Warehousing is defined as the process of properly storing and handling goods that can be distributed or sold at a later stage. The Indian warehouse market is estimated to be a 12.2 billion dollar industry in 2020. The warehousing industry is one of the core components of a flourishing economy. The warehousing market is driven by the manufacturing, retail, and logistics sector. The warehousing industry is estimated to grow to a 20 billion dollar industry by 2025. Warehousing is said to be one of the most lucrative lines of work in the modern economy. Nearly 22 million people are employed by the warehousing industry. Warehouses are an integral part of any supply chain industry. Any successful product-based company needs a suitable warehouse to store the inventory. The process of choosing and selecting a warehouse is hectic and prolonged. We have simplified the entire process into 9 simple steps which help anyone rent a warehouse in Chennai.
The necessity for the correct warehouse selection
First, let us understand the need for the appropriate warehouse. The right warehouse is one of the most significant aspects of the modern supply chain industry. The right warehouse can decrease the delivery time and can move the overall efficiency in a positive direction. In the current world of eCommerce and a constantly evolving industry, a decrease in product cost and delivery time is one of the foremost goals of organizations, entrepreneurs, and enterprises. The right warehouse can contribute to all of the above points delivering the perfect resource critically needed by the industry to succeed.
9 simple steps to rent the right warehouse in Chennai
1. Location
Location is one of the most prominent points to consider when we are renting a warehouse in Chennai. Location plays a vital role in the logistics and the operational costs of the entire process. We have to consider the following checklist while we are selecting the location of the warehouse. Chennai’s warehouse district is divided into three clusters based on various factors. They are Sriperumbudur-Oragadam cluster, NH16-Periyapalayam cluster and the Maraimalai Nagar cluster. Out of these three clusters, The Sriperumbur-Oragadam cluster is the most prominent offering a wide variety of warehouses to choose from based on the size, rent, and facilities available. This cluster would be the best choice for the location considering the fact that there are numerous access points and other amenities available to the people. This cluster is home to some of the industry giants.
Consumers
The first point on the checklist while selecting the location of the warehouse is the proximity to our consumers. The warehouse has to be close to the consumers and the locale of the product delivery.
The location of the warehouse needs to be proximal to the consumers, this decreases the delivery time, which affects the consumer experience at the same time, proves profitable by reducing the operational cost.
Carriers Services
Carrier services are the connection between our customers and us. They are one of the most crucial components of an efficient supply chain process. The primary goal of an excellent supply chain system is to be fast. The warehouse location needs to be in a locality, which has an abundance of carrier services. The closer the carrier service is, the better it is. The distance is inversely proportional to the speed and efficiency of the process. Another importance of this step is the number of carrier services. It is always better to have more than one carrier service in the neighborhood to ensure that contingency plans are drafted in case of emergencies.
Special Product Requirements
The next critical facet of the location of the warehouse is product-dependent. The special requirements of the product need to be kept in mind during the selection of the warehouse. This might include the nature of the products and the resources required to handle the products efficiently.
Manpower availability
One of the most crucial resources is the availability of the workforce. The warehouse needs to be accessible and employable resources need to be available so that the entire process can run smoothly.
2. Diverse Capabilities
The next important step is the capabilities of the warehouse. While choosing the right warehouse to rent in Chennai, we have to consider the features of the warehouse on offer. This is dependent on the product and the services offered by the company. It is easier to find a warehouse just for storage rather than to find warehouses that have diverse capabilities is harder to find. A warehouse offering integrated and distinct capabilities is better when compared to simple warehouses offering just storage services. An added advantage of a warehouse with diverse capabilities is the consolidation of all the steps in the supply chain process under one roof instead of using multiple establishments for different needs of the process. This significantly reduces the delivery time and the operational costs.
3. Employees
Employees are one of the most crucial resources for an organization. When renting a warehouse, the availability of employees and their nature has to be considered. It is possible to get employees along with the warehouse. Under these circumstances, we have to consider the characteristics of the employees, their skill sets, and the nature of the products handled. If the products need special skills, the primary thing we have to check is the skill sets of the employees required to handle the product. Along with the skill set, their availability around the warehouse plays a crucial role in the warehouse renting process.
4. Necessary Affiliations
There are associations for warehouses on a local level as well as on a global level. It is vital to check the validity and necessary affiliations before renting it. This helps the warehouse credibility and the quality of services offered. Another critical reason to verify the essential partnerships is to hold the warehouse accountable for the services and facilities promised.
5. Application of Technology
Technology is an integral part of any modern business. For an industry such as the supply chain, technology plays an influential role in day-to-day activities. When renting a warehouse in Chennai, we have to check the warehouse for various technologies used and the availability of provisions to implement new ones. Technology directly impacts the delivery time, operational costs, and overall efficiency of the entire process.
6. Additional Services
A majority of the warehouses offer only storage and shipping services. However, it is beneficial to choose a warehouse that caters to additional services crucial to running a successful process. Some of the add-on services include quality control, packaging services, reverse logistics, labeling, and any services needed by the products. It would be possible to attain optimum performance by reducing the operational costs and the delivery time. This would be possible only with the help of a warehouse offering additional services.
7. Company Profile
The most vital point in the checklist to choose a warehouse is the organizational profile, the products being sold or shipped, and the nature of these products. The nature of the business is the deciding factor in the process of renting a warehouse in Chennai.
8. Associated Risks and Security
Just like any process, renting a warehouse involves risks. Another crucial point in the checklist in the renting a warehouse process is the risks associated with the process and the security protocols available to mitigate the risks. This warehouse will serve as a location to store products, equipment worth millions. Some of the key points to note here are the availability of fire safety measures, security features such as access control, CCTV, security guards, and the proximity to emergency services. We cannot eliminate the risks involved. Having said that, we can implement preventive security measures during the renting process to reduce the risks involved and increase the security blanket around the entire process.
9. Area
One of the central factors that influence our decision when renting a warehouse is the sheer size of the warehouse. Choosing a warehouse of the right size is crucial to the success of the entire process. The size of the warehouse is dependent on the following factors.
- The size of the process and organization
- The resources required
- The nature of the product
A warehouse is one of the most vital aspects of the supply chain industry. This guide helps the people who are currently in the market for warehouse real estate.
Looking for Rental Warehouse in Chennai?
Stockarea assists you in locating the ideal rental warehouse in Chennai for your business. Stockarea has a large network of warehouses throughout Chennai, allowing you to choose according to your specific requirements.
