Factors to Consider When Selecting a Warehouse for General Cargo

10 quick tips to Choose the right warehouse for your business

As more and more people turn to online shopping, retailers and wholesalers are feeling the pressure to get their products to consumers quickly and safely. This has led to unprecedented growth in warehouses to match up with trends like same-day shipping, next-day delivery, buy now, pay later, etc.

If you want to provide your customers with a hassle-free and exceptional delivery experience, it's essential to choose the right warehouse provider. But with so many options out there, how do you know which one is right for you? 

In the following sections, we'll go over some of the key factors you should consider when selecting a warehouse for your general cargo storage needs.

Location of the warehouse 

When selecting a warehouse, it's important to choose one that's in the correct location. If your warehouse is reasonably close to your customers, ensure that deliveries are cost-effective and timely. 

For this, analyze the transportation costs to and from the warehouse. Consider the most common delivery locations for the orders you fulfill. 

If your warehouse location is ideal, it is possible to meet and even exceed your customers' expectations by delivering orders in hours or days. 

Are you looking for a warehouse for rent in Dubai? Check out the different types of warehouses to find a suitable storage facility in Dubai.

2. Ease of access

Consider how easily you can get to the warehouse. The warehouse needs to have a smooth flow of goods coming in and out. Good accessibility can prevent any delays with your orders.

i) If you're into import or export business, it's better to choose a warehouse located close to the primary port(s) in your city. Warehouses located next to ports will ideally have all the infrastructure you need for your business. You can also utilize the additional benefits of the free zone.

ii) When assessing the ease of access of a warehouse, you should also consider factors such as access to public transportation, nature of traffic and congestion, road conditions and safety, proper signage, and connectivity to highways. 

iii) Warehouses located near highways with exit ramps can help you save money on fuel, shipping costs, and time and prevent any delays in deliveries.

By choosing a warehouse with better accessibility, you can also improve your relationships with suppliers and customers.

3. Storage requirements

To ensure your goods are stored safely, it's important to figure out how much storage space you need and check if the warehouse you're considering is a good fit. 

i ) Check if the warehouse is well-racked, supports bulk storage, and has sufficient square footage. 

ii) Analyze if the warehouse has all the essential provisions to store multiple types of products. Ensure that only compatible products are stacked together.

iii) If you are dealing with sensitive or fast-perishing products like food, medicines, or chemicals, your warehouse should meet the individual storage needs of each type of product.

4. Ability to ensure safe storage and handling 

If you need a warehouse space to store perishable food items, pharmaceutical products, or hazardous materials, ensure that the facility is fully equipped to meet these products' safety and integrity requirements. 
For example, the warehouse facility should have security alarms, biometric entry and access control, sprinklers, and other risk management processes in place.

The facility should employ well-trained employees with the necessary credentials and provide the right kind of warehouse equipment to ensure safe storage and handling of sensitive products.

5. Diverse capabilities and specialties

If you're looking for a warehouse facility that can take care of all your storage and distribution needs seamlessly, you should consider one with various capabilities. 

i) Choosing a single provider who can offer all the services you need in one package will make things easier for you. You'll have better coordination, more visibility, and more flexibility when it comes to picking up and delivering your goods.

ii) Modern asset-based warehouse providers invest heavily in facilities, trucks, technology, and employees. These will make your supply chain more efficient and reliable. 

iii) Compared to traditional warehousing providers, asset-based 3PLs offer a higher level of service and more value in terms of cost and how they operate. 

6. Experience of the warehouse provider

i) Find out when the warehouse was established, how it has performed over the years, and how it has tackled challenges in the past.

ii) Check if the warehouse has kept up with the latest technological advancements to ensure it can run efficiently.

iii) Identify if they have adequate experience in handling products from your industry. 
For instance, if you are running a pharma business, find out if the warehouse has expertise in handling pharma products and that it strictly meets the storage standards for medical goods. 

7. Adoption of warehouse technology

i) Ask the 3PL provider if they use a modern warehouse management system (WMS) and electronic data interchange (EDI) to enable continual visibility of shipments in transit. 

ii) Analyze if your ERP system can be integrated with the warehouse's existing software, so you can easily monitor your orders, inventory, shipments, and delivery statuses. 

iii) Several warehouses embrace advanced technologies like delivery drones, voice order picking tools, automated guided vehicles, and pick-by-vision systems to enable fast and seamless operations in this competitive age. It's better to list your technology requirements before deciding on the provider. 

8. Consider the warehouse's client profile

i) Check out the warehouse's client profile to see if they serve businesses like yours.

ii) If your storage requirements are simple, you can save money by renting a warehouse that offers storage services for small companies.

iii) Large warehouses that handle products from established brands offer several services in their package, which may not be necessary for small companies with limited budgets. 

You can learn more about the 3PL provider's services, experience, and market reputation by getting in touch with their references.

9. Additional services offered by the warehouse provider

Today, several 3PL providers offer additional services such as packaging, labeling, dispatching, quality control, and reverse logistics beyond basic storage and shipping services.
 
Choosing a warehouse provider that offers such additional services will save you time and money. 

10. Nature of rental contracts

If your company is dealing with seasonal products, choosing an on-demand warehouse with flexible storage plans is better.
If you are considering a long-term lease, the warehouse should provide room to accommodate your company's future growth. 

Find out whether you should rent a warehouse or opt for storage as a service.

Improve your operations with the right warehouse

Every aspect of the warehouse you choose will influence your business's bottom line, growth, and ROI. 
A good warehouse ensures that your products remain fresh, reduces loss by preventing inventory spoilage and theft, facilitates smooth movement of your stocks from the truck to the rack and vice versa, and enhances your customers' delivery experience. 

If you need a flexible warehousing facility in Dubai or other Emirates, our team can help. We provide a variety of on-demand and flexible warehousing packages that cater to your specific storage needs, whether long-term or short-term. Contact us today.

Preetha Tojy June 19, 2023
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