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How automation can transform your 3PL business

Article by Megan Gee
automated warehouse with 3pl business

According to the 24th Annual 3PL Study, 98% of 3PL providers agree that using 3PLs contributes to better customer service. This is easy to believe.

Cutting out the middle man means that businesses can concentrate on what they’re selling without having to worry about logistics such as storage and shipping.

Thanks to big players such as Amazon with an unlimited next day delivery scheme, the market is more competitive than ever. Yet, it’s no secret that Amazon is able to maintain its 3PL offering using robotics. Competing 3PLs are learning that warehouse automation is becoming the answer to a successful business.

You don’t want your business to get left behind

3PLs are jumping on the bandwagon to maximise their services. According to the 24th Annual 3PL Study, FedEx is investing in network capacity, automation and technology to expand its e-commerce delivery options to keep up with the competition. For more information on flexible automation for business growth, see our recent blog post – Flexible Automation for Business Growth.

Optimising your current space

Inbound Logistics found that 65% of 3PL providers are struggling with capacity in the warehouse. But, did you know that an automated warehouse can use half as much space?

Rather than spending money on buying a new warehouse, it might be worth your time and money to invest in automation that can adapt as your services grow. For example, OW Robotics pods are completely customisable, so you can alter them to suit your warehouse needs when required.

Scaling up during peak seasons

We know that 3PLs can get busy with the shift in season. Seasonal workers are often thrown in the deep end and this can lead to mistakes which could harm your reputation.

Through automation, it is possible to have extra resources without the burden of recruitment. At OW Robotics, we offer flexible purchase and hire options so you can stay in control of your automated workforce during busy periods.

Recruiting the right candidates

Inbound Logistics reported that 64% of 3PLs struggle to recruit and retain qualified staff. Recruiting is an expensive and time consuming job, and tied in with the extra seasonal staff 3PLs need, this can cause serious strain on your business.

Using flexible automation will not only reduce the need for staff, but it will reduce costs on equipment such as forklift trucks, staff training and safety considerations.

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