So you want a new warehouse, but you don’t just want a space for storage. Choosing a warehouse location strategically will provide the greatest protection and opportunities for your business. But what makes a warehouse’s location strategic? We’re here to help:
Consider Your Clientele
If the majority of your clients are in one corner of the world, it makes sense to have a supply chain hub near them for the best customer service even if it costs a little more. But if you’re shipping far and wide across the globe, you’ll want a supply chain partner with access to a large network of warehouses to help you strategically place inventory for quick access. Considering their needs will help you continue to provide great service.
Pool Your Resources
The location might not be the only things to consider when choosing your warehouse. How you ship to your customers might, too. If you’re dealing with large bulk orders, you’ll want a warehouse with a lot of throughput quickly. But if your business deals primarily in smaller orders, working with a 3PL that can meet many business’ needs at once with consistent less than truckloads will save you time and money. Pooling resources will also give your supply chain team access to cutting-edge technology and decrease costs for services like climate control and building maintenance.
Look for World-Class Access
Ideally, your business is going to keep growing and changing. So, whether you need it today or not, it’s a great idea to consider the amount of access your warehouse has to the rest of the world. Is it within a few hours of an international airport or a port? What about a train? How close is it to the highway, and how hard would a reroute be on your turnaround times if access to that highway wasn’t available? All of these things and more can impact a customer’s experience if you’re unable to get product to them or receive it quickly from the manufacturer.
Expand Your Existing Network
A great warehouse location should come with perks and business opportunities that will help you grow. Working with a 3PL partner can give you access to a lot of supply chain technology and a large, dedicated staff as well as resources to provide better customer service, but it can also give you access to new clients and business partnerships as well. By working the same logistics coordinators, there is a greater possibility you’ll have clients with co-existing needs that both companies can solve together. A good 3PL will expand your network of carriers and supply chain tracking, but a great one can open you up to a wide variety of networking opportunities.
As you likely can already tell, many of our suggestions for helping you select a warehouse are based upon the future of your business. Just like moving into a new house, moving warehouses is complicated, takes time and can cost quite a bit. So, having the needs of your business today and your plans as you continue to grow are important to keep in mind today to keep from hindering profitability and growth. Ideally you want a great relationship with your warehousing team that lasts as long as is reasonably possible. So, keep the future in mind as you consider your options.
Choosing a warehouse for your business is a big step in your business’ growth journey, and its location can either create headaches or opportunities for your continued success. We hope this blog has helped clarify your plan of attack, but sometimes speaking to an expert is best for personalized advice. Reach out to our team for more information on how to select the right warehouse location according to your business’ needs.