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Data, E-Commerce, Fulfillment, Warehousing
Taylor Logistics Fulfillment Services

Gathering the right data and calculating the right key performance indicators (KPI) is a no-brainer when it comes to improving fulfillment operations. KPIs help to identify bottlenecks, plan out warehouse operations, and measure overall customer satisfaction. If you partner with a third-party logistics provider (3PL) to outsource order fulfillment, they should be instrumental in helping establish relevant key performance indicators and provide you with detailed reports. Whether the goal is to improve efficiency, reduce delivery time, or increase levels of customer satisfaction, there is an appropriate metric to measure progress and performance. The next question is what specific fulfillment metrics you should put in place to enable further discussion, which is what we’ll look at next.

Customer Metrics


On-Time Shipping Percentage: This refers to the percentage of orders which are shipped on time. Because as many as 70% of customers are less likely to shop with a retailer who does not meet the promised delivery window, this is a significant number to track. 

Total Order Cycle Time: This refers to the average processing time from the moment a customer places an order to the moment that it is shipped. It includes all processes that fall within that window. As customers become more and more accustomed to same- and next-day delivery options, understanding how your operation performs and how you can improve your performance matters. 

Internal Order Cycle Time: This specifically refers to the amount of time that it takes for your operation to process an order internally. Measuring the moment an order is released into the warehouse for processing to the moment that it is shipped. 

Perfect Order Percentage: Perfect order percentage looks at several different metrics to determine what percentage of orders damage-free, ship on-time, complete, and with correct documentation. By understanding your perfect order percentage, you can take action to improve your order accuracy and other pain-points within your operation.

Inbound Metrics


Take note of what’s coming into your warehouse—if you don’t account for what’s coming in, it’s impossible to be accurate about what’s leaving. Specific KPI’s for inbound metrics include:

Dock-to-stock cycle

Inbound orders received

Lines received

Outbound Metrics


It’s all about ensuring a quick turnaround from receiving your products to shipping them off to where their destination. This is where contract packaging services come in to play for your warehouse. Specific KPI’s for outbound metrics include:

Order fill-rate

Orders picked per hour

Lines picked per hour

Line fill-rate

Outbound order fulfillment

Financial Metrics


Taking stock of pertinent financial metrics can make all the difference when it comes to determining your long-term strategy. Make sure that you’re cutting lesser-valued services and streamlining your operations where you can. Specific KPI’s for financial metrics include:

Distribution costs (as a sales percentage and per unit shipped)

Inventory days of supply

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E-Commerce, Operations, Processes, Warehousing
Taylor Logistics Inc. Blog

Pick-and-pack is a form of value-added service that is an integral part of supply chain management. Pick and pack fulfillment is the process that occurs after an order is placed from an online store. Picking is using a pick list to find the proper quantities of each product from its respective location in the warehouse. Packing is the placing of the items into the appropriate box, along with packing materials and documentation before the package is labeled and shipped to the eventual destination.

Cincinnati-E-Commerce

To reduce the cost of e-commerce fulfillment, the pick and pack processes need to be as streamlined as possible. For picking, this means reducing the labor required to choose the right products for an order. Fulfillment centers that do pick and pack have a few different ways to do this:

Batch picking


orders will be done in batches all at once instead of one at a time.

Piece picking


is when an employee handpicks each product for an entire order, as they come in.

Taylor Logistics Inc. Pick and Pack

Many fulfillment centers will have a warehouse management system (WMS) that can detail which box will be the most appropriate choice for the order at hand. A good warehouse combined with a great WMS can turn around pick and pack orders quickly and with a high accuracy rate.

When you become a Taylor partner, you gain access to all of Taylor’s logistics management services and supply chain experts. Taylor’s core business model is designed to save your company time and money so you can focus on your core business.

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E-Commerce, Third Party Logistics, Warehousing
Taylor Logistics Inc. Blog

Whether you are fulfilling orders for single end customers or a retail store, it may seem like there isn’t much of a difference between the two. An order is an order, right? Not exactly. B2C (business-to-consumer) and B2B (business-to-business) each require very different operations and processes. Each order delivery, whether to one single consumer or a business, needs to reflect your brand. Otherwise, you might lose customers, working with a third-party logistics company that aligns with your brand will help you navigate the differences between fulfilling B2C orders and the complexities of B2B orders.

B2B Order Fulfillment 


B2B fulfillment deals with the distribution of goods from business to business. In other words, they transport large, bulk shipments to a receiving company. Larger companies integrate their warehousing with their B2B order fulfillment service using electronic data interchange software. Doing so helps businesses exchange order data and shipping information with their suppliers in real-time. These fulfillment centers also have to comply with specific guidelines such as barcode labeling, product description, invoice, and shipment details.

Taylor Fulfillment

In addition to our fulfillment solutions, we also provide omni-channel capabilities, kitting and packaging, and transportation. Learn more about our logistics services here.

B2C Order Fulfillment 


B2C fulfillment focuses on delivering manufactured goods directly to customers. This type of order fulfillment is easier to manage as compared to B2B because large, bulk shipments are not involved. Typically these companies have less stringent regulations while in-time delivery and customer satisfaction are the two primary requirements.

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