Supply Chain Strain: Warehousing And Distribution Challenges


As a result of the epidemic, warehouses and distribution centres (DCs are confronting unprecedented hurdles. Meanwhile, customer demand is increasing as a result of e-commerce, resulting in backlogs and delays that hurt a company's bottom line. However, these problems may be overcome by utilising current technology, and these endeavours do not have to be highly costly or broad in order to provide a corporation an advantage. The most difficult challenge is keeping employees in a sector where lateral movements are widespread as individuals seek better working circumstances. Without the assistance of technology, it might be challenging to offer a comfortable atmosphere for employees as e-commerce increases and greater efficiency is anticipated along the supply chain. Without automation, the demand for human work will only increase in any 3rd party distribution and warehousing.

The second most difficult challenge is dealing with inventory, including when it is received, how it is housed, and how long it takes to send it back out. Without AWL India’s 3PL distribution services the inventory loses value and is more likely to deteriorate or be damaged when it stays in a warehouse for an extended period. Similarly, suppose a warehouse has a low turnover rate. Logistics in distribution management plays an important role therefore, inventory management becomes considerably more difficult, especially if no digital system is in place to track what's being held, where it's situated, and when it arrived. Moreover the other challenges are as follows: 

  • Finding and retaining talent

  • Demand forecasting

  • Inventory management

  • Fixed overhead costs

  • Operator utilisation

  • Efficiency

  • Item damaging

  • Productivity


Incorporating AI technology could be a solution to these problems in warehouse distribution logistics. Every warehouse or distribution facility will have a unique approach to automation. Each facility must examine its particular demands and pain points to determine whether digital automation, such as tracking software, or physical automation, such as autonomous mobile robots, is appropriate for them. Initial automation investments might be tiny but pay off big time. Even mobile inventory scanning systems may assist cut labour expenses, operating costs, and human error while boosting customer service, staff happiness, and order accuracy. AWL is one of the leading 3PL distribution companies that enables your business with smart tech enabled warehouses so that you can keep up with the competition by incorporating new technology that reduces costs, increases efficiency, improves agility, and increases profitability.


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