Traditional methods of warehousing have been changing rapidly, especially with a rise in e-commerce and new methods of managing storage, fulfilment and retail distribution called “On-demand warehousing” have come up in the last few years.
It is during the busiest seasons that many businesses need to scale up and find space for storage based on the demands of the customers. This might not be throughout the year and on-demand warehousing is a marketplace that allows customers to access shared warehousing and logistics services as per they need on a pay-per-use basis. Technology is playing a huge role in helping businesses understand the time and need of space for storage and connecting them to companies with available warehouse spaces. Retailers and brands are being provided with flexible warehousing solutions that help them handle their inventories at ease
Why On-Demand Warehousing?
Flexibility: On-Demand Warehousing helps in handling not only storage, but also ordering, stocking, picking, packaging, shipping etc. This provides the flexibility to decide what the company wants to handle and what they want outsourced to the partner.
Cost: In many cases, renting warehouses are more efficient than building one. This gives businesses the bandwidth to focus on innovation and growth without a fear of space limitations. This helps in advancing revenue-boosting growth whilst simultaneously managing costs.
Security: Installing security systems or hiring security guards is an expensive affair especially for large warehouse spaces. On-demand warehousing or fulfilment centre’s that rent out spaces take care of complete security and protection.
Future of On-Demand Warehouse
The thought is that on-demand warehousing is likely to become more prevalent among organisations as we move ahead, especially based on the continuous growth of e-commerce companies. In the years to come, people are only going to expect that the goods they ordered will be shipped to them in less than a few hours. This will directly lead to companies depending more on on-demand warehousing services.
For years, supply chains have been driven to be stable and predictable structures , but there has been a significant increase in demand for a more responsive system. Previously only cost cutting or increasing efficiency were important. Now, the important thing is to transform supply chains into sources of competitive advantage while simultaneously reducing costs and delivering top notch customer experience to compete with giants in the industry. Additionally, companies are unhappy with unused capacity or costly and messy solutions. This is where on-demand warehousing plays its wonders by providing storage handling, and fulfilment services at massive scales through seamless software platforms and on a variable cost basis. These are enabled by softwares that ensures establishment of fast connections between shipper and warehouse provider while also ensuring efficient inventory management, operations and invoicing. Due to this, on demand warehousing services produce a scalable and highly flexible spot market companion to the existing markets that are built on warehouse leases or property ownership. On demand warehousing is most commonly used to solve problems related to peak season inventory overflow, supply chain disruptions, and expanding e-commerce or retail fulfilment operations.
Navata Supply Chain Solutions enhances the utilization capacity of warehousing partners with ample spaces by helping them connect with businesses looking for scalable and flexible warehousing facilities. With an on-demand, pay-as-you-go model, Navata ensures that parties can secure complete warehousing and fulfilment solutions quickly and with ease, and with no long-term commitments or costly set-up charges