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Posted by BABU on August 20, 2024 at 10:17am 0 Comments 0 Likes
Warehouse kitting fulfillment can be a great way for online businesses to save time and money as well as optimize their inventory management. With this guide, we’ll take a closer look at just what exactly warehouse kitting is and how it can potentially benefit your company. Here’s all you need to know!
What Is Kitting In A Warehouse?
Warehouse kitting is the process of taking different yet related SKUs and combining them together to create a new SKU.Essentially, warehouse kitting involves fulfilling customer orders by pre-assembling individual items into kits that are ready to ship out right away, rather than picking and packing them individually.
For example, if a customer orders a personal computer online, they may also select certain software, USB drive, monitor and other components. The supplier would then assemble all of these items into a single kit to be shipped to the customer.
To understand the warehouse kitting procedure even better, let’s first understand what happens in a warehouse after an order is placed. Typically, when fulfilling an order for individual products, the item is located through the unique identifying code in the warehouse management system. Then, a staff member retrieves the item before updating the inventory and completing the order fulfilment. This process is repeated for every product that’s ordered, as individual SKUs assigned to individual items are all picked, packed and shipped separately.
With kitting, on the other hand, you bundle items that are usually ordered together to create one single unit in your inventory. So, when a new order is placed, you can quickly and easily locate the items as a bundle and ship it off right away.
Benefits Of Warehouse Kitting
Kitting offers a number of great benefits for companies to consider. Just a few of these include:
First and foremost, warehouse kitting is a great way to make your warehouse more organized and streamlined overall.When you use kitting, you generate fewer SKUs, making it easier for you to organize your inventory effectively. This, in turn, optimizes warehouse space and makes it much more efficient overall.
Speaking of efficiency, warehouse kitting increases that greatly too. If, for example, you have to assemble an order, kitting makes it simpler for your workers to locate all parts in one place, ultimately boosting worker efficiency and productivity. This, crucially, can give your business a competitive edge in the long run.
Increased efficiency, in turn, also helps to decrease labour costs!Fewer workforces are required to perform tasks, ultimately lowering your labour costs and saving your company money.
Kitting can also make your shipping process much simpler, streamlined and quicker.
Conclusion
Warehouse kitting can go a long way in making sure your shipping process is simpler and much more efficient, cutting down on the risk of human error and decreasing fulfilment times. You can print shipping labels beforehand, plus don't have to weigh and label individual items at the time of shipping, offering considerable time and money savings.
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