How to Add Value and Process Compound Articles in your Warehouse

by | May 23, 2023 | 3PL Logistics

The logistics industry has undergone a complete transformation in the past two years, largely due to the far-reaching effects of the Covid pandemic. This unprecedented situation has resulted in contrasting outcomes for various companies. While some have experienced a surge in customer demands, others have seen their activities decline by as much as 90%. To navigate these rapidly changing dynamics, it has become crucial for businesses to have flexible systems. Only then can they capitalise on the logistics industry’s opportunities.

It is only possible to discuss the current landscape by acknowledging the booming e-commerce sector. Over the past period, we have witnessed a significant influx of customers in the e-fulfilment space. These logistics players have unique requirements that differ from traditional enterprises. As a result, industry standards have expanded to incorporate functionalities specifically tailored to this sector. These functionalities can prove highly advantageous for your operations. For instance, if your business involves shipping compound articles from your warehouse, you’ll find that 3PL Dynamics can greatly assist you in achieving success in this area.

The concept of compound articles is primarily designed for e-fulfilment providers, but it can also prove helpful in traditional processes. Nowadays, consumers can purchase bundles of items through online stores. Consider, for example, a starter kit for playing tennis, which includes a tennis racket and tennis balls. Rather than ordering the individual items separately, the consumer selects the starter kit as a single item on your customer’s website.

Once the consumer orders the tennis kit, it enters your 3PL Dynamics system. The order is automatically allocated using status templates. The original kit is then broken down, and new document lines are created for each article that comprises the tennis starter kit. As a result, the order is not sent to the warehouse, but rather your warehouse employees receive a clear order breakdown that they can work with. The order picker gathers the necessary articles, packs them accordingly, and dispatches them to the consumer. It sounds simple. But how do you set this up?

To work with compound articles in 3PL Dynamics, you can effortlessly support your value-added logistics (VAL) activities. Your software system automatically divides the order into individual customer items with which your order pickers are familiar. This allows them to pick different articles while you ultimately ship only one compound article—the tennis starter kit, in this case.

Game. Set. Match.

Whether your customer sells a tennis starter kit, a mobile phone bundled with a charger and headphones, or any other product with multiple items, compound articles enable you to manage the VAL process efficiently. If you’d like to learn more or need assistance implementing this functionality into your operations, please don’t hesitate to contact us via our customer portal. We are more than happy to help you emerge victorious in the game.

Related Posts