It’s safe to say the last few years haven’t been predictable or easy. Navigating the trepid supply chain has been exhausting. We are all hoping for a better year, but we’re asking, will the supply chain improve in 2023? We think that even if there may be some problems, there are ways to overcome them.
Although lack of transportation or fuel fees may not be our biggest issue this year, there are challenges that we will still face in trying to get products to our customers. Let’s take a look at the future of warehousing to see if there are improvements we can make to protect or enhance the supply chain for 2023 and beyond.
COMBATTING AN UNCERTAIN ECONOMIC CLIMATE
A much-anticipated recession is on the forefront of everyone’s mind. Inflation has taken a toll on many Americans. The dollar doesn’t stretch as far. Businesses are getting hit at the forefront. Everything from hourly pay to price per gallon is affecting the bottom line. How do we carry on in such an unforgiving and unpredictable landscape?
The key is innovation. Staying ahead of the curve. Continuing to leverage technology to help cut costs, improve efficiencies, and overall combat any supply chain missteps that impact profit.
Learn more about technology improving the supply chain:
THE ROLE OF TECHNOLOGY IN FOOD LOGISTICS
Some predict, however, as we continue to see the potential for a recession, that could be a good thing for freight rates. The correlation between freight cost and cost to the end consumer is no mystery. Much of the reason for increased prices is due to the astronomical increase in freight (more than doubling for trucking since May 2020 alone, without calculating in fuel surcharges!). With consumers tightening their belts and buying less, this should help freight rates and continue to help level out the costs.
Learn how Prism stays nimble by streamlining distribution and transportation:
HOW DO 3PL COMPANIES STREAMLINE DISTRIBUTION AND TRANSPORTATION?
OVERCOMING LIMITED WAREHOUSING SPACE
Although costs seem to be increasing, demand certainly hasn’t gone down yet. Growth is always the goal, but many servicers are struggling with finding the space. Storing, handling, and managing goods can have a huge monetary impact. Building your own personal warehouse costs hundreds of thousands to millions.
But partnering with a warehousing third-party (3PL) logistics can give you the space you need to overcome any barriers and keep expanding, without the same kind of monetary commitment.
At Prism Logistics, this thankfully isn’t a worry for us. With over 2,300,000 square feet, our warehousing space is plentiful and ready to take on the challenges or needs of your business. We work with many food, beverage, and CPG companies of all sizes to assist in their receiving, storing, and shipping of goods.
Discover how one small business found their right fit with Prism: Scott’s Goldilocks Story – Finding the Right 3PL in Northern California
MOVING THROUGH AN ONGOING LABOR CRISIS
Labor crisis is quite the ongoing buzzword and topic as of late. We can all relate to the crunch of needing more staff, but not being able to find the bodies. You do have alternatives if you’re struggling to find workers. A great option is looking to partner with someone in the business that you trust and offers the services you’re looking for.
Partnering with a reliable 3PL that listens to their customers AND their employees needs will be crucial so you aren’t hit with labor issues impacting your experience. Prism is a family-owned, ethical organization that puts its people first. We’re committed to the success of our team and our customers. We consider all of our employees an extension of our family, and that’s felt through the handling and care placed in our warehouse. Since we’re the last touch before product is delivered to your customers, we are honored and proud to have one of our family members be the face of Prism and your service.
MORE CONSIDERATIONS FOR PARTNERING WITH A 3PL TO EXCEL IN 2023
Still feeling apprehensive about the future of warehousing logistics and how you might overcome some of these challenges? We feel finding the right 3PL to assist is what you need. Not only can the partnership enhance your chances of combatting the labor crisis, it eliminates a warehouse space issue and helps prepare you for a turbulent economic climate by not investing thousands on your own. On top of all that, we believe a 3PL will expand your product’s footprint and help you provide a level of customer service that’s difficult to achieve on your own.
Expanding your Footprint
With a larger operation, your distribution opportunities can expand tenfold. We know that it’s rarely possible to experience this kind of growth in-house without a lot of payout. Partnering with a 3PL means you can leverage our expansive team and freight opportunities to get your product more places.
Enhanced Customer Service
Is there a disconnect in your current system of communication to your customers? We keep technology on our side to ensure you (and your customers) are kept in-the-loop on exactly where shipments are. This allows you to predict any necessary reshipments and ensure safety standards are met. Being able to anticipate customers’ needs before they do (i.e. sending out a reshipment of spoiled goods preemptively), means happier customers and end-consumers.
Overall, the future of warehousing logistics seems to be looking up. There are a few hurdles in our path, but can be easily overcome with the right partnerships. Staying ahead of the competition and any other potential setbacks
READY TO LEARN MORE ABOUT PRISM?
Wondering what the right 3PL partner might look like? Getting quotes, touring facilities, and doing some research can help you find the perfect fit.
Prism Logistics strives to be continually adapting and growing. We pride ourselves on operational excellence and our thriving relationships with major CPG and Food & Beverage brands. Learn more about Prism’s long-standing reputation of excellence, teamwork and growth.