subject: warehouse management The new realities of e-commerce and evolving custo
ID: 409945 • Letter: S
Question
subject: warehouse management
The new realities of e-commerce and evolving customer ordering practices will force companies to change the way their warehouses are organized and operated. More facilities will perform annual reviews and analyze their inventory slotting approach. The continuing growth of SKUs and smaller e-commerce orders will force organizations to create more “mini-warehouse zones” within their existing physical structure.” (Honeywell, 2014)
a. Discuss the e-commerce trend impacted warehousing strategies in handling online transaction based on except above.
b. Explain the main warehouse activities that address the online transaction movement from product in to product out based on the above scenario.
Explanation / Answer
A. The e-commerce trend impacted the warehousing strategies in handling onkine transaction is a huge way. The basic method of warehousing of storing in bulk has changed to storing large volume of orders they receive for individual items. Consumers are attracted with new ways of ordering and receiving goods through e-commerce everyday. Where sometime back e-commerce was a lengthy and risky process limited to the consumers who are connected to th digital world closely, today every other consumer finds it time saving and effective to purchase goods through e-commerce. The process from placing the order to making the payment to getting the goods delivered have become much more simplier and transparent. But this simplicity can be explained from the consumer's view. Seeing other picture of this changing trend is the manufacturer's role of warehousing. The trend of warehousing has changed with the rising market of e-commerce and online ordering. The expectations of consumers that the delivery of goods ordered should be made at a fast pace without any delay has made it a challenge for the warehouse management. The features of e-commerce and online ordering like single unit ordering, delivering direct to consumer and delivering at a short span of time has arised the need to change the size of warehousing, location and operations of warehousing. Local storage has become essential for single order bulk warehousing in e-commerce. Also the warehouse locations have to be close to the consumers so that delivery needs can be fulfilled on time.
B. As mentioned above, warehouse management plays a vital role in delivering the product to final consumer in e-commerce and online ordering business. They have to adapt certain trends and methods which allow them to follow the process of daily online transaction movement of products without any complications. The trend of bulk storage and bulk delivery has changed with the growing trend of online ordering of single orders and prompt delivery. Hence warehouse management activities will also have to be designed in a way that they meet the requirements of this change in marketing management. Cross-docking is an activity followed by warehouse that saves their time and money and helps to manage the order and delivery of products in a systemic manner. Cross docking means unloading the product on delivery to warehouse and loading it on the truck for delivering it to final buyer. It saves the hassle of storing the product for a longer time. Less or no handling and maintaining of the product is required in the warehouse in this process. It makes the process of delivering goods through online ordering very much efficient. Another method followed by warehouse management is shared space warehousing. This step again is cost and time saving as the warehouse space near a section of consumers is shared for various single order bulk ordering. It makes the ordering and receiving process efficient and effective. Developing a distribution channel near to the consumer is also a method followed by warehouse management. With the growing trend of e-commerce and online ordering warehouse management copes with the product in and product out movement in an efficient way through such steps.
Related Questions
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.