Modern Warehousing is a Valuable Asset in the
Wake of E-Commerce Growth
August 11th, 2016
With the internet giving shoppers’ unbridled access to just about any goods or services online, companies in a number of industries have shifted their focus to the e-commerce market. Despite the channel shift, physical warehousing still remains a valuable asset for organisations, playing a key role in the supply chain.
Efficient order management and warehousing is one of the most important responsibilities for any e-commerce organisation. Despite the recent growth, warehousing still operates on the same basic principles of receiving, sorting and storing goods until an order is placed and they need to be packed and delivered. In order to keep up with the demand of the online market, warehouses need to be able to operate efficiently.
The offline chain of events that manage the movement of ordered goods exists to keep the promises made on the online platform to maintain a customer’s faith in a supplier. For any e-commerce organisation, warehousing is an essential element in the management of supply and demand. It plays a strategic role in ensuring that the product is available in the necessary quantities when it is needed for shipment to avoid customer disappointment.
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There may be periods when the demand for a product is greater than others. Warehouse operatives can help organisations better manage and adapt to the ebbs and flows of demand. Access to warehouse space accommodates an organisation’s need for flexibility. One of the main challenges in managing a supply chain is that demand can change very quickly, while supply is not as responsive. Having a warehouse allows an organisation the flexibility to respond far quicker to changes in demand and cope with unknown or seasonal demand.
Ben Simpkin, Managing Director of MS Storage said:
“Warehousing remains a single constant among a changing retail landscape, and we’ve seen the overall square footage of warehousing increase year-on-year with more of our customers requiring greater volumes of racking and storage than ever before. While purchasing is moving predominantly online, there is still an ever present need for storage to cater for ongoing growth in the marketplace.”
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