Commentary
How warehouse efficiencies make or break last-mile fulfillment and the impact on CX
Chris Anton, executive vice president at Snapfulfil, maps out the importance of last-mile fulfillment and how it ties into fulfilling customers' desires for a simple and highly visible shopping experience.
April 16, 2019 by Chris Anton — Executive Vice President, SnapFulfil
By Chris Anton, executive vice president at Snapfulfil
Customers want it free and they want it…almost now.
That's the finding from the National Retail Federation Consumer View Winter 2019 report. The NRF discovered nearly 40 % of consumers expect brands to offer free two-day shipping, a prime example of increasing consumer demands for fast and accurate order fulfillment.
And while the warehouse's role in the last mile may end at the loading dock, pick, pack and ship processes are still critical cogs in the fulfillment machine. The importance of last-mile fulfillment, with items arriving at the correct place, in the correct condition, at the correct time, is a given. Of equal importance is fulfilling customers' desires for a simple and highly visible shopping experience.
To meet increased expectations and keep the supply chain moving, warehouses must maintain efficient processes — both forwards and backwards — and continually evaluate operations for areas of improvement. And without deeper visibility into real-time data, this is quite a tall order. Let's look at the last mile through the lens of the fulfillment center:
The need for speed (and visibility)
In the last mile, minutes matter — especially as same-day delivery on items from groceries to electronics becomes the norm, with retail giants such as Amazon and Walmart leading the way. The same goes for the warehouse. Fulfillment executives know that they need to shave minutes off picking processes by redesigning warehouses for convenience. They also know packing stations need to be outfitted with the right equipment to ensure accuracy and maximize productivity.
To face these challenges head-on, fulfillment executives are turning to data collected across the warehouse to ensure they've achieved optimal efficiency. Some are choosing to adopt warehouse management systems (WMS) to help sort through the data, monitor inventory levels and enable easier identification of areas for picking and packing improvements. Streamlined picking and packing processes can help employees get the right goods to the right location, without sacrificing speed.
A WMS also helps ensure warehouses have the right inventory levels, order status and real-time order details while eliminating paper-based tracking and the human error that often accompanies it. This, in turn, increases overall fulfillment efficiency while providing the order visibility today's consumer requires.
The importance of reverse logistics
Just because goods leave the warehouse before the last mile concludes doesn't mean the warehouse has seen the last of them. Consider that 89% of shoppers returned an item in the last three years, according to Shopify, and in the great shift toward e-commerce, that's not surprising; 67% of shoppers check a brand's return page before even purchasing, Shopify found.
The returns process needs to be seamless to achieve a positive impact out of a negative situation and keep your customers coming back. Reverse logistics can often overwhelm warehouse employees, but a simple-yet-thorough returns process makes processing high-volume returns much smoother.
A WMS can help warehouses keep track of what types of goods were returned, why they were returned, whether they were damaged and where to stock them. This insight can also help warehouses plan properly for future high-volume returns days.
Pleasing today's customer: It takes a village
When it comes to making the customer experience exceptional, the first mile of the supply chain is as important as the last. By ensuring your warehouse processes are optimized to streamline picking, packing, inventory management and returns, you've done your part in allowing the last mile to start off — and end — on the right foot.
About Chris Anton
Chris Anton joined the Snapfulfil team in early 2013 and has nearly 20 years of supply chain industry experience, with a focus on warehouse management software. Prior to Snapfulfil Chris served in roles at HighJump Software, Vitech Business Group and JDA. Chris leads global sales operations for Snapfulfil and continues to manage its growth as a premier cloud-based WMS provider.
