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Why use a public warehouse?

Many companies are reluctant to outsource their distribution operation to a third party logistics company. Loss of control and concerns about costs are the main objections we hear. Public warehousing makes sense for several reasons.

  • The total costs are usually lower with a public warehouse. Most companies have a "peak" period where their need for warehouse space and labor increases significantly. For most of the year, they need a smaller amount of space and labor, but during peak periods, they may need as much as 50% more resources to handle the additional volume. Public warehousing allows you to increase your space and labor on an "as needed" basis. You pay only for the services you need, when you need it.
  • Your control will actually increase by using public warehousing. We will do whatever is necessary to make sure your products are received and shipped in an efficient manner. We realize that we are your representatives to your customer, and we take that responsibility very seriously. Same day shipments, overtime deliveries, inventory reports… whatever you need, when you need them.
  • Warehouses are poor investments. Most companies use some form of "internal rate of return" (IRR) to determine the best use of their capital. Warehouses are huge investments that rarely meet even the lowest IRR, but companies feel that warehouses are necessary evils. Public warehouses allow you to eliminate the need for this large investment, freeing up scarce resources for more profitable endeavors.
  • Public warehouses are cutting edge. Because warehousing and distribution are our business, we invest heavily in training and technology to insure that you receive the most value for your distribution dollar.

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