Why Larger Warehouses are Crucial for The Indian and International Logistics?

by Diksha Garg Real estate Property Updates

The back-end operations of a business dictate the quality of services promised to the customers. Hence, it is imperative to consider robust storage solutions that preserve your goods and expedite the supply-chain cycle. With government initiatives for boosting production/manufacturing industries, the warehousing industry is gearing for evolution.

Sizeable warehouses are the need of the hour, where businesses can integrate WMS, equipment, automated systems, cold storage, and many more mechanisms per their requirements. Here are a few reasons why these large-scale warehouses are beneficial for businesses.

Larger Capacity: Enhances production and manufacturing

The ever-growing demand for goods and services has placed an unprecedented strain on the world’s logistics and warehousing infrastructure. Many companies are turning to larger warehouses to increase their capacity to meet this demand.

1. Massive warehouses can store more inventory and materials so that companies can produce more products in a single batch.

2, Larger warehouses can also help companies save money. This is because they can take advantage of economies of scale, purchasing inventory and materials in bulk at lower prices.

3. Also, larger warehouses provide better working conditions for employees since they are typically more spacious and have better ventilation and lighting.

Advantages of large warehouses

Time-efficiency

Large-scale companies prefer ample space for storing inventory in bulk. This lays down a strategy of a continuous production cycle with an abundant supply of raw materials. As a result, these warehouses regulate the timing of various operational processes. Simply put, due to more storage spaces, the chances of a shortage in stock are reduced, which in turn assures expeditious services– since there is constant supply for the demand. Smaller warehouses use ‘just-in-time’ practices, which may hamper their quality of service due to limited inventory.

Order fulfilment process

With the rampant rise in E-retail, the significance of fulfilment services has increased considerably. Efficient warehousing is essential in the receiving-processing-delivering cycle of an order. With a large warehouse, dedicated spaces can be aligned for each process, thus organising a synergy between operations. This stimulates orderly and scheduled functioning, ensuring seamless delivery of your products to your customers.

Customer centricity

Customer feedback influences the performance of modern businesses. According to the top research companies, the following observations were inferred in recent years–

1. Multiple delivery options are preferred by 66% of consumers. (source: Accenture)

2. According to a Deloitte report, “Fast-shipping” is considered two days by 54% of consumers, whereas 64% are unwilling to pay more if the shipping is later than two days.

3. Free or fast shipping creates a strong customer relationship, as 77% of customers are retained owing to this feature.

INFERENCE:

Large warehouses are a catalyst for the supply chain where automated systems, inventory management, organised segregation of products, and adequate stocking ensure your services are managed according to order priority.

Brand reputation

Lastly, a larger warehouse indicates that your company is growing substantially. This creates a sense of reliability and trustworthiness with your consumers. This brand reputation will further widen your consumer reach.

Future of large warehouses

Data is a crucial asset for any business. Since large warehouses facilitate greater production/manufacturing value, evaluating the data of your warehousing will give you a better estimation of your progress and make a strategy accordingly.

The following mechanisms will define the functioning of larger warehouses in upcoming years–

Cloud technology in keeping track of this data.

Advanced warehouse management services using artificial intelligence.

API (Application Programming Interface) collects data from the warehouse information systems.

Multi-modal optimisations for planning across regions, modes of transport, & routes. Warehousing in Chennai is conducive for businesses since several sea ports are located along the coastal line.

Conclusion

With the ever-growing demand for goods and services, larger warehouses are becoming increasingly necessary to keep up with the demand.

Warehousing companies in Chennai are in high demand due to the rapid industrial expansion in the city. These zones are categorised as industrial parks in North Chennai, West Chennai, South West Chennai, and South Chennai. The vast land extent in these zones allows larger spaces for warehousing services in Chennai.

Hiranandani Industrial Parks in Chennai hosts 60 acres of the total land with 12.5 Lakhs sq.ft of total leasable area. This warehousing in North Chennai is located in Red Hills, with access to ports, airports, railways, industrial hubs, and economic corridors.

By investing in spacious warehouses, clients can not only meet the demands of their customers but also set themselves up for future success. If you are looking for a warehouse service provider in Chennai, head to https://hiranandaniindustrialparks.com/ and secure a large-scale warehouse.

Sources:

https://newsroom.accenture.com/news/shipping-options-and-delivery-partners-essential-to-winning-the-ecommerce-battle-accenture-study-shows.htm