How to Boost Your Order Fulfillment Speed

With razor-thin margins and sky-high customer expectations, getting your order fulfillment process up to speed is no longer optional. It is now an essential part of every e-commerce business that involves a series of steps like receiving, putaway/storage, and, let’s not forget, the all-important order picking, which accounts for a staggering 50% - 70% of operating expenses.

This article will explore the ins and outs of taking your fulfillment journey to the next level. We’ll explore technological innovations like robust and powerful WMS (Warehouse Management Systems), untangle the intricacies of inventory management, learn how to leverage a fulfillment network to broaden your network, and more! 

What’s to come: 

• The fundamentals of order fulfillment   
• Turn your fulfillment into a lean, mean, speed machine
• Optimize order picking
• Technological solutions for efficient order fulfillment
• Optimizing your warehouse layout and operations
• Leveraging third-party logistics (3PL) providers

Understanding the fundamentals of order fulfillment   

When thinking about order fulfillment, imagine it more like a relay race, where speed and precision are your besties. Here’s a breakdown of essential steps to ensure your products sprint from shelf to doorstep in record time:

Step 1 - Goods in: First things first, your products have got to enter the warehouse smoothly. This is, after all, where the magic of fulfillment begins.

Step 2 - Warehousing: It’s the pitstop where products chill before they hit the road. It’s all about smart storage here.

Step 3 - Pick and Pack: This step is the heart of the hustle - grabbing the right items and packing them up as snug as a bug for the journey to come.

Step 4 - Shipping: Off they go! This step is where your goods take flight (or a nice ride with a truck driver or on a boat) to meet their new owners.

Step 5 - Returns: Sometimes things don’t work out, and you know what? That’s okay. This step is about making the return process as painless as possible.  

You might be wondering: “But what about the customers?” And you are right to do so. Yes, customers are kings (or queens) when it comes to online shopping and they are not shy about it. In fact, a whopping 34% of customers won’t wait more than two days for their goodies. 

To do this, you can juggle the order fulfillment process like a pro in several ways: in-house, third-party fulfillment (3PL), dropshipping, or even a mix-and-match concoction of some - or all of these ways. It’s kind of like choosing your adventure. How fun! 

How to turn your fulfillment into a lean, mean, speed machine

So, how do you turn your fulfillment process into a lean, mean, speed machine? Here are a few pro moves you can adopt: 

• Strategic warehouse placement: Location, location, location! It’s real estate for your products.
  
  
• Supply chain visibility: Keep an eagle eye on your goods from start to finish. No question marks - and no surprises!
   
• Inventory accuracy: Count ‘em right, and count ‘em often. Your stock numbers should leave no room for uncertainty. 
  
  

How to optimize order picking 

Now, for the most important part: optimizing order picking. This is where you really rev up your fulfillment engine: 

• Warehouse organization: A place for everything - and everything in its place
  
  
• Receiving process: Optimize this, and everything else will sing
  
  
• Utilizing bins and dividers: It’s like Tetris … but for real life!
  
  
• Reducing walking time: Less steps taken mean more speed
  
  
• Ergonomics: Keep your team happy and healthy - and there will be no stopping them
  
  
• Light-directed technology: Let there be light … guiding your pickers to victory
  
  
• Scan verification: Beep! That’s the sound of mistakes being zapped away
  
  
• Timely replenishment: Keep those shelves stocked and ready for action
  
  
• Returns management: Make it smooth, make it swift
  
  
• Establishing KPIs: Measure it, improve it … and then measure some more
  
  
• Picking strategy: Choose wisely, young grasshopper
  
  
• Utilization of a consolidation area: Bring it all together before it heads out

Phew! I know that’s a lot to take in, but I believe in you. Keep these steps and strategies in mind, and you’ll be setting the pace in the order fulfillment race. Let’s do it! 

Technological solutions for efficient order fulfillment

Come with me, and you’ll be in a world of … technical solutions. 

Stepping into the world of technological solutions, here are some digital caped crusaders that are worth the investment: 

• Warehouse management systems (WMS): A WMS automates and organizes everything from vendor management, stock replenishment, inventory management, order processing to shipping.
  
  
• Order management systems (OMS): An OMS keeps your orders synchronized across all channels and platforms.
  
  
• Inventory management systems (IMS): These systems are the backbone of efficient inventory control, allowing you to monitor stock levels, track product movements, and optimize order fulfillment. With IMS, you can streamline your inventory processes, reduce stockouts, and ensure timely deliveries to your customers.  

So, my fellow fulfillment fanatics, by embracing these technological marvels, you’re not just keeping up - you’re setting the pace. 

Optimizing your warehouse layout and operations

Alright, let’s roll up our sleeves and dive into the warehouse layout optimization. Here’s how to optimize your warehouse layout and operations like a boss. 

Warehouse layout: The blueprint to success

• Maximize space with smart designs: Based on your loading and unloading zones, consider different shapes like U-shaped, L-shaped, or I-shaped layouts to streamline operations. Use tall storage systems like heavy duty pallet racks to make the most of vertical space, and implement zoning strategies like product family zones to keep your inventory organized and accessible.
  
  
• Flow like a river: Organize your warehouse to ensure a smooth flow of goods, with high-demand items placed closer to shipping areas to cut travel time. Implement cross-docking for high-velocity items to reduce handling costs.
  
  
• Flexibility for the future: Ensure your layout can adapt to seasonal changes or new product lines with dynamic shelving and storage options. 

Tech and equipment: The power players

• Choose your champions: Pick the right storage systems, manual or automated, based on product needs and business requirements. Equip your team with the best tools for the job - forklifts, pallet jacks, conveyors, etc.
  
  
• Embrace technology: Embrace technology like WMS, OMS, IMS, RFID, and barcode tracking to keep everything flowing smoothly and visibility into everything.
  
  
• Data-driven decisions: Utilize WMS to analyze current throughput and identify inefficiencies. Regularly take a look at your operations and lean on KPIs (key performance indicators) like picking accuracy and order cycle time, to keep improving. 
  
  

Best practices: The winning moves

• Optimized picking strategies: Implement picking strategies like zone picking or batch picking.
  
  
• Smart slotting: Use data-driven slotting optimization to place items based on how often they’re sold and which items are frequently sold together, making your pickers’ job a breeze.
  
  
• Ergonomics and efficiency: Design picking and packing areas that are not only efficient but also ergonomic. Happy workers mean faster, more accurate work. 

Remember: Keep tweaking, keep optimizing, and watch your operation transform into a fulfillment powerhouse. 

Leveraging third-party logistics (3PL) providers

Alright, let’s now talk about the nuts and bolts of leveraging third-party logistics (3PL) providers to give your order fulfillment an adrenaline shot: 

• Tech-driven 3PL partnership: Connecting with a 3PL that has tech in its DNA means you’re getting all the benefits. This benefit becomes even more staggering when you use the same technology as your 3PL (talk about easy onboarding!)
  
  
• Strategic locations for speed: By having warehouses dotted across the US, a 3PL can get your products zipping to your customers’ doorsteps with the speed of a two-day ground shipping model. This is how you can cover 80% of the population without incurring the cost of having multiple warehouses scattered across the United States.
  
  

• The fulfillment network factor: Now, remember how I said we’d spotlight fulfillment networks? Well, here’s where they shine. A network like Zenventory’s Fulfillment Network (or ZFN) provides you access to a whole smorgasbord of trusted (and even more importantly, vetted) 3PLs that will help you broaden your network and your reach. 

So, there you have it. By teaming up with a 3PL, you’re not just outsourcing logistics; you’re upgrading to a premium service that scales, saves, and speeds up your order fulfillment. And with a stellar network like ZFN, you’re setting yourself up for a win against the competition.

Final thoughts

Throughout this explorative journey into how to boost order fulfillment times, we have learned about the intricacies of order fulfillment. From unraveling the robustness of warehouse management and the adoption of cutting-edge technologies to championing the virtues of third-party logistics, we’ve dissected the components that streamline the fulfillment cycle, thereby slashing delivery times and enhancing customer satisfaction. 

Equally important is the undeniable advantage provided by fulfillment networks, which act as critical arteries in the supply chain network. For businesses aiming to refine their fulfillment strategy and gain a competitive edge in this high-stakes marketplace, get fast fulfillment with Zenventory’s fulfillment network - and ensure no opportunity to accelerate order performance is missed.