Automating Labor-Intensive Tasks Cuts 3PL's Costs by 50%
Javelin Logistics reduced its reliance on manual labor and now thrives in the e-commerce marketplace by partnering with 3PL Central.
Javelin Logistics, a third-party logistics (3PL) provider, was looking to grow its business, which primarily shipped full pallets in and out of its facility, to one that could handle direct-to-consumer (DTC) fulfillment. However, its legacy WMS technology primarily managed just one type of workflow.
In order to accommodate this new emerging marketplace, Javelin Logistics was going to be dependent on manual labor to support these new customers with its current process. The company knew this plan was too labor-dependent and cost-intensive to be sustainable. Its next steps were to look for more efficient technology that would help grow the business as well as better serve its customers.
Javelin Logistics required a warehouse management system (WMS) that could automate manual labor and integrate with other systems in order to streamline e-commerce fulfillment. 3PL Central offered the solution and nearly cut planned costs by 50% by implementing 3PL Warehouse Manager WMS.
With a direct integration to mobile scanning, shopping carts, and shipping carriers, Javelin was able to expand its value-added services to existing customers, gain a competitive advantage to win new business, and reduce its reliance on manual labor. Today, the 3PL is not afraid to tell prospects that it has a goal of 99% inventory accuracy.
Going from a labor-based to a technology-driven 3PL allowed Javelin Logistics to thrive in the new e-commerce market without hiring more workers—saving on added labor costs in the long run. "3PL Warehouse Manager transformed our company," says Steve Oakley, VP at Javelin Logistics. "It helped us keep up with where the market was going."
Back then, offering one type of service was sufficient to be successful, but today's 3PL customers want more options. Steve continued, "Now we have a differentiated 3PL that offers many different services to different types of customers.''
Five years later, Javelin Logistics has expanded to 10 warehouse facilities and is continuing to grow order volume by 75% year over year.
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