Things to Consider Before Choosing Warehouse Locations

There are many factors to take into consideration when opening a new warehouse facility. From location and build to storage requirements and labor force availability, making the right choices in regards to both warehousing and distribution methods could make all the difference for your company. While the below are what we consider the most important, this list is certainly not all-inclusive.

Physical Location

When deciding on which warehouse to use, choosing the one with the best physical location is important. The first question to ask yourself is, which region are you looking to serve? Ensuring your product is stored in a region near your customers is important for prompt deliveries. This also factors into considering cost. Calculating landed transportation costs to facility from manufacturing, and expected transportation costs from facility to end customer, will help decide where you can afford to keep your product.

The location’s proximity to carrier facilities should also be taken into account. Look for an all-encompassing solution that offers both warehousing and transportation to get the most bang for your buck, or ensure your storage facility is as close to your carrier as possible.

Build/Lease Considerations

After you decide which warehouse best fits your needs, you must take into consideration the locations build and lease parameters. Does the warehouse offer rail siding or transloading? Will racked or bulk storage be offered, and what suits your needs best?

Just the same, plan to consider what type of rental contract your warehouse offers. If you’re a seasonal product it might make the most sense to find a location that offers seasonal warehousing. Or, if your product’s demand ebbs and flows, can the location you’ve chosen offer more or less space depending on the time of year? Ensure you’re properly informed of immediate square footage storage offerings in addition to the long-term options available.

Storage Requirements

From hazardous materials, flammable product and food items, many companies manufacture products that have strict storage and firefighting requirements. Is the location you’ve chosen properly suited to handle your unique needs? And how will they handle the different requirements for products that require a chemical/foam system versus a water based system? Always be sure to also take any environmental concerns into consideration, are there any streams, ponds, etc. in close proximity? Asking these questions now will help you avoid disaster later.

Labor Force Availability

Fully understand the labor force available at your new warehouse location. Knowing your labor needs and seeing how they stack up against the facility’s is essential to ensure on-time delivery and future growth. Will the warehouse facility operate 2nd and 3rd shift (24 hour operation)? Are there competing businesses in proximity that will become a barrier to growth by limiting available labor capacity?

By taking the time to consider the above, you can limit frustration and ensure you’ve found the perfect fit for both you and the warehouse you’re selecting.

Supply Chain Management And Inventory System Play an Important Role in Order Fulfillment

Heavyweight player in e-commerce, Amazon, featured distribution center technology in recent years, Amazon has reinvented customer experience and expectations through supply chain innovation, enabling it to ship packages to customers within minutes of a received order.

Shipping costs are the primary factor in determining whether to shop online with a retailer.
Other key components of customer experience still matter – things like brand, personalization, and merchandising. Order fulfillment is now the key criteria consumers evaluate when making a purchase online. As a result, many e-commerce sites have been forced to offer free shipping. But this is not the answer.

New E-commerce Players Lead the Way
Chinadivision has strengthened the power of logistics and supply chain as a source of competitive advantage. As a new innovators, ChinaDivision has recognized that the key to success is rooted in a successful connection between supply chain management and inventory software.

ChinaDivision is a dedicated order fulfillment service provider where clients around the world connect, both online and offline, to source, stock and ship international goods directly from China.

Order Fulfillment Service is More Than Service

The transportation industry has become increasingly important in the order fulfillment. It is not just about your ensemble of communication, but also when your service come to a different country, it has to be suitable to the local transportation condition. if your order fulfillment service is well planed, but still there are unexpected conditions that make your order delay, that is not the only case, but also end up sitting in the warehouse, taking up valuable space.
Other challenges stem from under- or over-selling the product, insufficient inventory, limited production capacity and inefficient use of labor. How to avoid this?
first, you need to make sure your logistics is traceable. Using Internet technology to replace the traditional transport, where you need to make phonecall for every node, the transport path of every participants in communication merged into a single way of cargo tracking, aims to reduce the cost to make our clients can offer a better service for their guests.
second, make use of modern warehouse technology. As users generate orders for fulfillment, the warehouse management system (WMS)breaks the orders into logical units of work and distributes the tasks appropriately. with this up-to-date technology to direct automated material handling equipment and/or manual labor to execute the work.
So we can see, behind every order fulfillment, there are many things we can do, it is not just service, it is about to find out the right things to do to achieve the goal of order fulfillment. ChinaDivison is your ideal choice on order fulfillment.

How to Establish a Distribution Center in China?

About half billion people buy things online in China, people spend billions of money on purchasing imported foodstuff, skin care products, furnishings and clothes online. Since it is such a huge market, a lot of overseas brands opened their flagship store on Tmall (an online shopping mall of Alibaba group) and sell their products in China. For the e-commerce sellers who targeted the Chinese market,  getting a fulfillment partner and build a distribution center in China is very essential. As an experienced full-service order fulfillment company, ChinaDivision can help the global e-commerce sellers build a distribution center in China and expand their online business to a larger market.

 

security system in ChinaDivision warehouse

(The security system in ChinaDivision warehouse)

 

The third-party fulfillment provider which is capable to perform as a distribution center in China has to contain these:

 

Cost-effective warehousing service. Warehousing fee is a big part of the budget of running a distribution center, since you need to stock a lot of goods in it. The storage cost have to be taken into account. But cost-effective doesn’t mean cheap, the warehouse has to be secure as well, especially when the products you sell is far in China. ChinaDivision provides 90 days free warehousing service and all the insurance are covered. No matter the lost/damage caused by force majeure, manual handling or shipping, the customers can get compensation.

 

Customized packing. With the help of multiple package suppliers and customized packing service, you can ship the unpacked products in bulk and pack them in the distribution center in China, which will save you a lot of logistics fee. What’s more, ChinaDivision can also put user manual, product introduction, other promotional inserts in the packages. Well-designed product packages can help you build brand awareness among Chinese consumers.

 

Good at handling sensitive products. The most popular overseas products on Chinese e-commerce platforms are normally food or makeups, which are regarded as sensitive products by customs and express companies. According to Chinese custom policies, there are some restrictions about importing goods which contain liquid, powder, paste or cooked food, you have to provide some documentary evidence before selling them in China. In this case, choosing a fulfillment partner who is good at handling sensitive products are very important. With the experiences of B2C business, ChinaDivision has incomparable strength in this area.

 

Tech oriented inventory management. Distribution centers have to deal with very complicated inventory management operations, such as receiving, returning, refund, future shipping, etc. With so many goods shipping in and out, modern technology can be very helpful. ChinaDivision receives about 100 cubic meters of stocks and delivers more than 2000 packages every day in as an advanced order fulfillment center, bar code and inventory management software are used to make all the goods be processed properly and efficiently. Customers can register a ChinaDivision account and manage the inventory easily in the user center, once a new batch of goods arrived ChinaDivision warehouse, in another word, your distribution center in China, product quantities and details will be checked and verified against the provided data. You can see the changed status as soon as the goods are processed.

ChinaDivision Warehouse Fulfillment Service

Recently, warehouse of ChinaDivision in Shenzhen China are bracing for a flood of new inventories from clients around the world. Staff in the warehouse are busy handling these products, checking and verifying packages data before putting them on the shelves in a systematic way.

ChinaDivision warehouse

All packages are processed properly and efficiently

 

“ChinaDivision receives about 100 cubic meters of stocks and delivers more than 2000 packages every day in our order fulfillment center, ” says Michael, Head of Order Fulfillment at ChinaDivision. “ We really appreciate our clients’ trust and are committed to saving their time and money by offering 30 days FREE warehousing, high-touch service and first-rate technology as a China-based shipping and order fulfillment provider.”

scan barcode technology

scan barcode

(Wide utilization of barcode technology)

 

How It Works?

Flow chart of ChinaDivision warehouse fulfillment service Part I

(Flow chart of ChinaDivision warehouse fulfillment service Part I)

 

The user interface of ChinaDivision’s WMS (Warehouse Management System) is accessible and user-friendly. Clients register in the system, send goods to the warehouse and ChinaDivision will take care of the rest. Once inventories are received from their Chinese suppliers, product quantities together with details are checked and verified against the provided data to make sure products are received as prescribed. Clients will be notified as soon as any discrepancies occur. After quality testing, products will be stored in an organized, proper and well-marked manner. ChinaDivision also provides access to real-time inventory management, order management and online billing, saving clients’ time and money.

Flow chart of ChinaDivision warehouse fulfillment Part II

(Flow chart of ChinaDivision warehouse fulfillment Part II)

 

The order management software of ChinaDivision allows integration with different shopping carts, thus orders can be processed by ChinaDivision automatically and promptly. Packers in the warehouse are trained to pack orders into the smallest box or package while making sure there’ s adequate protection. This helps to cut down on the dimensional weight of the package, ultimately saving clients’ money. Prior to shipping orders, addresses are verified to avoid mistakes and reduce returns. Finally, with discounted last mile shipping, customers worldwide receive orders, safe and rapidly.

pick and pack - ChinaDivision

(Professional pick & pack)

 

“Among all those packages, apparel, consumer electronics and toys account for a major proportion,” explains Michael. Besides online merchants on eBay, Amazon or some other marketplaces, ChinaDivision also devotes to providing fulfillment and shipping service for crowdfunding creators on Kickstarter and Indiegogo. Contact ChinaDivision for an inquiry or get a free quote.