by Angela Cavallari Walker

According to a survey conducted by The Logistics & Supply Chain Forum, a large percentage of companies are not currently working with a 3PL or third party logistics company.

Of those surveyed, 23% felt that other fulfillment options were a better fit for their companies. One cited reason for this response was the belief that business owners could better control the level of service, cost and quality. Almost half of the other respondents had not even taken the time to review or weigh the option of using a third-party logistics provider.

Fulfillment outsourcing offers many opportunities for companies to control the shipping and fulfillment process without the hidden headaches associated with managing a warehouse, staff and equipment. Most fulfillment outsourcing now includes access to technological offerings such as a Warehouse Management System (WMS.) These systems are integral to the success of managing the storage and movement of inventory in a warehouse and depending on the level or tier can cost anywhere from $35,000 up to $2,500,000.

For fulfillment outsourcing companies such as, SBC Fulfillment, it was important to offer all the access to this technology as well as the control that business owners seek. "Technology continues to be a big driver in our service offerings," says SBC President Brian Schoenbaechler. SBC refers to their Warehouse Management System, SmartTurn as the "glass warehouse" effect, where companies still have the control to view what is going on with their inventory anytime from anywhere.

More reputable fulfillment services companies, such as SBC Fulfillment offer a dedicated client account manager and a customer service support team. By outsourcing their fulfillment, business owners are better able to hold fulfillment companies accountable to a higher level of service.

Perhaps the most surprising feedback from this survey is the amount of opportunity still on the table for both the fulfillment and 3PL industries.

Tags: warehousing | outsourcing | fulfillment | 3PL | WMS

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by Angela Cavallari Walker

SBC Fulfillment would like to welcome it's newest client, Cox Culinary Emporium. In this article, we will focus on those beautiful place settings through the eyes of a fulfillment company.  How does that elegant stemware find its way into the hands of party goers and guests? Here is the backstory to those special occasion settings.

A Seamless Process

Christmas is right around the corner, and fulfillment companies such as SBC are also gearing up. Take for instance that cocktail plate your coconut shrimp and dip are delicately resting on. What about that robust red wine that you are sipping in that beautifully-etched goblet? The process of getting those items into the hands of catering and party planners is accomplished through many solutions, including: kitting and assembly , packing, warehousing, order management, and customer service support . The first step involves the kitting and assembly process. Cox wanted the ability to focus on their core business without the distraction of having to organize and physically manage their inventory.

Their diverse items are ordered directly from the manufacturer and shipped to SBC where they are kitted and assembled . The kitting process refers to the act of picking parts or products from stock that require packaging. Items such as Cox's BPA-free LANITA WARE champagne flutes are picked by part number.  SBC's staff carefully packages each product and stores them in their 60,000 square feet of warehouse space. Cox is able to view product inventory such as their Clear Universal Utensil (an environmentally-friendly and elegant spork) at any time, from any computer with internet access.

Focusing on your business needs

Because Cox wanted to continue to market and grow their line of products, utilizing SBC's seasoned and knowledgeable customer service team was a must. By outsourcing this support, Cox can also avoid the expense of hiring and training a full customer support staff.

About the Client

Cox Culinary Emporium is an Atlanta-based company that serves up a line of LANITA WARE -a proprietary, dishwasher safe and BPA-free collection of plates, utensils and drink ware. Their extensive line of serving ware is casual enough for a barbeque but classy enough for a cocktail party.

To learn more about SBC Fulfillment and what they can do for your business click here

Tags: warehousing | packaging | holiday | Thanksgiving | outsourcing | fulfillment

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by Angela Cavallari Walker

Today's small business owners are turning to fulfillment outsourcing as a way to reduce their shipping costs, manage and control their inventory and streamline their processes. According to Brian Schoenbaechler, President of SBC Fulfillment, this not only gives merchants more control of shipping and packaging costs but allows owners to focus on increasing their bottom line. “Business owners want to spend more time on what they do best, which is running their business,” says Schoenbaechler.  Here are a few questions and answers to help navigate the best time and solution when seeking a fulfillment partner.

What is fulfillment outsourcing?
Simply stated, fulfillment outsourcing is the practice of using an outside vendor to store inventory and ship product to customers as orders are received. Other terms related to outsourcing fulfillment include: 3PL (third Party Logistics), outsourced warehousing and distribution centers. Over the years, fulfillment outsourcing has become a preferred method of managing back-office operations. Companies such as, SBC Fulfillment focus on handling this arduous task which can be costly and time-consuming.

Why not rent or build your own warehouse space?
According to Schoenbaechler, the estimated cost of renting and maintaining just 20,000 square feet of warehouse space can run as high as 100,000 annually. “This doesn't include other variables such as the liability of hiring employees to manage this space,” says Schoenbaechler.  Fulfillment companies are able to charge merchants a fixed cost for only the space that they use to store their inventory. Additionally, fulfillment companies typically offer larger warehouse space enabling merchants to expand and grow their business.

What role can a fulfillment network play in the world of Ecommerce?
Whether you are using USPS, FedEx, or UPS to deliver your goods your shipping was already being outsourced. Today, fulfillment companies are turning to technology to ease outsourcing for Ecommerce and traditional merchants. This “glass warehouse” concept gives businesses the ability to view their inventory, track and ship their orders all online from anywhere.  SBC has taken this technology a step further by offering a product called, Magento Connect - an application that allows current or new Magento customers to plug into SBC's warehouse management system.

When should a business consider outsourcing fulfillment?
Every business is different but all share the common goal of increasing productivity and profit. Here are some points to ponder when thinking of a good time to outsource.

Growth periods- As business sales increase so do does the need to be prepared to handle the volume without any hiccups.

Reducing costs- Outsourcing is a good way to view your current expenditures and cut your current costs.

Global growth- International growth can be risky. By outsourcing you assume less of that risk and are able to test the market without investing additional time and cost.

What should businesses look for when seeking a fulfillment company?
A good place to start would be through a referral. This could be a fellow business owner that you trust or through the Better Business Bureau .  Either way, you want to find a fulfillment partner that you can trust.  Here are a few other questions you should ask before making a decision.

Do you offer a trial period?  Before handing over your entire inventory see if the fulfillment company can provide a trial period for a smaller amount of inventory.

What software platform do they offer?  You will want to make sure that you are able to plug into their warehouse management system without the cost of purchasing software.

What is the location of their warehouse? Is the warehouse location/locations centrally located to where you will be shipping?

What are the terms and pricing of their contracts? Be sure to look for hidden costs and long-term contracts.

To learn more about fulfillment outsourcing or to obtain a quote click here

Tags: outsourcing | fulfillment | warehousing | ecommerce | georgia | magento

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Tags: fulfillment | distribution | atlanta | warehousing | import | export | outsourcing

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by Angela Cavallari Walker

You may have heard of longtime SBC Fulfillment client Hal Leonard-literally! For the past 60 years they have been putting sheet music and instructional books into the hands of eager students young and old alike.

Headquartered in Milwaukee, Wisconsin this company got it''s start in the late 1930s when brothers Harold "Hal" Edstrom, Everett Edstrom, and close friend Roger Busdicker formed a successful dance band. The Edstroms'' father was not thrilled about the prospect of his sons becoming traveling musicians, so Hal and Everett decided to merge their names and became known as the Hal Leonard band. The name not only stuck for the band, but for band leader Everett as well.

Eventually the Hal Leonard Band broke up, and then in 1947 after a successful run at directing high school bands Hal and Roger formed the Hal Leonard print and publishing company. It was their talent for orchestrating mainstream musical hits into school band arrangements that got the attention of other band directors throughout the United States.

Today, Hal Leonard''s printed books and music materials are sold in 65 countries and 7,500 stores and distributors throughout the United States and Canada. Since 1998 SBC Fulfillment has been the state depository and a distributor in Georgia for Hal Leonard.

Throughout the summer months, SBC Fulfillment warehouses, inventories, and ships these textbooks to classrooms in Georgia before the start of the school year. And for students that is music to their ears.

Tags: warehousing | georgia | Education | fulfillment

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Annual logistics report shows Georgia as top shipping port in nation

Georgia''s shipping industry is a bright spot in a dark economy, says the Council of Supply Chain Management Professionals (CSCMP) in its annual report released this month.

The Port of Savannah was one of only three international ports to see gains and experienced the largest increase of TEUs of all top ten ports. The logistics industry uses twenty foot equivalent units or TEU''s-a term of measurement used in intermodal transport. Savannah''s port traffic increased its TEU volume by an impressive 3.65%.

According to Georgia Port Authority (GPA) over the next 10 years, Savannah''s container terminal will be adding more efficient equipment designed to move cargo at much higher speeds.  Additionally, the Savannah channel depth will rise from 42 to 48 feet to make room for larger ships carrying heavier loads of international cargo.

The CSCMP report found a decrease of over 11% in air freight volumes for Georgia, and 9.4% nationally. A major reason for this decrease can be blamed on a financially flopping economy and inflated fuel costs in 2008. International cargo was impacted slightly less than domestic freight. However, in May of 2009, Atlanta''s Hartsfield-Jackson received the coveted World Air Cargo Award for "Airport of the Year" - bragging rights for Georgia''s logistics industry.

Other promising factors for continued growth in Georgia include $932 million in highway stimulus funds, and the pressure to create more efficient ways of moving goods throughout the world.

Tags: supply chain | import | export | operations | warehousing | georgia

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SBC Fulfillment would love to be your Georgia Depository!

Southern Book Company differentiates itself from the other Textbook Depositories in the State of Georgia based on our Exceptional Level of Service. We pride ourselves not on being the biggest depository, but on being “The Easiest to do business with…”

Educational publishers interested in bidding textbooks, software, and other media in Georgia often find our many years of experience working with the Georgia Department of Education to be very helpful. By coaching publishers through the adoption process, we have achieved an excellent reputation in the Textbook Publishing Industry as a friend of Publishers and Education Administrators. Georgia’s bid specifications and regulations sometimes appear quite stringent and demanding. SBC Fulfillment helps publishers take the worry and headaches out of the textbook evaluation process.

Georgia law specifies that all publishers wishing to do business with the Georgia Department of Education must warehouse their textbooks and materials within the state or ship to Georgia schools free of charge. SBC Fulfillment acts as the exclusive textbook depository in Georgia for University of Georgia Carl Vinson Institute of Government, Alfred Publishers, Hal Leonard Corporation, Santillana USA, REI America Inc., Warner Bros. Publications, and William H. Sadlier.

SBC Fulfillment is the only “full service” depository in Georgia to retrieve non-adopted textbook samples at the district level. We are the only depository guaranteeing delivery of Georgia Textbook Evaluation Samples for our contracted publishers. No project is too big or too small for our Georgia distribution centers.

Here is the link to the list of depositories in the State of Georgia.

Tags: georgia | fulfillment | Education | warehousing

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After traveling over 1,500 miles and carrying a total of 709 boxes, the 2009 Georgia State Site Deliveries have finally come to an end. This year SBC Fulfillment assisted 17 different publishers by delivering and setting up their materials at each of the 13 sites scattered around the state. The deliveries began on Monday June 22^nd and ended the following Friday. The week proved a great success and was executed smoothly (other than the occasional under-sized table).

SBC Fulfillment received materials from publishers all across the nation. After receiving the materials, SBC sorted them by site and by publisher. Once all materials were received, they were staged by site for delivery. SBC had two teams to go out on the deliveries, each carrying one-two sites to the predetermined locations. The routes were coordinated in a manner that minimized the time and distance traveled. The drivers used GPS and other mapping technologies to take them from site to site.

At each site, the materials were taken out of their boxes and setup for display. “Each publisher’s materials were setup as if they were our own” says Andy Whitaker, Project Manager for the Georgia State Site Deliveries. It took an average of approximately two hours per site to deliver and setup all materials. Before the week of the deliveries, SBC did a mock-setup of the materials for each publisher to eliminate any surprises and to ensure that the materials were setup in a uniform manner at each site. Of course, some creativity had to be used at certain sites due to space constraints.

SBC Fulfillment continues to be a low-cost, high-quality service provider to all publishers. If you were not on board for the GA State Site Deliveries this year, be sure to sign up next year!

SBC Fulfillment also offers other services such as assembling of sample boxes, sample distributions, book retrievals, product storage, and sample box retrofitting.

Tags: fulfillment | operations | warehousing | georgia

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Tags: operations | fulfillment | outsourcing | warehousing

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I read this grat article today on "How to select a 3PL." It is written by David Blanchard.

Link

Here is a summary

Before selecting a third-party logistics provider (3PL), Marc Tanowitz, principal with Pace Harmon, an outsourcing advisory services firm, suggests that manufacturers consider these five fundamentals:

Know Your Demand

Master (and Own) the Forecast

Set Clear and Fair Expectations

Measure Business Impact

Tags: outsourcing | fulfillment | operations | warehousing | supply chain

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I ran into this great article called "The Dos and Don''ts of Third-Party Logistics."written By David Blanchard.

Link

Here is a summary

Tags: warehousing | outsourcing | fulfillment | operations

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Tags: outsourcing | import | fulfillment | operations | warehousing | sustainability

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Over the years we have performed various projects for many of you. First of all I would like to thank you for your business! Please let us know if we can help you with any future warehousing, distribution, packaging, and/or fulfillment needs.

Also, if you have a moment, would you be so kind as to post your comments to our Google profile.  We have found that we are getting new customers from Google searches, so we are working on increasing our relevancy with Google .  A review will go a long way in improving our ability to be searched on Google .  However, it does require a Google account; if you do not have one then we appreciate your feedback none the less. I have provided a link below.

SBC Fulfillment Review Link

Thank you for your business,

Brian

Tags: outsourcing | fulfillment | packaging | warehousing | ecommerce | georgia

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As I write this I cannot help but think of the James Taylor song “Carolina in my mind .” This song has a certain sadness to it. I must say, building a business more fun than taking a business apart. SBC Fulfillment has not been immune to this year’s recession. In the past, we thought the textbook business to be recession proof; however this year is proving that theory wrong. As a result of these tough economic times, we closed down our North Carolina warehouse effective June 1, 2009. Chad Ross has done a wonderful job the past 12 years running the North Carolina Operation. He has been a tremendously loyal and hard working employee. Many of you have sent me letters over the years singing praises over his performance. Chad and I really appreciate the work you have given us into the North Carolina facility. Chad Ross and his team would like to say thank you to everyone in the textbook publishing industry with whom he has worked over the years. Chad is moving into the next phase of his professional career. I believe Chad plans to start his own business, providing services similar to those he performed for SBC over the years. Since SBC Fulfillment will not be supporting the North Carolina Caravan this year, I would encourage you to contact him at the following email if you are interested in his services. Chad can be reached at This e-mail address is being protected from spambots. You need JavaScript enabled to view it .

Thank you for your support over the years. SBC Fulfillment will continue operations from our Atlanta Georgia facility. If we can assist you with your warehousing, distribution, packagings, and/or fulfillment needs, please do not hesitate to give me a call at 678-370-0772.

Sincerely,

Brian Schoenbaechler

President

SBC Fulfillment

Tags: north carolina | fulfillment | operations | packaging | warehousing | outsourcing

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When it comes to the challenge of meeting customer''s needs one size does not fit all. Companies such as SBC Fulfillment offer creative solutions customized to meet their customer ’ s ever-changing needs.

Starting a business can be an overwhelming process, but add the stress of importing, storing, shipping, and managing those orders and you may be tempted to throw in the towel the first day. The process is not only complicated but can be time-consuming. SBC Fulfillment recognized this and built their services to meet the challenges of today ’ s businesses. When Atlanta-based company Info Retail Inc. needed a storage and order management solution, they turned to SBC to meet the demand for their business.

The challenge

Info Retail Inc. specializes in providing marketing solutions to the retail industry. One component to this solution is the ability to build and deliver creative displays for their retail customers. The inventory can vary dramatically literally in shape and size so finding a secure facility where these products could be stored was key. In addition to a limitless amount of storage available, Info Retail needed to be able to order, manage, and ship these displays to their clients throughout the United States without the investment of leasing additional space or purchasing and maintaining costly software to accomplish this.

The solution-

SBC Fulfillment was able to provide the ample amount of secure storage in their more than 60,000 square feet of warehouse space located in Atlanta. Each display was assembled and drop-shipped directly to SBC ’ s warehouse, where it was immediately inventoried and readied for shipment. SBC ’ s web-based Warehouse Management System was an integral piece to managing and tracking Info Retail’ s orders. This online product seamlessly ties into Info Retail’ s internal processes allowing them easy and secure access to enter, ship, and track their orders all in real time. SBC refers to this process as their “ glass warehouse ” technology wherein the order is processed and shipped within a 24-hour window.

One-Stop Shopping-

SBC ’ s A ’ La carte services offer one-stop-shopping for all your fulfillment needs. Services include:

* Warehouse/Fulfillment/Packing- SBC can store, package, and ship your inventory anywhere.

* Information Technology- SBC can help build your e-commerce site allowing your customers to order through YOUR website.

* Customer Service- SBC is able to provide the best customer service support for your business AND support for your customers as well.

* Web-Based Order Management System- SBC offers the simplest tool to order, ship, manage and track your products.

To learn more about SBC Fulfillment and these business solutions visit http://www.sbcfulfillment.com

Tags: operations | fulfillment | outsourcing | ecommerce | georgia | warehousing

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SBC Fulfillment would like to welcome its newest customer, Remedy Media Group. Remedy joined as a client in April after an extensive search for the right fulfillment service with the most streamlined and fully integrated services. Jason Mosby, Managing Member for Remedy has been most impressed with the versatility and hands on approach that the team at SBC has been able to deliver.“ Flexibility is the main reason we chose and are able to work with SBC,” says Mosby.

Remedy Media Group. Group was formed in 2002 and is headquarted in Raleigh, North Carolina with offices in Atlanta, Georgia and Washington D.C. It was crucial that they were able to offer an additional component to our products and services, says Mosby. Remedy’s main product focus is on developing branding, e-commerce software, as well as design and development for the entertainment industry. Remedy was able to utilize SBC’s packaging, shipping, and the customer service component not just for their business but for their clients as well. “We needed the most consistent way to ship to our customers,” says Mosby.

Tags: outsourcing | packaging | warehousing | fulfillment | operations

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ATLANTA–The Georgia Center of Innovation for Logistics introduced the first-ever statewide logistics industry report at a gathering of 400+ industry leaders in Midtown Atlanta. View the full Report. The report, titled 2009 Georgia Logistics Report: A Focus on Providers is the first comprehensive profile of Georgia’s logistics industry and was conducted by an independent research firm.

“Not only is logistics a priority for us, but it is also a key draw for foreign investment into our state,” remarked Kenneth Stewart, Commissioner, Georgia Department of Economic Development. “From our deepwater ports in Savannah to our busy Atlanta airport, the state of Georgia gives companies global reach.”

The logistics summit was held at TWELVE Atlantic Station from 11 a.m. to 1:30 p.m. on Thursday, April 16. Following an opening message from Governor Perdue, speakers included Curtis Foltz, chief operating officer of the Georgia Ports Authority; Dick Anderson, executive director, Georgia Regional Transportation Authority; Mark Holifield, senior vice president, global supply chain, Home Depot, Inc.; and Page Siplon, executive director, Georgia Center of Innovation for Logistics. “There are many moving parts in this ecosystem of companies we call the ‘logistics industry’. Georgia is focused on feeding this ecosystem with innovative tools and information, highlighting its success around the world, and showcasing its unique assets and advantages,” said Page Siplon, executive director of the Center of Innovation for Logistics. “This in turn attracts new jobs, investment and business opportunities. It’s a unique business development cycle of which GDEcD and the Center of Innovation for Logistics are proud to be a part.”

Key facts from the 2009 Georgia Logistics Report: A Focus on Providers:

• Georgia is ranked 5th in the nation for business process (logistics-related) patents issued.
• Georgia’s container terminal in Savannah is the 3rd largest in the nation, shipping over 2,616 million TEU’s in 2008.
• Each week, a combined 12 million tons of cargo moves on Georgia’s 21,000 miles of highways.
• The direct total value of output from logistics providers was $11.2B in 2007 dollars.

The 2009 Logistics Summit was presented in collaboration with the Georgia Motor Trucking, Georgia Railroad and Georgia Economic Developers Associations (GMTA, GRA, GEDA), the Savannah and Atlanta Maritime Associations, the Metro Atlanta Chamber Logistics Council and both the Savannah and Atlanta chapters of the Council of Supply Chain Management Professionals (CSCMP). A video of the 2009 Logistics Summit is available upon request.

The Center of Innovation for Logistics is Georgia’s leading resource for accelerating logistics growth and competitiveness in the state. The Center connects and works directly with all logistics sectors to identify common problems and innovative solutions. The result is a competitive edge for Georgia companies gained through access to applied university research, product commercialization and matching grant funds. ###

Link to 2009 Georgia Logistics Report

Tags: supply chain | warehousing | import | export

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Great post here on outsourcing ecommerce fulfillment.

The post is a very well written and a concise summary of outsourcing ecommerce order fulfillment.  The only part of your post that I think is debatable is the cost aspect.  I think it a bit strong to say that in-sourcing is always cheaper than out-sourcing.  Some variables that my make outsourcing cheaper are asset utilization and the cost of capital. 

Asset utilization at third party logistic (3PL) facilities is typical much higher than when someone has their own facility.  A small to mid-size ecommerce company may not be getting full utilization of their forklifts, people, warehouse, computers, racking, or vehicles.  Chances are they are only using them for part of the day and then these assets are idle.  

The cost of capital is a great reason to outsource in today''''s economy.  Banks have really tightened their credit terms with small and medium size businesses.  Getting a loan or a line of credit is very difficult today.  In an ecommerce business, your precious capital is probably better spent on advertising, marketing, and inventory.  For high growth businesses, outsourcing may be the only option to preserver capital in today''''s tough credit markets.

Overall great post.  I will be posting a link from my blog at http://www.sbcfulfillment.com/blog and you can follow me on twitter here:  http://twitter.com/bschoenbaechler

Tags: ecommerce | packaging | warehousing | outsourcing | operations | fulfillment

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CLICK TO ENLARGE

CLICK TO ENLARGE

Tags: outsourcing | packaging | operations | fulfillment | warehousing

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Where to Warehouse: The Top 10 for 2009

Feb 24, 2009 10:31 AM, By Patrick Barnard

Where’s the best location for a distribution center? That would be Henderson, KY, according to Chicago Consulting. The consultancy, which helps companies design and engineer their supply chains, has released its 12^th annual 10 Best Warehouse Networks for 2009.

The study lists the best towns and cities in the U.S. for locating DCs, outlining ten hypothetical networks—a single DC location, and so on, with the last network consisting of 10 DCs. It details the best location for each DC within each network—purely in terms of distance to population. It does not take into account things like transportation infrastructure; real estate costs; local and state taxes; available labor and other factors that play an important role in deciding where to locate a DC.

“There’s fundamentally only one criteria—which is distance—which translates into the amount of time it takes to get to customers,” explains Terry Harris, managing partner at Chicago Consulting. “We use a very sophisticated optimizing tool that we use in our routine consulting work which we have applied in this generic sense to the U.S. population.”

“This is not a tool that accounts for the road network, land values, labor rates, utility costs or anything of that nature,” he adds. “But it does account for the most important issue in designing a network from a service perspective, which is the amount of time it takes to get to market.”

Not only is it purely geographical in nature, the study is based on a “generic” company’s customer pattern. "When designing an individual company’s network, it’s always better to use their specific pattern," Harris acknowledges.

Henderson, KY, is the best place to locate one warehouse because it provides the shortest distance to the U.S. population and, therefore, the lowest outbound distance, and takes the least amount of time.

"Some shipments from Henderson would travel 100 miles, some 200 miles and still others over 1,000 miles, but the average from Henderson is the lowest possible—804 miles or 2.27 days," Harris says.

This year Henderson, KY, beat out Bloomington, IN, as the best location for a single DC.

“The switch from Bloomington to Henderson was driven by higher than average growth rates in the Southeast—Florida, Georgia, North and South Carolina,” Harris says. Among other minor changes, Palmdale, CA, changed to Bakersfield, CA, in networks two through five.

Harris says Chicago Consulting uses U.S. Census Bureau statistics—combined with other population indexes that measure population in the in-between years—in order to develop the study. “There’s actually many sources for population statistics—there’s the states, there’s third parties and the Census Bureau also does its own projections,” he explains.

To see a chart depicting the best warehouse locations for 2009, click here.

Tags: outsourcing | operations | fulfillment | warehousing

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