An increasing number of e-commerce vendors are turning to third-party logistics providers because of their ability to greatly enhance their clients’ fulfillment processes. Vendors that are hesitant to integrate with their 3PL could be missing out on some of the valuable benefits from the partnership. What does it mean to integrate with a 3PL warehousing partner? Integration into your 3PL partner is a connection between both sides to ensure what is ordered, is what is fed into the warehouse management system. Doing so takes out any misconception and/or assumption from the warehousing team when populating the warehousing management system. Below are some of the top reasons to consider integrating with your 3PL.
Increased Visibility to Inventory
Integrations provide access to real-time inventory levels. The ability to pull accurate up-to-date information about inventory prevents issues like overstocking or running out of an item. This insight can lead to better customer service and a stronger handle on cash flow.
Reduced Errors Compared to Manual Order Entry
When it comes to manual order entry, it is simply a fact that human error will occur. The average typist accuracy is around 92%. Quality checking order entry can reduce errors that make it through the system. However, there is more time associated with these additional steps that lead to higher costs. Integration removes human touch from the equation, which eliminates any human errors from manual order entry.
Improved Fulfillment Efficiency
In addition to reduced errors, an automated solution creates consistency in the sending of orders to the 3PL. Manually entering orders can be inconsistent and has an upper limit dependent on available staff and time. The direct flow of information made possible by integration creates a seamless fulfillment process that can improve accuracy, efficiency, customer satisfaction, company reputation, and more.
Integration will save a company time and money. There is no need to hire and/or train a team member for order entry or take up staff member time entering orders. A 3PL typically charges higher account management fees for clients with more manual processes. Keying in orders by hand requires additional time and quality checks. Integrations remove the manual processes resulting in lower account management fees and fewer costly order entry mistakes.
The advantages of integration listed above can all have positive effects on your company’s reputation. As e-commerce continues to grow, customer expectations for fast delivery continue to grow as well. Staying competitive when it comes to fulfillment and delivery times is key to capturing sales and maintaining customer satisfaction. Interested in learning more about how an integrated partnership with Beyond Warehousing can benefit your business? Contact our team today!