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While quality production is important, the core of business success lies in the warehousing and distribution of those products. After all, without the ability to get the products to the customers, quality production doesn’t mean much at all nor will it help the company achieve any level of success.
You might equate it to a great chef who puts together a great meal but has no one in the restaurant to eat it. Who is going to know how good he is if no one tries any of his recipes? The same holds true in the area of warehousing and distribution–the products must arrive in the hands of those who need them or they are useless.
What about small companies that don’t have the facilities or funds to finance their own warehousing and distribution areas? You can still maintain quality warehousing and distribution functionality even if you rent your warehouse space or choose to outsource those functions.
You are still in control of the methodology by which those products arrive in the hands of your customers. Even those companies that choose to use a fulfillment company to handle warehousing and distribution have the ability to decide when the products will be delivered to their customers and by what means.
Developing a quality warehousing and distribution area is essential to the success of your company not only in the beginning but throughout its lifetime. In fact, to develop a high quality warehousing and distribution area you should begin before your company is ready to open for business. Making it part of your pre-opening planning will allow you to take the necessary time to make the right choices including the research necessary to determine the best way to set up your warehousing and distribution functions.
One thing to keep in mind is the success of your business does not depend on your company owning its own warehousing and distribution areas but rather of it having enough control over those functions to ensure the customers are taken care of in the same manner you would take care of them. Whether you are working with a fulfillment center to handle those functions or doing them yourself is of no relevance; the important part is the manner in which your customers are handled.
You need to be in control rather than let someone else tell you when they are going to deliver orders to your customers and using which transportation methods. Remember, even if you outsource warehousing and distribution, you are paying someone to do those things and should be able to determine how those functions should be performed.