Pick and Pack Services

Overview

Pick and pack services form a part of supply chain management. Pick and pack services generally deal with the more complex services that are provided in the warehousing segment of the logistics industry. There are many instances when complex order fulfillment processes have to be undertaken. Multiple products that come from one or more factories may have to be re-packed again by combining them with some other products. Pick and pack also entails product labeling and shipping services. Pick and pack services are generally used for consumer electronics, consumer packaged goods, and in retail industries.

How it Works

There is a packing list that gives instructions to the "picker" on what products to pick up and pack in an individual order. The list is provided by a computer when the picker is an automated system. The computer will comprehend the order as well the stocking locations for the various products that are to be brought together to fulfill the individual order. The end products are usually put in packages for shipment. The packed orders are made ready for shipment through third parties who can either be an overnight or a ground shipping service. Many pick and pack companies also render services such as product labeling, kitting and assembly, polybagging and shrinkwrapping, and co-packing. These additional services are provided based on the nature of the product because sometimes, special packaging may be required to ship the products safely.

There are many companies who provide pick and pack services as a part of their warehousing solution. First, determine your warehousing strategy. You should decide if you want it to be outsourced or want it done internally. Then, look for a company whose services meet your requirement the best.

Benefits

The orders placed by a consumer may involve bringing together products from more than one supplier. The benefits of pick and pack services become very obvious in such a situation. Without the assistance of pick and pack services, such customer orders cannot be fulfilled. Businesses can avail such services including warehousing and order fulfillment needs under one roof without incurring major costs. This not only helps the business in focusing on more important aspects such as increasing sales but also improves the service levels to customers.

Costs

Effective and efficient pick and pack services generally require an investment in very specialized equipment. The cost will depend on the substance, but you can get a fast quote online.

Timing

The timing usually depends on the business requirements. The company may consider delivering these services internally. However, when the complexity of order fulfillment exceeds what the company wants to invest on its own, it will naturally lead to the outsourcing of such functions. The company will also save costs by outsourcing when products have to be assembled together from different plants or divisions of the company for sales and delivery.