Accumulation of non-essential material and stocks – it’s true, as a company grows, not only do space become limited, but non-essential items will become more noticeable. As soon as that happens, before your company’s distribution and storage capabilities become strained, contacting a packaging and warehousing contractor to discuss storing non-essential materials and stocks, to free up space, is the best solution.

3. Need to hire more staff – for businesses that fulfil and ship their own orders, hiring extra staff becomes a necessity. Unfortunately, finding, hiring and training staff can easily become a financial burden and can even hinder order processing and shipping. Outsourcing the work to a third party packaging company can remove the burden of hiring, training, and managing staff, as the logistics company will become responsible for finding, hiring and training needed staff.

4. Too busy – if you are too busy fulfilling orders that you are unable to dedicate time to focus on your company’s growth, then that is a sure sign you could use the help of a third party warehousing and distribution contractor. Owners and managers of businesses ‘need’ to be able to focus their time on sales and marketing, or else a company’s growth and operation could suffer.

5. Increased expenses and less efficiency – companies can actually save money by hiring a logistics company, this is especially true as companies grow. Instead of investing much-needed money into enlarging storage capacity, businesses can rent storage space instead. This frees up money that can be used to grow the business even more.

For more information about the benefits of hiring a warehousing and distribution contractor, you can contact Challenge Packaging and Warehousing Solutions today.

Contact Us

Address: Unit 3, 8 Weddel Court Laverton North,
Vic 3026

Telephone: (03) 83609736
Fax: (03) 83609738
Email: info@cpacks.com.au

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