While strategizing to elevate your shipping network, it's easy to think of transportation as the key to changing your outcomes. After all, when it comes to shipping, moving goods from one place to another is the name of the game. But what if we told you that one of the most powerful ways to improve your transportation was actually through better inventory practices?
Picture this. You're moving through the usual inventory model, and you're finding that having your goods for up to 60 days before they are sent out to the customer is weighing down your bottom line. You need to get those products off the shelves fast. There are two common "solutions" for rapidly moving inventory that we see:
Myriad issues arise with both of these solutions. For one, airfreight is costly from an expense and sustainability standpoint. Putting large, heavy objects on planes can also lift your budget into the stratosphere. Not to mention all those carbon emissions polluting the environment. If your stakeholders are committed to sustainability, air movements are the most carbon-intensive options.
Waiting until the last minute to order from suppliers can be risky, too. COVID-19 has left unstable, volatile supply chains in its wake. There's less guarantee than ever before that the raw materials and finished goods you need will arrive on time—or anytime soon. Thanks to new variants, government shutdowns, ship backups, etc., there is no telling what potential shipping delay could come next. It's better to prepare now than find yourself caught in a sticky situation.
Luckily, there's a third solution that's often overlooked: outsourcing inventory ownership and management to experienced professionals.
By allowing a third party to take ownership of your inventory until you are ready to ship it out, you are not only freeing up your shelf space. but your finance books as well. Morgan's Inventory on Demand® offers your solution in the form of an end-to-end approach that helps improve your inventory process from start to finish.
Through Inventory on Demand®, Morgan completely owns your inventory until you are ready to actually use it or sell it. Instead of your inventory sitting static on your shelf, we keep it for you until you need it. This way, you'll take ownership for a significantly shorter period of time (sometimes 5 days or less). No more products or parts just sitting in your warehouse — this "invisible stock" becomes available exactly at the moment it's ready to be sold.
Inventory on Demand® may sound like a standard process, yet not many companies out there are offering this unique solution. As a pioneer of this practice, Morgan strives to give you the very best solution for your end-to-end shipping process, going beyond simply helping with inventory.
Once you submit a profile of your goods (detailing value, annual spend, shipping costs, and O&D), we gain a better understanding of your general operations. Then, we audit your transportation and can meet with your existing suppliers to create a three-way conversation. This can help you determine what inventory needs to be outsourced. At Morgan, we strive to meet you where you are and improve upon what you've already built throughout your entire shipping process.
As a pioneer of Inventory on Demand® solutions, Morgan can help improve your overall shipping strategy in these four ways:
Our Inventory on Demand® has already proven to help reduce air freight expenses and shipping costs on both a national and global level, even going as far as to reduce $1 million in annual transportation costs!
At Morgan, we strive to be a long-term partner for your shipping operation. Our team is ready to help you create a completely customized plan to elevate your shipping operation and assist your organization in reaching its goals. Reach out to us today to start a conversation.