Can a Dimensioning System reduce your warehousing and shipping costs? If so, how do you get the most for your investment?
By Paul Johnson, President Complete Mailing Solutions
With the ever-increasing costs of warehouse space and the recent introduction of shape-based pricing by major shipping carriers, many DC and warehouse managers are looking for ways to reduce costs, calculate rates more accurately and cope with ever-changing shipping and logistics requirements. For many, this begs the question… should you get a dimensioning system? Let’s take look…
Simply put, dimensional weighing systems efficiently automate the process of determining package size/shape and weight in conjunction with your shipping system. The optimal system for your operation will depend on shipping volume, size and type of items shipped and level of investment you wish to make. Companies that ship as few as 100/day find that an investment in a dimensional weighing system is well worth the expenditure.
Most companies have found that savings from dimensioning systems have resulted in payback in a little as a few weeks. Some areas where quantifiable savings are realized are:
- Space optimization
- Slotting optimization
- Reduced shipping costs
- Rate shopping and informed negotiations
- Pre-manifesting for more efficient throughput
- Pick/pack efficiency
- Item tracking
- Reduced labor costs (some companies reporting up to 90% savings in line labor)
- Streamlined returns process
- Data analysis to identify opportunities in areas such as capacity optimization, load balancing and bottleneck elimination
The list above is obviously just a summary and there’s more to unpack here than can be addressed in this blog post. If you’d like to dig deeper and learn the specific savings in each of these areas, check out this white paper: Dimensioning Systems: Getting the Most for Your Investment. It details how savings are realized for each of the bullet points above including how carriers are using the “black box” of dimensional-weight calculations to increase your overall spend.
In addition to details on cost savings, this white paper includes a guide to the 10+ Essentials to Look for in a Dimensioning System. After reading this white paper, you’ll be well-versed on what a dimensioning system can do for you and better equipped to evaluate the best system for your needs.
If you’d like a customized assessment of your needs, projected savings and investment requirements for your situation, contact Paul at paul.johnson@comp-mail.com or 303-761-0681 x211 and we’ll have a specialist provide a plan tailored specifically for your requirements.