Distribution Centre is a warehouse used for receipt, temporary storage, and redistribution of goods according to the customer orders as they are received. Also called branch warehouse or distribution warehouse. In 2016, total e-commerce sales reached $394.9 billion, and initial findings suggest 2017 will surpass last year’s sales. Thus, warehouse and distribution center management will face added pressures to do more this year with the same, if not fewer, resources. But effective and successful distribution management should take advantage of technological advancements and encourage innovation to meet demands of e-commerce and omni-channel sales.
Strategy 1: Use Technology to Work Smarter, Not Harder.
Distribution centre management technologies have advanced over the years beyond the standard, pen and paper recording. Modern technologies can automatically identify products, reorder product and much more. However, it is up to warehouse managers to implement and use these technologies to work smarter, not harder. Meanwhile, new systems can provide better benchmarking and management of overall systems. Peaks in warehouse operations, especially during the holiday season, can increase by many folds. This means every aspect must be managed and controlled. Technology provides numerous instant sources of information almost accurately.