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Warehouse order picking methods are an important aspect within any warehouse. Compared to shipping, storage, and receiving stages, order picking forms as much as 55% of operation costs in a distribution center. It also has a direct impact on how satisfied your customers are. If your picking methods in the warehouse are quick and accurate, your business will succeed. Here’s what you need to know about order picking and how to implement the key warehouse picking best practices.

What Is Order Picking?

Order picking is the process of selecting items from a warehouse inventory, to satisfy several independent customer orders. This is an important part of the supply chain process and has been considered the most labor-intensive and expensive activity for every warehouse. As mentioned, the cost of order picking is estimated to be as much is 55% of all warehouse operating expenses. Since order picking involves such a high cost and can directly affect customer satisfaction, companies are learning more about improving their processes to create a more efficient supply chain.

Types of Order Picking Methods in the Warehouse

There are many different types of picking in a warehouse and each one works as a customized solution for each business. Depending on the size of your warehouse and inventory, the manpower you have on hand, and the number of customer orders made each day, there may be certain methods that are more efficient for you than others. Consider the following types of order picking in the warehouse and learn how you can get quality advice and efficient management of your supply chain so you can focus on growing your business.

Single Order Picking

The most common type of picking is single order picking. The picker is provided one order at a time and then goes to the warehouse to find each item on the list before completing the order. However, in many cases, the sequence in which orders are given to pickers and the routes they follow are not optimized. The worker must always make a full trip through the warehouse just to fill a single order. This is not the most efficient method. Warehouse management systems (WMS) can help solve this problem and increase productivity.

Batch Picking

In this case, workers can pick multiple orders at a time, with both manual and automated picking. The manual picking environment works by allowing the picker to pick SKUs required for multiple orders at a time. This minimizes the travel time. With automated picking, the worker remains in one location while horizontal and vertical carousels deliver the required SKUs to the worker.

Multi-Batch Order Picking

This is the ideal pick and pack solution for cases when multiple smaller orders need to be distributed. These orders are more effective for workers that travel long distances within a warehouse. Multi-batch picking is used for orders coming from different areas in the warehouse, and thus reduces the order pick times by collecting numerous orders simultaneously. This process also reduces the time needed to process multiple SKUs.

Zone Picking

This method divides the warehouse into several zones and assigns workers to only work within a specific zone. Each zone can use its own type of technology and storage system, depending on what would work best for the SKUs stored in that zone, and the storage technology used in that zone. Orders can be picked in the past from zone to zone, or delivered to a specific point before shipping

Pick and Pass

This strategy involves passing orders from one zone to another for fulfillment. If an order originates in zone A, a worker adds all the SKUs required from that zone before it passes onto zone B. This is repeated until all the items can be taken to shipping. To maximize productivity with this method, order management software (OMS) can be used to manage the order flow.

Order Consolidation

This method is an alternative to pick and pack. Each zone selects the SKUs required for the order simultaneously. When one zone’s partial order is complete, it is sent to consolidation until the SKUs from the other zones arrive. When all the SKUs are together, the partial orders are matched up into one large order. This order is then sent to shipping. This is a very advanced strategy that required inventory management software (IMS).

Advanced Systems Picking

In this system, totes for individual orders travel from zone to zone where they are delivered into picking stations were a worker is picking from carousels. These batch stations use specific systems to direct the correct quantity to each tote. During this process, the bulk components of orders can be picked by workers on forklifts who are doing one order at a time or batch picking. All these components are brought together in consolidation.

Contact APS Fulfillment, Inc. for Warehouse Order Fulfillment Services

Improving your order picking process will take time, so making sure that you are managing it as best as possible is vital. However, if you are a small- to medium-sized business, you may not have the manpower and tools necessary to get the job done efficiently. Therefore, working with a third-party logistics partner (3PL) can help you. There are many advantages to working with a reputable provider, especially if you want to get your products out to your customers faster, in better condition, and handle returns and issues more efficiently. Without an efficient order picking process, you may be unable to meet your goals and please your customers.

At APS Fulfillment, Inc., we provide value to our clients by offering the most dependable, effective warehousing solutions possible, every day. We are an experienced e-commerce order fulfillment company that can provide advice on which order picking strategy is best for you, and we offer our clients a variety of hands-on services. Our services include product fulfillment, direct mail marketing, fulfillment solutions, and fulfillment markets. We also use the best quality software systems to manage your warehouse, so if you’re looking for the right company, look no further than APS Fulfillment, Inc. You can contact us by e-mail at [email protected] or by phone at (954) 582-7450.

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If you’re new to the e-commerce industry, you may have some concerns regarding setting up an effective web site, finding your target customers, meeting your customers’ needs with your products or services, and providing quality customer service. Among these concerns, the most important aspect is solving inventory management challenges. Inventory management is so important because it affects every other area of your business. Managing inventory can be challenging for well-established businesses, so ensuring your startup is prepared to avoid inventory management mistakes is key to your success. Here are the most common inventory management mistakes by e-commerce startups and how you can get help to prevent these mistakes.

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Cutting transportation costs has continued to be one of the greatest strategic challenges in global logistics, but there are many more to take note of as you form your strategy for 2019. The following list includes the top logistics challenges that businesses should be prepared to overcome this year. If you are currently experiencing any of the following setbacks, working with a third-party logistics (3PL) provider can help. Here’s what you need to know about the challenges faced by the logistics industry today and where you can find effective solutions.

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The warehousing and fulfillment industry has never been more popular. Thanks to the exponential growth of e-commerce sales, there is more interest and opportunity in fulfillment services than ever before. But the growth of e-commerce fulfillment is more than an increasing interest—the industry has been taken to new heights because of a new method of doing business known as on-demand warehousing and fulfillment. Over the last few years, on-demand warehousing has been one of the major goals of online retailers to achieve success and get ahead of their competitors. What is on-demand warehousing and fulfillment? Keep reading to find out.

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If you run an organization that sells food, cosmetics, supplements, drugs, or other medical products, CGMP standards and regulations matter. Especially in cases where you use outsourced providers to store and distribute your products, you will need to ensure these standards are met all across your supply chain. But what does CGMP stand for? Why do organizations need to meet these standards? If you need warehousing and fulfillment solutions in Miami, Florida, how can you be sure they are properly certified for CGMP? Here’s what you need to know about CGMP warehousing and the answers to questions like these. The following information will help you choose the right third-party logistics partner to provide you with safe solutions for your consumers.

The differences between business to business (B2B) and business to consumer (B2C) may seem confusing and complicated if you are new to either industry. There are many clear differences between these two operations, and each works in a unique way to help businesses succeed. Here’s what you need to know about each process and what makes them so different.

To stay competitive in today’s tough market, the location of your warehouse is vital. This factor could mean the difference between the success or failure of your company. Wondering what to consider when choosing the location of your warehouse fulfillment in Miami, Florida? Here’s what you need to know.

Warehousing Location: Why Is It So Important?

When fulfillment companies bring in new clients, they consider everything from order volume metrics, to product type, to SKU. Most fulfillment companies prefer clients with low SKU counts and high volumes, since these are the easiest to process. A high volume generates greater profits, and a low SKU count means more of the same products and as a result, easier inventory management. If you have high SKU counts, but don’t necessarily have a high volume of orders, it’s important to know what type of order fulfillment services in Florida can help. But first, here are the basics.

What Is a SKU?

Most commonly abbreviated as “SKU,” a Stock Keeping Unit is an alphanumeric code assigned to identify a product in inventory. It represents different product characteristics, such as the size, color, and brand. Each product variation in a retail store has one and it is used to manage inventory efficiently. The retailer has the liberty to choose their SKU, unlike UPCs (Universal Product Codes), which are universal. Although there are no rules to how SKUs are created, all employees should understand how each characteristic is identified within the code. They are meant to be easily read, unlike UPCs or barcodes that need software or equipment to decode.

How Are SKUs Used in e-Commerce Business?

SKUs are designed to help retailers keep track of their inventory better. They are especially helpful for businesses that work with a third-party logistics service. When you work with a new 3PL provider, they may ask you how many different SKUs you have in your inventory. This helps them know how much storage space you will need in their fulfillment center, and how complex your orders may be. Many of these providers store each SKU in its own shelf space or bin to simplify the picking and packing process, and make it more efficient and accurate. Many 3PL providers offer a comprehensive inventory management solution that offers some or all of the following SKU-based services:

• Sync inventory by pulling SKUs from your online store automatically
• Show real-time inventory counts organized by SKU
• Set reorder notification points per SKU
• Bundling SKUs for promotions
• Merging the same product across e-commerce platforms
• Kitting SKUs to be assembled a certain way before shipping

Impact of SKU Count on Fulfillment Services

Many factors affect the pricing of fulfillment services, and not all involve inventory quantity. Clients with more SKUs require better management as these products move in and out of a 3PL provider’s center. Since more time and labor are required to make this happen in a timely and efficient manner, the cost will increase. This is one of the reasons why many 3PL providers prefer working with clients who have smaller SKUs. Here are some more reasons why.

Reasons Fulfillment Centers Sometimes Focus on Small SKU Customers

1. Smaller SKU counts mean there is less time required to get set up. The 3PL provider must add the inventory items into their Warehouse Management System (WMS), set up space in the picking area, and put other systems in place. If a client has a larger SKU count, all of these tasks take more time.
2. The less SKUs, the less risk of picking errors. Too many SKUs that are similar in size and appearance can make it more challenging to pick items correctly.
3. Smaller SKU counts mean less time processing received products at the dock.
4. The more SKU numbers, the more warehouse space required, and since many are set up to separate bulk storage from picking space, more SKU numbers would mean the 3PL needs a larger pick space.

Tips for Selecting a Fulfillment Company when You Have a High SKU Count

Although many fulfillment companies shy away from clients who have a high SKU count, there are still those that take the opportunity head-on. Some companies are able to help small and large SKU clients, and some focus almost completely on higher SKU clients. Here are some tips for selecting the right fulfillment company to handle your high SKU count.

• Find out how long the provider has been working with high SKU clients.
• Ask for references of other high SKU count customers to find out how well they perform.
• Tour their warehouse to see their inventory management in action. Pay attention to their picking and packing process, procedures, and technology they use to eliminate errors.
• Be wary of simply choosing the lowest cost solution. High SKU counts require more fulfillment time if you want it done correctly, so the cost will be higher. The lowest cost provider may sound like a good idea, but you could be in jeopardy of errors.

Affordable e-Commerce Fulfillment Company in Florida

E-fulfillment services in Florida seem to cater more to clients with smaller SKUs, but as a business with high SKUs, it can be challenging to get the help you need to move your products. Thankfully, there is a fulfillment company near you that is equipped, staffed, and experienced to take on high SKU numbers. We understand change can be stressful, and it is our goal to help you manage your business more efficiently.

APS Fulfillment, Inc. is one of the most experienced and trustworthy 3PL providers. We offer dependable, quality, and effective e-commerce fulfillment services and we can help you if you have a high number of SKUs to manage. We’ll take care of your fulfillment operations, so you can focus on the key parts of your marketing and sales efforts. We offer our clients a variety of hands-on services including product fulfillment, direct mail marketing, fulfillment solutions, fulfillment markets, and more. We also use the most current and quality software systems and technology to manage your warehouse with as little risk as possible.

If you’re looking for the right company to team up with, look no further than APS Fulfillment, Inc. You can contact us by e-mail at [email protected] or by phone at (954) 582-7450.

Inventory turnover is described as the cost of goods sold compared to the average inventory over the same period of time. It is generally simple to calculate and provides important insight as to where problems with inventory exist. However, inventory turnover analysis and management isn’t a one-size-fits-all approach for all companies and your company may need a specific strategy. If you want to know how to improve inventory turnover, keep on reading.

The Importance of Inventory Turnover Analysis

If you want a successful order fulfillment process in e-commerce, you need to make sure you’re getting the right products to the right customers at the right time. Although the final version of your e-commerce order fulfillment process may vary, there are key steps in the order fulfillment process that will help you ensure that you have an efficient system for your business. Keep on reading to find out what they are!

Key Factors of a Successful e-Commerce Order Fulfillment Process