If your company has a product it sells through normal retail distribution channels, it may be time to compliment that business with a direct to consumer approach. There is possibly a huge market segment out there located too far away from the traditional retail outlets that needs your products. Whether you are an established business or an online start up looking to build a new web store, setting up an operating an ecommerce online retail presence is easier than ever.
From a packing and shipping (order fulfillment) perspective there are a lot of considerations to creating the right order fulfillment process and making it profitable. Figuring out the best options for packaging the orders and most cost efficient ways to deliver the customer products while keeping costs low should be the first two priorities.
The shipping cartons can be expensive and range in cost by several dollars per piece depending on the size and quantity that are purchased at a time. So, stocking fewer sizes of boxes is better and more cost effective. Figuring out how to pack orders in the boxes as efficiently as possible allows shippers to minimize the box sizes they need to keep in stock. If you are shipping a frozen food product it gets even more complex.
Deciding how orders are shipped is another big cost factor for startup ecommerce fulfillment operations. FedEx, UPS, or the Post Office – which is best? It depends on the service level you need, as in how quickly does it need to get there. Do your homework, because the Post Office may be cheaper but the service may be longer. Also, UPS and FedEx both service many points in 1 day with their least expensive Ground service, so there is no need to pay for the expensive Next Day Air Service.
Antique Wood Flooring
Artisanal Sausage
Thursday, October 28, 2010
Wednesday, October 27, 2010
Handling Order Fulfillment for an Online Retail Startup
If your company has a product it sells through normal retail distribution channels, it may be time to compliment that business with a direct to consumer approach. There is possibly a huge market segment out there located too far away from the traditional retail outlets that needs your products. Whether you are an established business or an online start up looking to build a new web store, setting up an operating an ecommerce online retail presence is easier than ever.
From a packing and shipping (order fulfillment) perspective there are a lot of considerations to creating the right order fulfillment process and making it profitable. Figuring out the best options for packaging the orders and most cost efficient ways to deliver the customer products while keeping costs low should be the first two priorities.
The shipping cartons can be expensive and range in cost by several dollars per piece depending on the size and quantity that are purchased at a time. So, stocking fewer sizes of boxes is better and more cost effective. Figuring out how to pack orders in the boxes as efficiently as possible allows shippers to minimize the box sizes they need to keep in stock. If you are shipping a frozen food product it gets even more complex.
Deciding how orders are shipped is another big cost factor for startup ecommerce fulfillment operations. FedEx, UPS, or the Post Office – which is best? It depends on the service level you need, as in how quickly does it need to get there. Do your homework, because the Post Office may be cheaper but the service may be longer. Also, UPS and FedEx both service many points in 1 day with their least expensive Ground service, so there is no need to pay for the expensive Next Day Air Service.
From a packing and shipping (order fulfillment) perspective there are a lot of considerations to creating the right order fulfillment process and making it profitable. Figuring out the best options for packaging the orders and most cost efficient ways to deliver the customer products while keeping costs low should be the first two priorities.
The shipping cartons can be expensive and range in cost by several dollars per piece depending on the size and quantity that are purchased at a time. So, stocking fewer sizes of boxes is better and more cost effective. Figuring out how to pack orders in the boxes as efficiently as possible allows shippers to minimize the box sizes they need to keep in stock. If you are shipping a frozen food product it gets even more complex.
Deciding how orders are shipped is another big cost factor for startup ecommerce fulfillment operations. FedEx, UPS, or the Post Office – which is best? It depends on the service level you need, as in how quickly does it need to get there. Do your homework, because the Post Office may be cheaper but the service may be longer. Also, UPS and FedEx both service many points in 1 day with their least expensive Ground service, so there is no need to pay for the expensive Next Day Air Service.
Monday, October 25, 2010
Online Order Fulfillment - To Outsource or Not?
For artisanal sausage retailer, Sausage Obsession, business is booming. With that growth comes a lot of challenges, such as maintaining the right level of inventory of all their products to fill customer orders and making sure to keep the right product mix of unique sausage flavors in their online catalog.
These issues are not unique for most internet retailers, but for a retailer storing and shipping fresh and frozen products like sausage, the challenges are even more complicated. How to store and ship a perishable product like sausage is a logistical challenge on a small scale but as Sausage Obsession’s business grew it became overwhelming.
What Sausage Obsession needed was a scalable storage and order fulfillment solution that could provide the service to get their orders delivered fresh and at the lowest cost possible. The options were to build out additional storage and packaging space, hire more employees, and continue to do their own fulfillment work, or to figure out a way to outsource with a partner that could provide an equal level of service without adding cost. So what to do? The factors that go into making a decision to outsource packing and shipping orders are different for every online retail business but the following are the main cost considerations that need to be taken into account.
Storage – Not surprisingly, most companies selling products need to maintain some level of inventory. How much does it cost to maintain the space you are storing your products. Is it space you could put to better use in another way, or is the space going to go unused either way so there is really no cost to using it? If your product requires a temperature controlled space like Sausage Obsession then that cost is even higher.
Packing Orders – How about the time and space you are using for packing and preparing orders for shipment? Would your time be better spent working on marketing or improving your website? Items like boxes and packing materials are items that can be bought much more cheaply in bulk as most order fulfillment operations can – the cost difference is often 50% or more.
Cost of Shipping – Similar to boxes, shipping services are much cheaper when you can offer a company like UPS or FedEx a high volume of shipments each day. On its own a company may not qualify for a big discount for shipping, but many order fulfillment operations will share their pricing and pass on the savings.
At some point, creating a fulfillment process that is scalable and allows for growth becomes a priority for every type of online retailer and should be part of their business planning. Figuring out the tipping point that requires a business to go from handling online order fulfillment “in-house” to outsourcing the process to a fulfillment center partner is a decision that involves many factors. It is important to use your logistics software to understand the current operating costs to manage the ecommerce order fulfillment process, future needs to accommodate growth, and costs with potential outsourcing partners.
These issues are not unique for most internet retailers, but for a retailer storing and shipping fresh and frozen products like sausage, the challenges are even more complicated. How to store and ship a perishable product like sausage is a logistical challenge on a small scale but as Sausage Obsession’s business grew it became overwhelming.
What Sausage Obsession needed was a scalable storage and order fulfillment solution that could provide the service to get their orders delivered fresh and at the lowest cost possible. The options were to build out additional storage and packaging space, hire more employees, and continue to do their own fulfillment work, or to figure out a way to outsource with a partner that could provide an equal level of service without adding cost. So what to do? The factors that go into making a decision to outsource packing and shipping orders are different for every online retail business but the following are the main cost considerations that need to be taken into account.
Storage – Not surprisingly, most companies selling products need to maintain some level of inventory. How much does it cost to maintain the space you are storing your products. Is it space you could put to better use in another way, or is the space going to go unused either way so there is really no cost to using it? If your product requires a temperature controlled space like Sausage Obsession then that cost is even higher.
Packing Orders – How about the time and space you are using for packing and preparing orders for shipment? Would your time be better spent working on marketing or improving your website? Items like boxes and packing materials are items that can be bought much more cheaply in bulk as most order fulfillment operations can – the cost difference is often 50% or more.
Cost of Shipping – Similar to boxes, shipping services are much cheaper when you can offer a company like UPS or FedEx a high volume of shipments each day. On its own a company may not qualify for a big discount for shipping, but many order fulfillment operations will share their pricing and pass on the savings.
At some point, creating a fulfillment process that is scalable and allows for growth becomes a priority for every type of online retailer and should be part of their business planning. Figuring out the tipping point that requires a business to go from handling online order fulfillment “in-house” to outsourcing the process to a fulfillment center partner is a decision that involves many factors. It is important to use your logistics software to understand the current operating costs to manage the ecommerce order fulfillment process, future needs to accommodate growth, and costs with potential outsourcing partners.
Shipping Something Next Day Air With FedEx Or UPS? READ THIS FIRST!
Shipping Something Next Day Air With FedEx Or UPS? READ THIS FIRST!
If you are looking for a way to save money on shipping small packages here is a tip. FedEx and UPS service many points next day guaranteed with their low cost Ground Service. So, why pay for next day air service on a package you need to be delivered tomorrow at double or triple the cost? For example, from our food fulfillment warehouse in eastern PA, FedEx will service anywhere from New York City down to Washington DC next day with their ground service. There is no need for us to EVER pay for next day air to any of those points. Similarly, FedEx Ground is just a 2 day service to Chicago and most of the Midwest. Again, as a more cost effective option compared to Second Day Air, Ground is a better choice.
Check out the FedEx site to calculate transit time from your location to where your package is going.
To illustrate, online ecommerce business and artisanal sausage retailer Sausage Obsession reduced their shipping costs by over 50% when they began shipping products Ground instead of Next Day Air. The handmade sausage products Sausage Obsession sells are all shipped fresh or frozen. Obviously getting the customer orders shipped from their order fulfillment operation has to be done quickly and reliably. With the same type of packaging and amount of dry ice they were using before, Sausage Obsession is now able to service all their customers half way across the country without paying for expensive Next Day Air delivery with their logistics software.
If you are looking for a way to save money on shipping small packages here is a tip. FedEx and UPS service many points next day guaranteed with their low cost Ground Service. So, why pay for next day air service on a package you need to be delivered tomorrow at double or triple the cost? For example, from our food fulfillment warehouse in eastern PA, FedEx will service anywhere from New York City down to Washington DC next day with their ground service. There is no need for us to EVER pay for next day air to any of those points. Similarly, FedEx Ground is just a 2 day service to Chicago and most of the Midwest. Again, as a more cost effective option compared to Second Day Air, Ground is a better choice.
Check out the FedEx site to calculate transit time from your location to where your package is going.
To illustrate, online ecommerce business and artisanal sausage retailer Sausage Obsession reduced their shipping costs by over 50% when they began shipping products Ground instead of Next Day Air. The handmade sausage products Sausage Obsession sells are all shipped fresh or frozen. Obviously getting the customer orders shipped from their order fulfillment operation has to be done quickly and reliably. With the same type of packaging and amount of dry ice they were using before, Sausage Obsession is now able to service all their customers half way across the country without paying for expensive Next Day Air delivery with their logistics software.
Saturday, October 23, 2010
Discussions on Logistics Software and Online Order Fulfillment
Discussion on Supply Logistics issues regarding Logistics Software and Order Fulfillment.
http://logipi.com/Logipi-SCM.aspx?newsId=254404&pageId=1
This is a discussion on the effort of creating a start up and finding the right technical resources to help. Transportation Management Software is the main topic.
http://asable.com/2010/08/a-recording-of-asable-com-interview-of-ken-kowal-founder-of-eroutingguide/
Talking about starting up a business in ecommerce order fulfillment. Getting started with your own ecommerce online store. Entrepreneurs get a discount.
http://strugglingentrepreneur.com/2010/09/03/133-expertise-helps-ken-kowal-as-entrepreneur-in-fulfillment-and-shipping/
10 minute discussion on the Ask Jason segment of the show. Jason gives some advice on generating leads.
http://thisweekin.com/thisweekin-startups/this-week-in-startups-66-with-rahul-sonnad/
Logistics Consulting and Transportation Spend Management ideas and recommendations.
http://logipi.com/Logipi-SCM.aspx?newsId=254404&pageId=1
This is a discussion on the effort of creating a start up and finding the right technical resources to help. Transportation Management Software is the main topic.
http://asable.com/2010/08/a-recording-of-asable-com-interview-of-ken-kowal-founder-of-eroutingguide/
Talking about starting up a business in ecommerce order fulfillment. Getting started with your own ecommerce online store. Entrepreneurs get a discount.
http://strugglingentrepreneur.com/2010/09/03/133-expertise-helps-ken-kowal-as-entrepreneur-in-fulfillment-and-shipping/
10 minute discussion on the Ask Jason segment of the show. Jason gives some advice on generating leads.
http://thisweekin.com/thisweekin-startups/this-week-in-startups-66-with-rahul-sonnad/
Logistics Consulting and Transportation Spend Management ideas and recommendations.
Red and White Oak Flooring
White Oak and Red Oak woods are probably best known for their color and intense graining patterns. Quarter sawn and cross cut oak display a distinct vivid grain pattern including interesting wavy and concentric circle patterns as well as unique rays emanating from the center of the sapwood. Older, reclaimed oak has a better grain pattern than new oak wood. Reclaimed oak will also sometimes have worm holes or other types of patina and texture that is desirable in some application.
Chestnut Flooring, reclaimed from old buildings and houses.
Here is another blog on the topic:
http://useit2x.wordpress.com/
http://www.squidoo.com/eco-friendly-wood-flooring
Chestnut Flooring, reclaimed from old buildings and houses.
Here is another blog on the topic:
http://useit2x.wordpress.com/
http://www.squidoo.com/eco-friendly-wood-flooring
Blog for Logistics Topics
Blogs for Logistics Topics as well and as Supply Chain Software, Ecommerce Order Fulfillment and Antique Wood Flooring.
http://useit2x.wordpress.com
If you need to get it there quickly, then overnight and 2nd and 3rd day delivery is an option. Obviously more expensive then Ground, the service is guaranteed for the stated transit time. One thing to keep in mind when choosing the service level is many times you can get overnight service for a Ground price. For instance, if you live within a one day transit time for Ground service with UPS, then there is no need to pay the over-night price.
http://useit2x.wordpress.com
If you need to get it there quickly, then overnight and 2nd and 3rd day delivery is an option. Obviously more expensive then Ground, the service is guaranteed for the stated transit time. One thing to keep in mind when choosing the service level is many times you can get overnight service for a Ground price. For instance, if you live within a one day transit time for Ground service with UPS, then there is no need to pay the over-night price.
Frozen Food Fulfillment and Online Order Fulfillment
Frozen Food Fulfillment, Online Order Fulfillment for online retailers selling their products online:
http://ecommerce-order-fulfillment.weebly.com/
Ecommerce Order Fulfillment, Pack and Ship focused on small businesses, selling online.
http://www.order-20-fulfillment.350.com/
If you have time: the least expensive and slowest delivery method with UPS and FedEx is their Ground Service, which will service most of the US in four to five days. The Post office is a cheaper but slower option than Ground with the other two carriers.
http://ecommerce-order-fulfillment.weebly.com/
Ecommerce Order Fulfillment, Pack and Ship focused on small businesses, selling online.
http://www.order-20-fulfillment.350.com/
If you have time: the least expensive and slowest delivery method with UPS and FedEx is their Ground Service, which will service most of the US in four to five days. The Post office is a cheaper but slower option than Ground with the other two carriers.
Antique Wood and End Grain Wood Block Flooring
Reclaimed Hardwood Flooring information for eco-friendly flooring options: http://www.kkowal1.350.com/Reclaimed_Wood_Flooring.htm. The best choices with details on species like White Oak, Red Oak, Chestnut, Fir, and Heart Pine.
Antique Wood Flooring from recylced sourced, old barnd, factory buidlings: http://www.antique-wood.weebly.com
Also, learn more about end grain wood block flooring.
Antique Wood Flooring from recylced sourced, old barnd, factory buidlings: http://www.antique-wood.weebly.com
Also, learn more about end grain wood block flooring.
News Sources for Information on Logistics Software
Logistics software for small shippers: http://cms.logistics-software.webnode.com/
Transportation Management Software for manufacturers that is easy to implement and low cost: http://logistics-software.weebly.com
Supply Chain Logistics with simple tools for load tendering, routing guides, bill of lading, and freight invoice audit: http://www.logistics-software.350.com/Logistics_Software.htm
http://www.squidoo.com/eroutingguide.com
http://easylogisticsmanagement.blogspot.com
Transportation Management Software for manufacturers that is easy to implement and low cost: http://logistics-software.weebly.com
Supply Chain Logistics with simple tools for load tendering, routing guides, bill of lading, and freight invoice audit: http://www.logistics-software.350.com/Logistics_Software.htm
http://www.squidoo.com/eroutingguide.com
http://easylogisticsmanagement.blogspot.com
Thursday, October 21, 2010
Antique Wood Flooring
Antique Wood Flooring is typically made from material sourced from old barns, or factory buildings or other old structures built 100 or more years ago. In that time, large wooden beams were the main structural support for large buildings (along with stone). Modern buildings are supported with steel in the same way. These days steel is stronger and cheaper alternative to large wooden beams for a lot of obvious reasons.
Wood salvaged from these older buildings is referred to as reclaimed wood or lumber, recycled wood, barn wood, antique wood, and reclaimed timber. Reclaimed Hardwood Flooring is the product of milling or sawing down the large wooden beams out of the old buildings. Antique wood flooring is generally sold in the tongue and groove, or plank style. Most often, the wider the boards, the more desirable the flooring is to buyers. Also, many types of reclaimed hardwood show the patina and character of aged wood including worm holes, knots, and checking (small cracks). Eco-Friendly Flooring.
The term tongue and groove comes from the fact that the flooring is milled to have a “tongue” edge that fits into the “groove” edge of the piece next to it when installed. The joint allows for the natural contraction and expansion of the wood with humidity and temperature. Plank style antique wood flooring is cut with the grain of the wood and can be in lengths from a few feet to 12 feet or more. Wood “moves” with changes to environment by becoming narrower, not shorter in length, so the tongue and groove joint is designed to allow for this contraction. The potential width and length of a board is obviously only limited from the source where is comes from. End Grain Wood Block Flooring. Order Fulfillment, Food Fulfillment PA, Online Order Fulfillment are more services. Also included are transporation management software, logistics software, Supply Chain Software.
Wood salvaged from these older buildings is referred to as reclaimed wood or lumber, recycled wood, barn wood, antique wood, and reclaimed timber. Reclaimed Hardwood Flooring is the product of milling or sawing down the large wooden beams out of the old buildings. Antique wood flooring is generally sold in the tongue and groove, or plank style. Most often, the wider the boards, the more desirable the flooring is to buyers. Also, many types of reclaimed hardwood show the patina and character of aged wood including worm holes, knots, and checking (small cracks). Eco-Friendly Flooring.
The term tongue and groove comes from the fact that the flooring is milled to have a “tongue” edge that fits into the “groove” edge of the piece next to it when installed. The joint allows for the natural contraction and expansion of the wood with humidity and temperature. Plank style antique wood flooring is cut with the grain of the wood and can be in lengths from a few feet to 12 feet or more. Wood “moves” with changes to environment by becoming narrower, not shorter in length, so the tongue and groove joint is designed to allow for this contraction. The potential width and length of a board is obviously only limited from the source where is comes from. End Grain Wood Block Flooring. Order Fulfillment, Food Fulfillment PA, Online Order Fulfillment are more services. Also included are transporation management software, logistics software, Supply Chain Software.
Reclaimed Antique Oak and Logistics Management
What are the characteristics and uses of Reclaimed Oak?
White Oak and Red Oak woods are probably best known for their color and intense graining patterns. Quarter sawn and cross cut oak display a distinct vivid grain pattern including interesting wavy and concentric circle patterns as well as unique rays emanating from the center of the sapwood. Older, reclaimed oak has a better grain pattern than new oak wood. Reclaimed oak will also sometimes have worm holes or other types of patina and texture that is desirable in some application.
Oak is an extremely hard wood making it durable and tough. It has been popular literally for centuries for use in making architectural elements, as well many types of furniture. The wood polishes to a fine sheen and develops a great patina through age and oxidation. Quarter sawn oak is the most popular way to use oak in furniture. One of the most iconic visual images of wood is the use of walnut wood as a building material.
Many of the greatest treasures of American furniture you’ll find in museums are made of Oak. Available in Europe and North America, examples of oak wood furniture date back in the US to 300 years ago – and in Europe much longer than that. How’s that for durability?
White Oak and Red Oak is a great material for use as a type of reclaimed hardwood flooring due to it durability. In recent years, Oak is gaining popularity as a flooring material due to it golden color (and ability to take darker and lighter stains). Antique Oak Wood Flooring is a great choice as a reclaimed material for flooring or other reclaimed wood applications..
Reclaimed Oak is a great choice for flooring, panels, furniture, and countertops.
White Oak and Red Oak woods are probably best known for their color and intense graining patterns. Quarter sawn and cross cut oak display a distinct vivid grain pattern including interesting wavy and concentric circle patterns as well as unique rays emanating from the center of the sapwood. Older, reclaimed oak has a better grain pattern than new oak wood. Reclaimed oak will also sometimes have worm holes or other types of patina and texture that is desirable in some application.
Oak is an extremely hard wood making it durable and tough. It has been popular literally for centuries for use in making architectural elements, as well many types of furniture. The wood polishes to a fine sheen and develops a great patina through age and oxidation. Quarter sawn oak is the most popular way to use oak in furniture. One of the most iconic visual images of wood is the use of walnut wood as a building material.
Many of the greatest treasures of American furniture you’ll find in museums are made of Oak. Available in Europe and North America, examples of oak wood furniture date back in the US to 300 years ago – and in Europe much longer than that. How’s that for durability?
White Oak and Red Oak is a great material for use as a type of reclaimed hardwood flooring due to it durability. In recent years, Oak is gaining popularity as a flooring material due to it golden color (and ability to take darker and lighter stains). Antique Oak Wood Flooring is a great choice as a reclaimed material for flooring or other reclaimed wood applications..
Reclaimed Oak is a great choice for flooring, panels, furniture, and countertops.
| End Grain Wood Block Flooring. Order Fulfillment, Food Fulfillment PA, Online Order Fulfillment are more services. Also included are transporation management software, logistics software, Supply Chain Software. |
Ecommerce: Frozen Food Online Order Fulfillment for Retailers
What are the special considerations for an online retailer selling frozen food products online?
The frozen food order fulfillment process is made up of many steps, but there are two factors that apply to dealing with food products. First, the location you choose to store and pack your shipments needs to be food grade, which means it meets certain standards for cleanliness and pest control. The facility is periodically inspected to make sure those standards are upheld. Second, you need to consider if there are there any requirements related to the temperature in the order fulfillment facility that need to be considered while the products are stored and also when they are shipped.
From a storing and handling perspective, the main consideration is of course that the requirements for maintaining a food grade facility need to be adhered to where ever the food products are warehoused. Frozen food products will likely have expiration or best used by dates so it is important to manage the inventory to make sure product is still fresh and usable. The FIFO (first in first out) method of managing inventory generally makes the most sense for food products. Frozen products obviously need more care and temperature control during warehousing. Keeping frozen food very cold, and well, frozen is clearly important, but more subtle requirements such as controlling humidity and ambient temperature are also necessary factors to monitor and maintain.
Making the right preparations for shipping frozen food products is a challenge but it is not impossible. There are many sources for locating stock, or custom made packaging to be used when packing and shipping frozen food (or any other type of cold item for that matter). Cooler “Kits” that contain a styro foam cooler and snug fitting cardboard carton are most likely the best option and one can be found easily for most applications. Items packed in the box, along with ice, frozen packs, or dry ice can be kept safely frozen for up to forty eight hours during shipping under a range of conditions (think hot summer and cold winter). It is obvious that some level of expedited delivery, preferably overnight needs to be used to make sure product gets delivered on time. However, keep in mind, UPS and FedEx offer Ground service that provides next day delivery to locations within a pretty good size range of where you may be shipping from. Sometimes there is no need to pay for overnight or even 2nd day delivery when ground service will suffice – the cost savings will be significant. Just check out your carrier’s service matrix to know for sure.
The frozen food order fulfillment process is made up of many steps, but there are two factors that apply to dealing with food products. First, the location you choose to store and pack your shipments needs to be food grade, which means it meets certain standards for cleanliness and pest control. The facility is periodically inspected to make sure those standards are upheld. Second, you need to consider if there are there any requirements related to the temperature in the order fulfillment facility that need to be considered while the products are stored and also when they are shipped.
From a storing and handling perspective, the main consideration is of course that the requirements for maintaining a food grade facility need to be adhered to where ever the food products are warehoused. Frozen food products will likely have expiration or best used by dates so it is important to manage the inventory to make sure product is still fresh and usable. The FIFO (first in first out) method of managing inventory generally makes the most sense for food products. Frozen products obviously need more care and temperature control during warehousing. Keeping frozen food very cold, and well, frozen is clearly important, but more subtle requirements such as controlling humidity and ambient temperature are also necessary factors to monitor and maintain.
Making the right preparations for shipping frozen food products is a challenge but it is not impossible. There are many sources for locating stock, or custom made packaging to be used when packing and shipping frozen food (or any other type of cold item for that matter). Cooler “Kits” that contain a styro foam cooler and snug fitting cardboard carton are most likely the best option and one can be found easily for most applications. Items packed in the box, along with ice, frozen packs, or dry ice can be kept safely frozen for up to forty eight hours during shipping under a range of conditions (think hot summer and cold winter). It is obvious that some level of expedited delivery, preferably overnight needs to be used to make sure product gets delivered on time. However, keep in mind, UPS and FedEx offer Ground service that provides next day delivery to locations within a pretty good size range of where you may be shipping from. Sometimes there is no need to pay for overnight or even 2nd day delivery when ground service will suffice – the cost savings will be significant. Just check out your carrier’s service matrix to know for sure.
| End Grain Wood Block Flooring, Reclaimed Hardwood Flooring, Antique Wood Flooring, Order Fulfillment, Food Fulfillment PA, Online Order Fulfillment are more services. Also included are transporation management software, logistics software, Supply Chain Software. |
Shipping Options for Online Retailers
What are the shipping options for a business selling products online?
Okay, so you have an idea for an online store, or are maybe already selling a few items on eBay or Amazon. There are two things you still need to figure out to complete your online order fulfillment operation.
1 – What is the best way to package the order for shipping? Here is an article on eco-friendly packing materials.
The goal for this article is to address the second one;
2 – What are the options for shipping the order?
There are two parts to deciding what the best option is for shipping an order. The first is to figure out how quickly the order needs to get there. The second is what carrier you want to use. For the most part, the Post Office, UPS, and FedEx offer similar services. I’ll save the discussion on quality of service for another time, but generally speaking all three offer roughly the same services that most online retailers would need.
If you have time: the least expensive and slowest delivery method with UPS and FedEx is their Ground Service, which will service most of the US in four to five days. The Post office is a cheaper but slower option than Ground with the other two carriers.
If you need to get it there quickly, then overnight and 2nd and 3rd day delivery is an option. Obviously more expensive then Ground, the service is guaranteed for the stated transit time. One thing to keep in mind when choosing the service level is many times you can get overnight service for a Ground price. For instance, if you live within a one day transit time for Ground service with UPS, then there is no need to pay the over-night price.
End Grain Wood Block Flooring, Reclaimed Hardwood Flooring, Antique Wood Flooring, Order Fulfillment, Food Fulfillment PA, Online Order Fulfillment are more services. Also included are transporation management software, logistics software, Supply Chain Software.
Okay, so you have an idea for an online store, or are maybe already selling a few items on eBay or Amazon. There are two things you still need to figure out to complete your online order fulfillment operation.
1 – What is the best way to package the order for shipping? Here is an article on eco-friendly packing materials.
The goal for this article is to address the second one;
2 – What are the options for shipping the order?
There are two parts to deciding what the best option is for shipping an order. The first is to figure out how quickly the order needs to get there. The second is what carrier you want to use. For the most part, the Post Office, UPS, and FedEx offer similar services. I’ll save the discussion on quality of service for another time, but generally speaking all three offer roughly the same services that most online retailers would need.
If you have time: the least expensive and slowest delivery method with UPS and FedEx is their Ground Service, which will service most of the US in four to five days. The Post office is a cheaper but slower option than Ground with the other two carriers.
If you need to get it there quickly, then overnight and 2nd and 3rd day delivery is an option. Obviously more expensive then Ground, the service is guaranteed for the stated transit time. One thing to keep in mind when choosing the service level is many times you can get overnight service for a Ground price. For instance, if you live within a one day transit time for Ground service with UPS, then there is no need to pay the over-night price.
End Grain Wood Block Flooring, Reclaimed Hardwood Flooring, Antique Wood Flooring, Order Fulfillment, Food Fulfillment PA, Online Order Fulfillment are more services. Also included are transporation management software, logistics software, Supply Chain Software.
Logistics Software for all size shippers
Logistics Software is the technology that lets shippers automate their logistics and supply chain workflows. Many small and medium size companies are in a difficult position because their shipping volume does not warrant a big investment in a large supply chain software solution. The Return on Investment is just not there for some shippers when the cost of entry for a large managed TMS system will easily exceed $100,000 on the low end.
So what do the large Logistic Software solutions provide for the big companies that can afford them? Primarily, the system automates the flow of information through the organization, as well as automates much of the communication between departments and supply chain vendors. For instance, as a normal process, most companies that ship product will receives orders and need to make decisions on how the orders will ship. For the company with logistics software – the orders are optimized into the most efficient Load Plan, carrier selection is made via the prepared Routing Guide, and loads are tendered and delivered with all the relevant data captured and reported on. For companies without a supply chain software solution, all these parts of the process are handled manually, or not at all. For instance, not having Bill of Lading Software a shipper obviously has to hand write or type of Bills of Lading. Shipping Software also automates the selection of carriers and the communication process with the carriers. Instead of phone calls or faxes to schedule loads, carriers can confirm or reject loads through email or on-line. Carrier rate contracts are all managed in a single database, ensuring the correct carrier selection is made every time. Delivery updates, Proof of Deliveries, Freight Invoices can all be provided electronically.
Simply stated, the benefit of the right logistics software solution is that it takes processes that in the past were done manually and automates them. The difficult challenge for shippers is to evaluate the Return on Investment from implementing a new transportation management software solution. The system will save time, it will save money by improving carrier selection, it will make the process of getting delivery updates and POD’s quicker. – but is the cost too much?
So what do the large Logistic Software solutions provide for the big companies that can afford them? Primarily, the system automates the flow of information through the organization, as well as automates much of the communication between departments and supply chain vendors. For instance, as a normal process, most companies that ship product will receives orders and need to make decisions on how the orders will ship. For the company with logistics software – the orders are optimized into the most efficient Load Plan, carrier selection is made via the prepared Routing Guide, and loads are tendered and delivered with all the relevant data captured and reported on. For companies without a supply chain software solution, all these parts of the process are handled manually, or not at all. For instance, not having Bill of Lading Software a shipper obviously has to hand write or type of Bills of Lading. Shipping Software also automates the selection of carriers and the communication process with the carriers. Instead of phone calls or faxes to schedule loads, carriers can confirm or reject loads through email or on-line. Carrier rate contracts are all managed in a single database, ensuring the correct carrier selection is made every time. Delivery updates, Proof of Deliveries, Freight Invoices can all be provided electronically.
Simply stated, the benefit of the right logistics software solution is that it takes processes that in the past were done manually and automates them. The difficult challenge for shippers is to evaluate the Return on Investment from implementing a new transportation management software solution. The system will save time, it will save money by improving carrier selection, it will make the process of getting delivery updates and POD’s quicker. – but is the cost too much?
| End Grain Wood Block Flooring, Reclaimed Hardwood Flooring, Antique Wood Flooring, Order Fulfillment, Food Fulfillment PA, Online Order Fulfillment are more services. Also included are transporation management software, logistics software, Supply Chain Software. |
Supply Chain Software for all Shippers
Supply Chain Software is the system that enables manufacturers, or any company shipping their products automate their logistics and supply chain processes. All small and medium size companies are in a tough situation position because their shipping volume does not justify the cost of a big, complicated logistics management software application. The Return on Investment is just not there for some shippers when the cost to implement and maintain a large managed logistics software system starts at a hundred grand and only goes up from there.
So what do the large Logistic Software solutions provide for the big companies that can afford them?
The first role of a TMS system is to automate the flow of order and shipping information through the organization. Secondly, it streamlines and automates most of the communication between departments and outside logistics suppliers.
For instance, as a normal process, most companies that ship product will receives orders and need to make decisions on how the orders will ship. For the company with supply chain software:
the individual shipments are organized into the optimal Load Plan
carrier selection is made via the well organized Routing Guide
loads are tendered to, and delivered with all the relevant data captured and reported on
For companies without a logistics software solution, all these parts of the process are handled manually, or simply not done at all. Carriers are called for delivery updates… freight invoices come in the mail and are audited and paid manually… etc.
For instance, not having Bill of Lading Software a shipper obviously has to hand write or type of Bills of Lading. Shipping Software can also automate the selection of trucking companies and the communication process with the carriers. Instead of phone calls or faxes to schedule loads, carriers can accept or deny shipments via email or on-line. Carrier rate contracts are all managed in a single database, ensuring the correct carrier selection is made every time.
The best part from the perspective of sales, customer service, and other departments in the company: Delivery updates, Proof of Deliveries, Freight Invoices can all be provided electronically.
Simply stated, the benefit of the right logistics software solution is that it takes processes that in the past were done manually and automates them. The hardest challenge for shippers is to calculate the Return on Investment from implementing a new transportation management software solution. The system will save time, it will save money by improving carrier choice, it will make the workflow of getting delivery status updates and Proof of Deliveries quicker. – but, at what cost?
End Grain Wood Block Flooring, Reclaimed Hardwood Flooring, Antique Wood Flooring, Order Fulfillment, Food Fulfillment PA, Online Order Fulfillment are more services. Also included are transporation management software, logistics software, Supply Chain Software.
So what do the large Logistic Software solutions provide for the big companies that can afford them?
The first role of a TMS system is to automate the flow of order and shipping information through the organization. Secondly, it streamlines and automates most of the communication between departments and outside logistics suppliers.
For instance, as a normal process, most companies that ship product will receives orders and need to make decisions on how the orders will ship. For the company with supply chain software:
the individual shipments are organized into the optimal Load Plan
carrier selection is made via the well organized Routing Guide
loads are tendered to, and delivered with all the relevant data captured and reported on
For companies without a logistics software solution, all these parts of the process are handled manually, or simply not done at all. Carriers are called for delivery updates… freight invoices come in the mail and are audited and paid manually… etc.
For instance, not having Bill of Lading Software a shipper obviously has to hand write or type of Bills of Lading. Shipping Software can also automate the selection of trucking companies and the communication process with the carriers. Instead of phone calls or faxes to schedule loads, carriers can accept or deny shipments via email or on-line. Carrier rate contracts are all managed in a single database, ensuring the correct carrier selection is made every time.
The best part from the perspective of sales, customer service, and other departments in the company: Delivery updates, Proof of Deliveries, Freight Invoices can all be provided electronically.
Simply stated, the benefit of the right logistics software solution is that it takes processes that in the past were done manually and automates them. The hardest challenge for shippers is to calculate the Return on Investment from implementing a new transportation management software solution. The system will save time, it will save money by improving carrier choice, it will make the workflow of getting delivery status updates and Proof of Deliveries quicker. – but, at what cost?
End Grain Wood Block Flooring, Reclaimed Hardwood Flooring, Antique Wood Flooring, Order Fulfillment, Food Fulfillment PA, Online Order Fulfillment are more services. Also included are transporation management software, logistics software, Supply Chain Software.
Thursday, October 7, 2010
Selling and Shipping Order from Your Online Store
So you have a business and a website, and now you want to sell some products online. Taking a retail operation online and building a scalable solution can involve several parties if you are going to be successful. The following is an outline of the different parts that go into an ecommerce solution beyond your company’s website (assuming you don’t want to build it all yourself).
From a process standpoint, here is what happens. Your website continues to act as the electronic brochure , engaging potential customers and telling the word about the company. And then:
Your Website: Connects To: The Ecommerce Software/ Hosted Site (Product Information, Shopping Cart Function, Reporting, etc), which Connects To: Your Merchant Account Provider (Credit Card Processor) and Your Order Fulfillment Provider.
PROGRAM SETUP
Ecommerce Software would be “attached” to your site.
All your products available for purchase will be uploaded and maintained as part of the ecommerce software by you or your company’s designate, although appear to be on the your main site from the customer’s perspective.
There would be programming cost with all providers to integrate the ecommerce software into the your site. Some provider’s solutions are simple enough that it could possibly be done “in-house”. Depending on the complexity it will likely cost $2,000 at minimum to have the integration completed by a 3rd party. The software providers either can do the integration or will recommend an authorized vendor to help.
At this point the process for communicating orders from the ecommerce software provider to your ecommerce order fulfillment provider would be established. This will be set up to be transparent to you and is straightforward to accomplish. Depending on the provider there may be some minor programming costs to automate the process. Thru your Logistics Software.
PROCESS DESCRIPTION
The monthly cost for the ecommerce software start at around $200-$300 per month based activity volume (although one provider charges a percentage of $ activity). The amount of products available for sale, amount of bandwidth used, and complexity of the solution all impact cost. We’d need to define the scope of volume to determine a better budgetary number at this point.
From a process standpoint, here is what happens. Your website continues to act as the electronic brochure , engaging potential customers and telling the word about the company. And then:
Your Website: Connects To: The Ecommerce Software/ Hosted Site (Product Information, Shopping Cart Function, Reporting, etc), which Connects To: Your Merchant Account Provider (Credit Card Processor) and Your Order Fulfillment Provider.
PROGRAM SETUP
Ecommerce Software would be “attached” to your site.
All your products available for purchase will be uploaded and maintained as part of the ecommerce software by you or your company’s designate, although appear to be on the your main site from the customer’s perspective.
There would be programming cost with all providers to integrate the ecommerce software into the your site. Some provider’s solutions are simple enough that it could possibly be done “in-house”. Depending on the complexity it will likely cost $2,000 at minimum to have the integration completed by a 3rd party. The software providers either can do the integration or will recommend an authorized vendor to help.
At this point the process for communicating orders from the ecommerce software provider to your ecommerce order fulfillment provider would be established. This will be set up to be transparent to you and is straightforward to accomplish. Depending on the provider there may be some minor programming costs to automate the process. Thru your Logistics Software.
PROCESS DESCRIPTION
The monthly cost for the ecommerce software start at around $200-$300 per month based activity volume (although one provider charges a percentage of $ activity). The amount of products available for sale, amount of bandwidth used, and complexity of the solution all impact cost. We’d need to define the scope of volume to determine a better budgetary number at this point.
End Grain Wood Block Flooring From Reclaimed Wood
End Grain Wood Block Flooring From Reclaimed Wood
Typically when people think of hardwood flooring, they picture plank or tongue and groove style flooring – wide or narrow boards laid out end to end across a room. There is another type of hardwood flooring, with a long history that most people would be surprised to hear about. It is called end grain wood block flooring. To get a sense of what it looks like, picture wood tiles made from cross cut squares of wood that show off the wood grain as a cross section and not sawn with the grain like plank flooring.
There are two main benefits to creating flooring in this style.
First, it looks great… End grain wood blocks show of the grain of the wood, which of course is exactly what makes wood interesting and beautiful in the first place. Wood cut across the grain as opposed to with it, displays the grain of wood in new ways. For example, White Oak displays an incredible ray pattern that emanates from the center of the tree rings. Douglas Fir offers distinct concentric circles of light and dark (growth and sap wood) wood providing a beautiful contrast of colors and pattern.
Second, it is very durable. Wood is very tough on its cross cut face. For the last century, end grain wood block floors have remained a common flooring choice for industrial factories – believe it or not. Some of the automobile plants in Detroit MI and many other manufacturing facilities across the country have end grain wood block as flooring because of its durability. Even more amazing, wood block flooring has been, and is still in use to pave roads in a few American cities. Pensacola FL and Pittsburgh PA are two cities with end grain wood block roads.
Installation is basically done similar to ceramic tile with a certain type of adhesive and finished as any hard wood floor would be. If you can install a hardwood floor (or know someone who can), you can install can end grain wood floor.
A great choice for hardwood flooring is to use reclaimed wood. Old growth woods (that only come from reclaimed sources) offer better graining and a harder surface. Better yet, it is a good eco-friendly flooring choice.
Typically when people think of hardwood flooring, they picture plank or tongue and groove style flooring – wide or narrow boards laid out end to end across a room. There is another type of hardwood flooring, with a long history that most people would be surprised to hear about. It is called end grain wood block flooring. To get a sense of what it looks like, picture wood tiles made from cross cut squares of wood that show off the wood grain as a cross section and not sawn with the grain like plank flooring.
There are two main benefits to creating flooring in this style.
First, it looks great… End grain wood blocks show of the grain of the wood, which of course is exactly what makes wood interesting and beautiful in the first place. Wood cut across the grain as opposed to with it, displays the grain of wood in new ways. For example, White Oak displays an incredible ray pattern that emanates from the center of the tree rings. Douglas Fir offers distinct concentric circles of light and dark (growth and sap wood) wood providing a beautiful contrast of colors and pattern.
Second, it is very durable. Wood is very tough on its cross cut face. For the last century, end grain wood block floors have remained a common flooring choice for industrial factories – believe it or not. Some of the automobile plants in Detroit MI and many other manufacturing facilities across the country have end grain wood block as flooring because of its durability. Even more amazing, wood block flooring has been, and is still in use to pave roads in a few American cities. Pensacola FL and Pittsburgh PA are two cities with end grain wood block roads.
Installation is basically done similar to ceramic tile with a certain type of adhesive and finished as any hard wood floor would be. If you can install a hardwood floor (or know someone who can), you can install can end grain wood floor.
A great choice for hardwood flooring is to use reclaimed wood. Old growth woods (that only come from reclaimed sources) offer better graining and a harder surface. Better yet, it is a good eco-friendly flooring choice.
Wednesday, October 6, 2010
Order Fulfillment Explained
What are the different service and cost components of packing and shipping with a 3rd party fulfillment operation?
If you are an online retailer thinking about partnering with a 3rd party ecommerce order fulfillment warehouse to handle your pack and ship operation you should understand the different categories of service a typical fulfillment house will provide.
Receiving and Storing Product: This includes the process of receiving your goods into their warehouse. It begins with a thorough inspection of the product as it arrives to ensure there is no damage and the exact products and quantities match what is expected based on your direction and the Bill of Lading. On an ongoing basis it is important for the provider to maintain and report accurate inventory numbers. Storage requirements depend on the product but can include the facility maintaining a temperature controlled environment, custom racking, or on-shelf storage. Receiving and Storage rates are generally billed as either a per pallet cost, or a per package cost depending on the product.
Order Pick Charges: An integral part of the fulfillment process is how orders get transmitted from you to the facility. This can happen as part of an integration with your shopping cart software, EDI, flat file, or even a fax. As the orders are received, they are assembled or “picked”. Order Pick charges are generally based on a flat per order fee that includes the first item, and then a small additional charge for each additional item in the order. So, as an example, if your typical order is for three items, you could expect to pay $4.50 per order plus an additional $.50 for each additional item, making the total $5.50 to have the order packed.
Administrative Support: Fulfillment providers will often charge a monthly service fee for things like reporting or fielding customer calls. These charges can varying by a large extent and depend on the requirements you put in place.
Packing Materials: This would include the cost of the carton the order is shipped in, any dunnage (packing material to protect the product in the box), as well as the labor to assemble the box. These costs may or may not be included in the Order Charges detailed above. Remember, the majority of costs for a fulfillment operation are labor, so each small action (assembling a box, printing a label, placing an item in a box, etc.) each take time. It may feel like you are being “nickeled and dimed” but it is really about charging for the exact time spent for your specific needs. Fulfillment is not a one size fits all service in any sense.
Shipping Costs: The handling costs associated preparing an order to be shipped (printing the shipping label, palletizing boxes, etc.) are generally covered by the Order Charges. But obviously one big remaining cost is for shipping (FedEx, UPS, USPS, etc. assuming you are shipping boxes, not pallets at a time). If you have one, it is often best to use your company’s own account number and most fulfillment providers will allow you to do that. They may, however have a better contract with one of those carriers and be able to pass on some of that savings.
If you are an online retailer thinking about partnering with a 3rd party ecommerce order fulfillment warehouse to handle your pack and ship operation you should understand the different categories of service a typical fulfillment house will provide.
Receiving and Storing Product: This includes the process of receiving your goods into their warehouse. It begins with a thorough inspection of the product as it arrives to ensure there is no damage and the exact products and quantities match what is expected based on your direction and the Bill of Lading. On an ongoing basis it is important for the provider to maintain and report accurate inventory numbers. Storage requirements depend on the product but can include the facility maintaining a temperature controlled environment, custom racking, or on-shelf storage. Receiving and Storage rates are generally billed as either a per pallet cost, or a per package cost depending on the product.
Order Pick Charges: An integral part of the fulfillment process is how orders get transmitted from you to the facility. This can happen as part of an integration with your shopping cart software, EDI, flat file, or even a fax. As the orders are received, they are assembled or “picked”. Order Pick charges are generally based on a flat per order fee that includes the first item, and then a small additional charge for each additional item in the order. So, as an example, if your typical order is for three items, you could expect to pay $4.50 per order plus an additional $.50 for each additional item, making the total $5.50 to have the order packed.
Administrative Support: Fulfillment providers will often charge a monthly service fee for things like reporting or fielding customer calls. These charges can varying by a large extent and depend on the requirements you put in place.
Packing Materials: This would include the cost of the carton the order is shipped in, any dunnage (packing material to protect the product in the box), as well as the labor to assemble the box. These costs may or may not be included in the Order Charges detailed above. Remember, the majority of costs for a fulfillment operation are labor, so each small action (assembling a box, printing a label, placing an item in a box, etc.) each take time. It may feel like you are being “nickeled and dimed” but it is really about charging for the exact time spent for your specific needs. Fulfillment is not a one size fits all service in any sense.
Shipping Costs: The handling costs associated preparing an order to be shipped (printing the shipping label, palletizing boxes, etc.) are generally covered by the Order Charges. But obviously one big remaining cost is for shipping (FedEx, UPS, USPS, etc. assuming you are shipping boxes, not pallets at a time). If you have one, it is often best to use your company’s own account number and most fulfillment providers will allow you to do that. They may, however have a better contract with one of those carriers and be able to pass on some of that savings.
Frozen and Dry Food Fulfillment
What are the special considerations for an online retailer selling food products online?
The whole order fulfillment process is made up of many steps, but there are two factors that apply to dealing with food products. First, the location you choose to store and pack your shipments needs to be food grade, which means it meets certain standards for cleanliness and pest control. The facility is periodically inspected to make sure those standards are upheld. Second, you need to consider if there are there any requirements related to the temperature in the facility that need to be considered while the products are stored and also when they are shipped.
From a storage and handling perspective, non-frozen or “dry” food products can be handled similar to any non-food product. The main exception is of course that the requirements for maintaining a food grade facility need to be adhered to. Food products, whether dry or not will likely have expiration or best used by dates so it is important to manage the inventory to make sure product is still fresh and usable. The FIFO (first in first out) method of managing inventory generally makes the most sense for food products. Frozen products obviously need more care and temperature control during storage. Keeping frozen food frozen is clearly important, but more subtle requirements such as controlling humidity and ambient temperature are also important.
From a shipping perspective, the needs are very similar. Dry food products can ship similar to most any item, although some non-frozen products may need to avoid being frozen at the risk of damaging the product or its packaging. Shipping frozen products is an additional, but manageable challenge. There are many options for stock, or custom packaging to be used when shipping frozen food (or any cold item for that matter). Kits that contain a styro-foam “cooler” and tight fitting carton are likely the best option and can be designed for most applications. Items packed in the box, along with dry ice can be kept safely frozen for 24 to 48 hours during shipping under normal conditions (think hot summer and cold winter). Needless to say, some level of expedited delivery, preferably overnight needs to be used to make sure product gets delivered on time. However, keep in mind, UPS and FedEx offer Ground service that provides next day delivery to locations within a pretty good size radius. There’s no need to pay for expedited delivery when ground will suffice – the cost savings could be >50%.
The whole order fulfillment process is made up of many steps, but there are two factors that apply to dealing with food products. First, the location you choose to store and pack your shipments needs to be food grade, which means it meets certain standards for cleanliness and pest control. The facility is periodically inspected to make sure those standards are upheld. Second, you need to consider if there are there any requirements related to the temperature in the facility that need to be considered while the products are stored and also when they are shipped.
From a storage and handling perspective, non-frozen or “dry” food products can be handled similar to any non-food product. The main exception is of course that the requirements for maintaining a food grade facility need to be adhered to. Food products, whether dry or not will likely have expiration or best used by dates so it is important to manage the inventory to make sure product is still fresh and usable. The FIFO (first in first out) method of managing inventory generally makes the most sense for food products. Frozen products obviously need more care and temperature control during storage. Keeping frozen food frozen is clearly important, but more subtle requirements such as controlling humidity and ambient temperature are also important.
From a shipping perspective, the needs are very similar. Dry food products can ship similar to most any item, although some non-frozen products may need to avoid being frozen at the risk of damaging the product or its packaging. Shipping frozen products is an additional, but manageable challenge. There are many options for stock, or custom packaging to be used when shipping frozen food (or any cold item for that matter). Kits that contain a styro-foam “cooler” and tight fitting carton are likely the best option and can be designed for most applications. Items packed in the box, along with dry ice can be kept safely frozen for 24 to 48 hours during shipping under normal conditions (think hot summer and cold winter). Needless to say, some level of expedited delivery, preferably overnight needs to be used to make sure product gets delivered on time. However, keep in mind, UPS and FedEx offer Ground service that provides next day delivery to locations within a pretty good size radius. There’s no need to pay for expedited delivery when ground will suffice – the cost savings could be >50%.
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