Warehousing and logistics services strategies have gone through a major overhaul post-COVID-19, with the supply chain affected in unprecedented ways, and several companies changing their business strategies. Warehousing is a crucial but often overlooked part of logistics. Warehousing is more than just the act of goods to be distributed later, it is also the pillar on which the consistency of the supply of goods rests upon
However, with fluctuations in market demand and varying customer requirements, this can sometimes prove to be highly expensive for companies. Shared warehousing is the perfect answer to this dilemma. Shared warehousing refers to a single distribution space that is utilized by multiple businesses.
Why Must Businesses Opt for Shared Warehousing?
Here are a few advantages of sharing warehouse spaces.
1. Reduced Cost
Cost is perhaps the biggest advantage of shared warehousing. Investing in renting or buying an entire warehouse for your supplies can be expensive; capacities tend to get wasted during lean periods thereby adding to costs. By using shared spaces, companies also significantly cut costs, on some common fixed expenses, while still availing all the space they need.
2. Increased Flexibility
A shared environment provides you with a flexible space that allows room for normal annual business cycles. It also allows you to quickly ramp up for future growth and unexpected business fluctuations. You have the liberty to take as much space as you currently need, saving considerable costs.
Very often companies, especially in food industries, may require different storage facilities for different classes of products (Temperature controlled, deep freeze conditions etc). It is easier to build these facilities when the storage is shared to get better scale of operations.
Since shared warehousing hosts multiple companies, the security detailing tends to be extremely strict with 24/7 monitoring. Warehousing companies go to great lengths for their client’s security and businesses only stand to benefit from it.
5. Shared Resources
Since a shared warehouse is a multi-client environment, resources are usually shared between tenants. This implies that the costs of labor, material handling, equipment handling, IT solutions, etc. are shared between different parties.
Radiant is a full-fledged 3PL company with exceptional warehousing and logistics services. Radiant provides exclusive, customized warehouses that are built to international specifications with the highest standards of quality and safety. Customers are provided with fully/partially racked warehouses with optimal solutions to handle everything, from floor space for large goods to shelf space for small items. Radiant’s years of dedication to quality, and commitment to customer satisfaction, have led to an unsurpassed reputation and recognition in the industry.