{"id":13867,"date":"2024-03-18T10:00:00","date_gmt":"2024-03-18T10:00:00","guid":{"rendered":"https:\/\/www.shipbob.com\/uk\/blog\/lean-logistics\/"},"modified":"2025-07-22T00:01:08","modified_gmt":"2025-07-22T00:01:08","slug":"lean-logistics","status":"publish","type":"blog","link":"https:\/\/www.shipbob.com\/uk\/blog\/lean-logistics\/","title":{"rendered":"Lean Logistics: Streamlining Your Supply Chain for Efficiency and Growth"},"content":{"rendered":"\n<div class=\"wp-block-shipbob-blocks-single-toc single-toc\" data-controller=\"blog-toc-controller\" data-action=\"scroll@window-&gt;blog-toc-controller#scrollChanged:passive\" id=\"toc-component\"><div class=\"single-toc-overview\"><p>Table of Contents<\/p><div class=\"single-toc-read-time\"><p>** Minutes<\/p><\/div><\/div>\n<p><a href=\"#h-what-is-lean-logistics-nbsp\">What is lean logistics?&nbsp;<\/a><\/p>\n\n\n\n<p><a href=\"#h-how-to-successfully-implement-lean-logistics-in-ecommerce-nbsp\">How to successfully implement lean logistics in ecommerce&nbsp;<\/a><\/p>\n\n\n\n<p><a href=\"#h-benefits-of-a-lean-approach-to-logistics-for-ecommerce-businesses-nbsp\">Benefits of a lean approach to logistics for ecommerce businesses&nbsp;<\/a><\/p>\n\n\n\n<p><a href=\"#h-does-lean-logistics-have-a-future-in-ecommerce-nbsp\">Does lean logistics have a future in ecommerce?&nbsp;<\/a><\/p>\n\n\n\n<p><a href=\"#h-tighten-up-your-fulfillment-logistics-with-shipbob-s-solutions-nbsp\">Tighten up your fulfilment logistics with ShipBob\u2019s solutions&nbsp;<\/a><\/p>\n\n\n\n<p><a href=\"#h-lean-logistics-faqs-nbsp\">Lean logistics FAQs&nbsp;<\/a><\/p>\n<\/div>\n\n\n\n<p>You might think your <a href=\"https:\/\/www.shipbob.com\/ecommerce-logistics\/\">ecommerce logistics<\/a> are running smoothly \u2013 especially if orders are being processed, fulfilled, and shipped consistently. But chances are, there\u2019s probably some waste in your operations that you haven\u2019t noticed yet.\u00a0\u00a0<\/p>\n\n\n\n<p>While physical waste such as discarded packaging is easy to spot, your brand may be suffering from more subtle, invisible forms of waste. Wasted time and effort on unnecessary processes, surplus staffing, inefficient <a href=\"https:\/\/www.shipbob.com\/inventory-management\/\">inventory management<\/a>, and more can all quietly eat into a business\u2019s bottom line.\u00a0\u00a0<\/p>\n\n\n\n<p>To minimise all forms of waste, many brands prioritize keeping their logistics lean. By managing logistics according to lean principles, you can improve your brand\u2019s operational efficiency, reduce <a href=\"https:\/\/www.shipbob.com\/blog\/logistics-costs\/\" target=\"_blank\" rel=\"noreferrer noopener\">logistics costs<\/a>, and ultimately facilitate a better experience for your customers.&nbsp;&nbsp;<\/p>\n\n\n\n<p>In this article, we\u2019ll take a look at the principles of lean logistics, highlight its benefits, and share some tips and best practices for making your own logistics operations leaner.&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-what-is-lean-logistics-nbsp\">What is lean logistics?&nbsp;<\/h2>\n\n\n\n<p>Lean logistics is an approach to <a href=\"https:\/\/www.shipbob.com\/ecommerce-logistics\/logistics-management\/\">logistics management<\/a> that focuses on identifying and eliminating waste in your supply chain. The goal of lean logistics is to remove any unnecessary processes or activities (that is, any processes or activities that don\u2019t add value to your operations), so that you can improve the continuous flow of goods within your supply chain, which in turn reduces costs while boosting <a href=\"https:\/\/www.shipbob.com\/blog\/logistics-efficiency\/\" target=\"_blank\" rel=\"noreferrer noopener\">efficiency<\/a>.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-key-principles-of-lean-logistics-in-ecommerce-nbsp\">Key principles of lean logistics in ecommerce&nbsp;<\/h3>\n\n\n\n<p>Lean logistics operations are guided by a few key principles. When executed together, these principles help optimise ecommerce logistics for efficiency, cost, and productivity.&nbsp;&nbsp;<\/p>\n\n\n\n<h4 class=\"wp-block-heading\" id=\"h-waste-reduction-nbsp\">Waste reduction&nbsp;<\/h4>\n\n\n\n<p>Waste comes in many different forms in ecommerce, and a lean logistics operation aims to minimise all of them. Specifically, lean logistics focuses on reducing waste in:&nbsp;<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Time (including lead times and transit times)&nbsp;<\/li>\n\n\n\n<li>Materials (<a href=\"https:\/\/www.shipbob.com\/blog\/raw-materials-inventory\/\" target=\"_blank\" rel=\"noreferrer noopener\">raw materials<\/a>, packaging, etc.)&nbsp;<\/li>\n\n\n\n<li>Products (lost, damaged, or <a href=\"https:\/\/www.shipbob.com\/blog\/obsolete-inventory\/\" target=\"_blank\" rel=\"noreferrer noopener\">obsolete inventory<\/a>)&nbsp;<\/li>\n\n\n\n<li>Effort (when human labour, focus, and attention devoted to unnecessary tasks)&nbsp;<\/li>\n<\/ul>\n\n\n\n<h4 class=\"wp-block-heading\" id=\"h-product-flow-improvement-nbsp\">Product flow improvement&nbsp;<\/h4>\n\n\n\n<p>Improving efficiency and throughput is also a key aspect of maintaining lean logistics. Lean logistics operations make sure that inventory flows seamlessly through the supply chain, and that various supply chain processes (including order processing, picking, packing, and shipping) are performed quickly and correctly, without unnecessary delays or interruptions.&nbsp;&nbsp;&nbsp;&nbsp;<\/p>\n\n\n\n<h4 class=\"wp-block-heading\" id=\"h-value-stream-mapping-nbsp\">Value stream mapping&nbsp;<\/h4>\n\n\n\n<p>Lean logistics relies on distinguishing value-adding elements of your operations from the superfluous ones. <\/p>\n\n\n\n<p>As a result, making your logistics leaner requires you to map the <a href=\"https:\/\/www.shipbob.com\/blog\/value-chain-vs-supply-chain\/\" target=\"_blank\" rel=\"noreferrer noopener\">value chain<\/a> across your operations to pinpoint which activities aren\u2019t necessary, which ones are experiencing delays and restraints, and which ones add value. <\/p>\n\n\n\n<p>That way, you can build on the value-added activities while eliminating the unnecessary ones.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-lean-logistics-vs-traditional-logistics-nbsp\">Lean logistics vs. traditional logistics&nbsp;<\/h3>\n\n\n\n<p>Traditional logistics prioritize outcome over process. While traditional logistics focus on executing all the necessary tasks to get orders to customers, little attention gets devoted to <em>how <\/em>these tasks are executed. This means that traditional logistics systems end up with:&nbsp;<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Outdated processes that lead to inefficiencies&nbsp;<\/li>\n\n\n\n<li>Higher labour and storage costs&nbsp;<\/li>\n\n\n\n<li>Excess or obsolete inventory&nbsp;&nbsp;<\/li>\n<\/ul>\n\n\n\n<p>Lean logistics, on the other hand, focuses on delivering the same highest-quality output with as little wasted time, effort, and materials as possible. This approach is more customer-centric than traditional logistics, and often results in a streamlined fulfilment and shipping process that achieves a more timely, accurate, and inexpensive delivery experience for the customer.&nbsp;&nbsp;<\/p>\n\n\n\n<p>Lean logistics also better equip brands to navigate unexpected challenges than traditional logistics systems. When your supply chain involves very little waste or extraneous processes, it is easier to pivot in response to supply chain bottlenecks or unforeseen issues (such as weather disasters, global crises, and port delays). As such, lean logistics help brands stay <a href=\"https:\/\/www.shipbob.com\/blog\/supply-chain-agility\/\" target=\"_blank\" rel=\"noreferrer noopener\">agile<\/a> and <a href=\"https:\/\/www.shipbob.com\/blog\/supply-chain-resilience\/\" target=\"_blank\" rel=\"noreferrer noopener\">resilient<\/a>.&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-how-to-successfully-implement-lean-logistics-in-ecommerce-nbsp\">How to successfully implement lean logistics in ecommerce&nbsp;<\/h2>\n\n\n\n<p>The principles of lean logistics look great on paper \u2013 but what do they look like in practice? Here are just a few of the ways brands can implement lean logistics management strategies in their own operations to minimise waste and improve efficiency.&nbsp;&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-implement-jit-just-in-time-inventory-management-systems-nbsp\">Implement JIT (just-in-time) inventory management systems&nbsp;<\/h3>\n\n\n\n<p>Many ecommerce businesses try to prevent <a href=\"https:\/\/www.shipbob.com\/inventory-kpis\/stockout-costs\/\">stockouts<\/a> by ordering and holding a significant amount of inventory \u2014 but this strategy often results in overproduction and excess inventory, which inflates your <a href=\"https:\/\/www.shipbob.com\/inventory-kpis\/holding-costs\/\">holdings costs<\/a> and ultimately leads to <a href=\"https:\/\/www.shipbob.com\/inventory-kpis\/dead-stock\/\">deadstock<\/a>.\u00a0<\/p>\n\n\n\n<p>Implementing lean inventory management strategies such as the \u201cjust-in-time&#8221; system (or JIT) helps you address this issue. The <a href=\"https:\/\/www.shipbob.com\/blog\/just-time-inventory-ecommerce\/\" target=\"_blank\" rel=\"noreferrer noopener\">just-in-time inventory<\/a> strategy relies on a pull system, where inventory is acquired based on customer demand. This means that inventory is procured in small quantities and then quickly restocked according to customer needs. <\/p>\n\n\n\n<p>This way, rather than holding copious amounts of inventory that may or may not sell, you always have just enough <a href=\"http:\/\/https\/\/www.shipbob.com\/blog\/inventory-days-hand\/%20%E2%80%8B\" target=\"_blank\" rel=\"noreferrer noopener\">inventory on-hand<\/a> to meet customer demand.&nbsp;&nbsp;<\/p>\n\n\n\n<p>Although the just-in-time approach helps you reduce waste and minimise cost, it requires impeccable procurement timing and accurate <a href=\"https:\/\/www.shipbob.com\/blog\/demand-forecasting\/\" target=\"_blank\" rel=\"noreferrer noopener\">demand forecasting<\/a>. It\u2019s important to have real-time inventory visibility so you always have an accurate picture of your <a href=\"https:\/\/www.shipbob.com\/blog\/inventory-levels\/\" target=\"_blank\" rel=\"noreferrer noopener\">inventory levels<\/a>, which will allow you to plan your procurement accordingly. <\/p>\n\n\n\n<p>Automatic reorder point notifications are also helpful, so that you\u2019re immediately notified if your inventory count reaches a certain level. This enables you to restock just in time to support your just-in-time strategy.&nbsp;<\/p>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-large\"><img loading=\"lazy\" decoding=\"async\" height=\"394\" width=\"700\" src=\"https:\/\/www.shipbob.com\/wp-content\/uploads\/2024\/01\/78805a221a988e79ef3f42d7c5bfd418-700x394.png?w=1280px\" alt=\"\" class=\"wp-image-11598\" data-responsive-img srcset=\"https:\/\/www.shipbob.com\/wp-content\/uploads\/2024\/01\/78805a221a988e79ef3f42d7c5bfd418-700x394.png?w=700px 650w, https:\/\/www.shipbob.com\/wp-content\/uploads\/2024\/01\/78805a221a988e79ef3f42d7c5bfd418-700x394.png?w=860px 768w, https:\/\/www.shipbob.com\/wp-content\/uploads\/2024\/01\/78805a221a988e79ef3f42d7c5bfd418-700x394.png?w=1180px 1080w, https:\/\/www.shipbob.com\/wp-content\/uploads\/2024\/01\/78805a221a988e79ef3f42d7c5bfd418-700x394.png?w=1400px 1280w, https:\/\/www.shipbob.com\/wp-content\/uploads\/2024\/01\/78805a221a988e79ef3f42d7c5bfd418-700x394.png?w=1600px 1440w\" fetchpriority=\"low\" \/><\/figure>\n<\/div>\n\n\n<h3 class=\"wp-block-heading\" id=\"h-focus-on-operational-efficiency-in-logistics-operations-nbsp\">Focus on operational efficiency in logistics operations&nbsp;<\/h3>\n\n\n\n<p>In lean logistics, every task a worker spends time on should be valuable and contribute to a goal.&nbsp; By auditing your warehouse processes and pinpointing extraneous or unhelpful processes, you can save your team a lot of time and effort across your operations.&nbsp;&nbsp;&nbsp;<\/p>\n\n\n\n<p>Consider optimising logistics operations like:&nbsp;<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Inventory receiving:<\/strong> Designate an area for receiving, and thoroughly count and inspect inventory for potential damage\/inconsistencies.&nbsp;&nbsp;<\/li>\n<\/ul>\n\n\n\n<ul class=\"wp-block-list\">\n<li><a href=\"https:\/\/www.shipbob.com\/blog\/warehouse-setup\/\" target=\"_blank\" rel=\"noreferrer noopener\"><strong>Warehouse layout<\/strong><\/a><strong>:<\/strong> Arrange your warehouse so that workers can travel quickly and safely, keep aisles wide enough so that equipment can easily pass through, and store inventory in easily accessible locations for pickers to speed up the picking process.&nbsp;&nbsp;<\/li>\n\n\n\n<li><strong>Picking:<\/strong> Reduce travel time using strategic pick lists that chart an efficient route through the warehouse, or implement a picking strategy like batch picking, zone picking, or wave picking to pick more orders in fewer trips. &nbsp;<\/li>\n\n\n\n<li><strong>Packing:<\/strong> Make sure packers know exactly how to place items in boxes or bags.&nbsp;<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-leverage-automation-nbsp\">Leverage automation&nbsp;<\/h3>\n\n\n\n<p><a href=\"https:\/\/www.shipbob.com\/blog\/supply-chain-automation\/\" target=\"_blank\" rel=\"noreferrer noopener\">Supply chain automation<\/a> tools help speed up logistics operations by minimising the need for manual work. This may involve:&nbsp;<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Automated order processing software that quickly confirms order details (rather than manually entering in each order) and pushes them to the next stage of fulfilment&nbsp;&nbsp;<\/li>\n\n\n\n<li>Ideal inventory distribution tools that automatically assign orders to and fulfil orders from the ideal fulfilment centre location to minimise shipping times and costs&nbsp;<\/li>\n\n\n\n<li>Box-selection algorithms that automatically identify the optimal packaging size for each order&nbsp;<\/li>\n\n\n\n<li>Automated sorting machines that scan every package to verify package dimensions and weights, and to automatically sort packages into various carrier lanes.&nbsp;<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-drive-optimization-through-data-and-analytics-nbsp-nbsp\">Drive optimisation through data and analytics&nbsp;&nbsp;<\/h3>\n\n\n\n<p>Data is key to identifying where and how your logistics could be leaner. By consistently monitoring and analising <a href=\"https:\/\/www.shipbob.com\/blog\/supply-chain-performance\/\" target=\"_blank\" rel=\"noreferrer noopener\">supply chain performance<\/a> KPIs, <a href=\"https:\/\/www.shipbob.com\/inventory-kpis\/inventory-analytics\/\">inventory analytics<\/a> and order data, and fulfilment metrics, you can clearly see which areas of your logistics operations are performing optimally, and which are creating bottlenecks or running inefficiently.\u00a0\u00a0<\/p>\n\n\n\n<p>For instance, brands can leverage <a href=\"https:\/\/www.shipbob.com\/inventory-management\/real-time\/\" target=\"_blank\" rel=\"noreferrer noopener\">real-time inventory<\/a> tracking to make more informed decisions about reorder quantities and inventory control, and subsequently improve supply chain workflows and make continuous improvements to your logistics.&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-benefits-of-a-lean-approach-to-logistics-for-ecommerce-businesses-nbsp\">Benefits of a lean approach to logistics for ecommerce businesses&nbsp;<\/h2>\n\n\n\n<p>Going the extra mile to make your ecommerce logistics leaner can benefit your brand in many ways. Here are some of the main advantages to implementing lean logistics in your operations.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-reduced-cost-nbsp\">Reduced cost&nbsp;<\/h3>\n\n\n\n<p>Since lean logistics focuses on reducing waste and inefficiencies, this approach naturally minimises costs associated with unnecessary transportation and movement, excess inventory, storage, and long wait times.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-increased-profitability-nbsp\">Increased profitability&nbsp;<\/h3>\n\n\n\n<p>Minimising costs usually helps bolster your brand\u2019s bottom line. Moreover, a higher operational efficiency and an improved order cycle time help you maximise profitability.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-enhanced-customer-satisfaction-nbsp\">Enhanced customer satisfaction&nbsp;<\/h3>\n\n\n\n<p>Lean logistics aims to optimise your <a href=\"https:\/\/www.shipbob.com\/blog\/shipping-logistics\/\" target=\"_blank\" rel=\"noreferrer noopener\">shipping logistics<\/a> to speed up deliveries. Faster fulfilment processes and optimal delivery routes allow you to quickly get orders delivered to your customers, which leads to improved customer satisfaction.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-better-supply-chain-flexibility-nbsp\">Better supply chain flexibility&nbsp;<\/h3>\n\n\n\n<p>Applying lean practices prepares your business to quickly respond to changing customer demand, which improves your supply chain flexibility. When you reduce lead times and streamline your processes, you create an agile supply chain that\u2019s capable of quickly adapting according to market and demand changes.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-increased-sustainability-nbsp\">Increased sustainability&nbsp;<\/h3>\n\n\n\n<p>A lean approach to logistics can also make your operations more sustainable and eco-friendly. When you reduce waste in the form of excess inventory and packaging waste, you\u2019re essentially adopting more sustainable practices in your <a href=\"https:\/\/www.shipbob.com\/blog\/supply-chain-execution\/\" target=\"_blank\" rel=\"noreferrer noopener\">supply chain execution<\/a>. Additionally, improving your resource utilisation and optimising transportation routes helps to reduce your environmental impact.&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-does-lean-logistics-have-a-future-in-ecommerce-nbsp\">Does lean logistics have a future in ecommerce?&nbsp;<\/h2>\n\n\n\n<p>Lean logistics doesn\u2019t just have a future in ecommerce; it <em>is <\/em>the future of ecommerce.&nbsp;&nbsp;<\/p>\n\n\n\n<p>With the promise of increased flexibility and efficiency along with better cost savings, lean logistics is absolutely key to remaining competitive and staying ahead of the curve in ecommerce. As such, lean practices and automation tools are quickly becoming must-haves, rather than nice-to-haves, for ecommerce brands.&nbsp;<\/p>\n\n\n\n<p>Leveraging lean logistics, many brands have been able to:&nbsp;<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Provide <a href=\"https:\/\/www.shipbob.com\/blog\/guide-offering-affordable-2-day-shipping\/\" target=\"_blank\" rel=\"noreferrer noopener\">2-day shipping<\/a> to compete with retail giants such as Amazon&nbsp;<\/li>\n\n\n\n<li>Build scalable operations that can handle increased order volumes&nbsp;&nbsp;<\/li>\n\n\n\n<li>Invest cost-savings in growing existing channels and expanding into retail partnerships, and marketplace platforms&nbsp;<\/li>\n\n\n\n<li>Devote time to strategic priorities such as marketing and product innovation&nbsp;<\/li>\n<\/ul>\n\n\n\n<p>However, lean logistics don\u2019t just happen on their own \u2013 it can take a lot of legwork. To make the process of streamlining logistics easier, many brands find it helpful to partner with a professional logistics provider like ShipBob. <\/p>\n\n\n\n<p>ShipBob\u2019s solutions can optimise your inventory management, fulfilment, and shipping operations for you, so that you can enjoy the benefits of lean logistics without the stress of implementing them yourself.&nbsp;&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-tighten-up-your-fulfillment-logistics-with-shipbob-s-solutions-nbsp\">Tighten up your fulfilment logistics with ShipBob\u2019s solutions&nbsp;<\/h2>\n\n\n\n<p>As an expert ecommerce logistics partner, ShipBob specializes in streamlining ecommerce brands\u2019 logistics to save time, improve productivity, and reduce costs.&nbsp;&nbsp;<\/p>\n\n\n\n<p>ShipBob\u2019s powerful proprietary software and leading fulfilment services empower brands to run leaner logistics operations with top-quality results \u2013 and with both outsourced and in-house solutions, ShipBob\u2019s team is ready to help any SMB and mid-market brand go lean.&nbsp;&nbsp;<\/p>\n\n\n\n<p>Here are just some of the ways that ShipBob helps merchants achieve leaner logistics.&nbsp;&nbsp;&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-track-key-metrics-to-gain-new-insights-nbsp\">Track key metrics to gain new insights&nbsp;<\/h3>\n\n\n\n<p>Data is the foundation of any lean logistical operation \u2013 and with ShipBob as your partner, you\u2019ll gain deep visibility into order fulfilment and inventory metrics, including:&nbsp;<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Inventory turnover rate&nbsp;<\/li>\n\n\n\n<li>Percentage of orders fulfilled on time&nbsp;<\/li>\n\n\n\n<li>Average fulfilment cost&nbsp;<\/li>\n\n\n\n<li>Average transit time&nbsp;<\/li>\n\n\n\n<li>Inventory on hand&nbsp;<\/li>\n<\/ul>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-large\"><img loading=\"lazy\" decoding=\"async\" height=\"437\" width=\"700\" src=\"https:\/\/www.shipbob.com\/wp-content\/uploads\/2024\/03\/911af7aa209e00b49f3d6fd2afa92564-700x437.jpg?w=1280px\" alt=\"\" class=\"wp-image-15313\" data-responsive-img srcset=\"https:\/\/www.shipbob.com\/wp-content\/uploads\/2024\/03\/911af7aa209e00b49f3d6fd2afa92564-700x437.jpg?w=700px 650w, https:\/\/www.shipbob.com\/wp-content\/uploads\/2024\/03\/911af7aa209e00b49f3d6fd2afa92564-700x437.jpg?w=860px 768w, https:\/\/www.shipbob.com\/wp-content\/uploads\/2024\/03\/911af7aa209e00b49f3d6fd2afa92564-700x437.jpg?w=1180px 1080w, https:\/\/www.shipbob.com\/wp-content\/uploads\/2024\/03\/911af7aa209e00b49f3d6fd2afa92564-700x437.jpg?w=1400px 1280w, https:\/\/www.shipbob.com\/wp-content\/uploads\/2024\/03\/911af7aa209e00b49f3d6fd2afa92564-700x437.jpg?w=1600px 1440w\" fetchpriority=\"low\" \/><\/figure>\n<\/div>\n\n\n<p>Using these metrics, you can identify optimisation areas and proactively improve your logistics operations.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-distribute-inventory-for-faster-cheaper-shipping-nbsp\">Distribute inventory for faster, cheaper shipping&nbsp;<\/h3>\n\n\n\n<p>Shortening transit times and reducing unnecessary travel are core aspects of lean logistics. You can use ShipBob\u2019s Ideal inventory distribution tool to identify the most optimal allocation of inventory across ShipBob\u2019s network that will allow you to meet customer demand while minimising your average shipping zone. This way, you can reduce shipping times and costs, and provide a better delivery experience for customers.&nbsp;&nbsp;<\/p>\n\n\n\n<p>From there, ShipBob\u2019s Inventory Placement Program will actually take care of this distribution for you. All merchants have to do is send inventory to one hub location, rather than multiple regional fulfilment centres, saving you the hassle and expense of multiple inventory shipments.&nbsp;<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-style-blog is-layout-flow wp-block-quote-is-layout-flow\">\n<p><em>\u201cWe\u2019re fulfilling orders from 4 ShipBob fulfilment centres on the West Coast, Southwest, Midwest, and Northeast. By storing inventory and fulfilling orders from 4 different regions, we\u2019ve been able to engineer it so that most of our shipments are within Zones 1 and 2. <\/em><\/p>\n\n\n\n<p><em>Eliminating high shipping zone ranges by distributing inventory is a no-brainer, and really helps us minimise our shipping costs, especially on high-velocity items.\u201d&nbsp;<\/em>&nbsp;<\/p>\n\n\n\n<p>Neil Blewitt, SVP of Operations at <a href=\"https:\/\/www.shipbob.com\/blog\/bloom\/\" target=\"_blank\" rel=\"noreferrer noopener\">Bloom Nutrition<\/a>&nbsp;<\/p>\n<\/blockquote>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-reduce-overhead-nbsp\">Reduce overhead&nbsp;<\/h3>\n\n\n\n<p>When you outsource fulfilment to ShipBob, you hand off logistics to experts that are already equipped with the right infrastructure, staff, and equipment. You can then leverage their expertise to pick, pack, and ship orders for you, without investing in expensive warehousing and storage necessities yourself.&nbsp;&nbsp;<\/p>\n\n\n\n<p>Car care brand <a href=\"https:\/\/www.shipbob.com\/blog\/autogeek\/\" target=\"_blank\" rel=\"noreferrer noopener\">AutoGeek<\/a>, for instance, used to struggle with fixed costs for warehousing and labour, and was paying to maintain a 30-person team even when order volume was low. Outsourcing fulfilment to ShipBob gave them a flexible solution that cut overhead while still providing the labour they needed to handle spikes in demand effectively.&nbsp;&nbsp;<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-style-blog is-layout-flow wp-block-quote-is-layout-flow\">\n<p><em>\u201cWhen we had our own warehouse, our fulfilment costs were a lot higher. We\u2019re already seeing those numbers go down with ShipBob. That helps with our margin a lot.\u201d<\/em>&nbsp;<\/p>\n\n\n\n<p>John Lewis, President and COO of Vision Investments&nbsp;<\/p>\n<\/blockquote>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-manage-inventory-in-real-time-nbsp-nbsp\">Manage inventory in real time&nbsp;&nbsp;<\/h3>\n\n\n\n<p>With ShipBob\u2019s inventory dashboard, you get real-time visibility into your inventory across the supply chain. This enables you to better control its movement and promptly respond to delays and disruptions.&nbsp;&nbsp;<\/p>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-full\"><img decoding=\"async\" src=\"https:\/\/www.shipbob.com\/uk\/wp-content\/uploads\/sites\/32\/2024\/08\/inventory-summary-and-turnover-from-ShipBobs-analytics-tool.png?w=1280px\" alt=\"\" class=\"wp-image-15071\" data-responsive-img srcset=\"https:\/\/www.shipbob.com\/uk\/wp-content\/uploads\/sites\/32\/2024\/08\/inventory-summary-and-turnover-from-ShipBobs-analytics-tool.png?w=700px 650w, https:\/\/www.shipbob.com\/uk\/wp-content\/uploads\/sites\/32\/2024\/08\/inventory-summary-and-turnover-from-ShipBobs-analytics-tool.png?w=860px 768w, https:\/\/www.shipbob.com\/uk\/wp-content\/uploads\/sites\/32\/2024\/08\/inventory-summary-and-turnover-from-ShipBobs-analytics-tool.png?w=1180px 1080w, https:\/\/www.shipbob.com\/uk\/wp-content\/uploads\/sites\/32\/2024\/08\/inventory-summary-and-turnover-from-ShipBobs-analytics-tool.png?w=1400px 1280w, https:\/\/www.shipbob.com\/uk\/wp-content\/uploads\/sites\/32\/2024\/08\/inventory-summary-and-turnover-from-ShipBobs-analytics-tool.png?w=1600px 1440w\" fetchpriority=\"low\" \/><\/figure>\n<\/div>\n\n\n<p>You can clearly see how much inventory you have left and make replenishment orders in line with the just-in-time system. Moreover, you can pinpoint problem areas and fix them to keep products flowing seamlessly throughout the supply chain.&nbsp;<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-style-blog is-layout-flow wp-block-quote-is-layout-flow\">\n<p><em>\u201cWith ShipBob, we finally got the visibility and analytics we were looking for. We get real-time insight into how much inventory to allocate to a specific warehouse, our current on-hand inventory levels, and how long each SKU is going to last by location. ShipBob provides a lot of distribution metrics, and everything presented is useful.\u201d<\/em><\/p>\n\n\n\n<p>Mithu Kina, Founder and CEO of <a href=\"https:\/\/www.shipbob.com\/blog\/baby-doppler\/\" target=\"_blank\" rel=\"noreferrer noopener\">Baby Doppler<\/a>&nbsp;<\/p>\n<\/blockquote>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-implement-shipbob-wms-to-optimize-in-house-logistics-nbsp\">Implement ShipBob WMS to optimise in-house logistics&nbsp;<\/h3>\n\n\n\n<p>If you prefer to keep your fulfilment in-house, ShipBob\u2019s powerful <a href=\"https:\/\/www.shipbob.com\/product\/wms\/\" target=\"_blank\" rel=\"noreferrer noopener\">WMS<\/a> helps you optimise your warehouse logistics according to lean principles. The platform serves as a single source of truth to give you more visibility into every aspect of your logistics processes, enabling you to better control your operations.&nbsp;<\/p>\n\n\n\n<p>The WMS automatically processes your orders across all your sales channels and kickstarts the fulfilment process. It calculates optimal picking routes to ensure that your pickers can complete their picking lists with minimal back and forth. This drastically reduces picking time and helps you get orders out the door faster.&nbsp;<\/p>\n\n\n\n<p>You can even use the WMS to put orders on hold if you\u2019re not ready to ship them while releasing the orders you want to fulfil. This allows you to prevent backlogs and maintain a consistent <a href=\"https:\/\/www.shipbob.com\/blog\/inventory-flow\/\" target=\"_blank\" rel=\"noreferrer noopener\">inventory flow<\/a>.&nbsp;&nbsp;&nbsp;<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-style-blog is-layout-flow wp-block-quote-is-layout-flow\">\n<p>\u201cShipBob\u2019s WMS has more than doubled, if not tripled, our productivity in terms of labour hours. Our average days to ship is now only 0.8 days, so most packages are shipping same-day or next-day, with rare exceptions. We\u2019ve cut 4 days of lead time because orders are getting processed, fulfilled, and shipped more efficiently. When we first started with ShipBob, we were doing about 15K orders per month, and now we\u2019re processing 30K \u2014 double what we were doing just six months ago.\u201d <\/p>\n\n\n\n<p><em>\u2014 Ben Tietje, Co-Founder and CEO of <a href=\"https:\/\/www.shipbob.com\/blog\/earthley\/\">Earthley<\/a>&nbsp;<\/em><\/p>\n<\/blockquote>\n\n\n\n<p>To learn more about how ShipBob can make your logistics leaner, click the button below.&nbsp;<\/p>\n\n\n\n<div class=\"wp-block-buttons is-content-justification-center is-layout-flex wp-container-core-buttons-is-layout-16018d1d wp-block-buttons-is-layout-flex\">\n<div class=\"wp-block-button\"><a class=\"wp-block-button__link wp-element-button\" href=\"https:\/\/www.shipbob.com\/quote\/\">Speak to a Fulfilment expert<\/a><\/div>\n<\/div>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-lean-logistics-faqs-nbsp\">Lean logistics FAQs&nbsp;<\/h2>\n\n\n\n<p>Below are the most commonly asked questions about lean logistics.&nbsp;<\/p>\n\n\n\n<div class=\"wp-block-shipbob-blocks-single-faq single-faq direction-col\" data-controller=\"faq-controller\" data-faq-controller-open-value=\"true\"><div class=\"single-faq-title-contianer\"><h4 class=\"single-faq-title\">What is lean logistics, and how does it differ from traditional logistics?&nbsp;<\/h4><div class=\"single-faq-expand\" data-faq-controller-target=\"expand\"><img decoding=\"async\" src=\"\/wp-content\/themes\/shipbob-2022\/resources\/svg\/plus-solid.svg\" \/><\/div><\/div><div class=\"single-faq-childs\" data-faq-controller-target=\"answer\"><div>\n\n<p>Lean logistics is a methodology that involves identifying and eliminating any activities that don\u2019t add value to your logistics operations. It varies from traditional logistics in that focuses on reducing waste and inefficiencies that are common with traditional systems.&nbsp;<\/p>\n\n<\/div><\/div><\/div>\n\n\n\n<div class=\"wp-block-shipbob-blocks-single-faq single-faq direction-col\" data-controller=\"faq-controller\" data-faq-controller-open-value=\"true\"><div class=\"single-faq-title-contianer\"><h4 class=\"single-faq-title\">How can lean logistics improve efficiency in ecommerce fulfilment?&nbsp;<\/h4><div class=\"single-faq-expand\" data-faq-controller-target=\"expand\"><img decoding=\"async\" src=\"\/wp-content\/themes\/shipbob-2022\/resources\/svg\/plus-solid.svg\" \/><\/div><\/div><div class=\"single-faq-childs\" data-faq-controller-target=\"answer\"><div>\n\n<p>Lean logistics removes processes that are unnecessary and that may cause delays and disruptions. As such, it improves efficiency by ensuring that each activity serves a purpose and is performed quickly and accurately.&nbsp;<\/p>\n\n<\/div><\/div><\/div>\n\n\n\n<div class=\"wp-block-shipbob-blocks-single-faq single-faq direction-col\" data-controller=\"faq-controller\" data-faq-controller-open-value=\"true\"><div class=\"single-faq-title-contianer\"><h4 class=\"single-faq-title\">Can lean logistics help reduce shipping and fulfilment costs for ecommerce?&nbsp;<\/h4><div class=\"single-faq-expand\" data-faq-controller-target=\"expand\"><img decoding=\"async\" src=\"\/wp-content\/themes\/shipbob-2022\/resources\/svg\/plus-solid.svg\" \/><\/div><\/div><div class=\"single-faq-childs\" data-faq-controller-target=\"answer\"><div>\n\n<p>Yes, lean logistics helps reduce shipping and fulfilment costs for ecommerce businesses by eliminating unnecessary activities and minimising waste.<\/p>\n\n<\/div><\/div><\/div>\n\n\n\n<div class=\"wp-block-shipbob-blocks-single-faq single-faq direction-col\" data-controller=\"faq-controller\" data-faq-controller-open-value=\"true\"><div class=\"single-faq-title-contianer\"><h4 class=\"single-faq-title\">How does ShipBob help ecommerce businesses achieve a lean logistics structure?<\/h4><div class=\"single-faq-expand\" data-faq-controller-target=\"expand\"><img decoding=\"async\" src=\"\/wp-content\/themes\/shipbob-2022\/resources\/svg\/plus-solid.svg\" \/><\/div><\/div><div class=\"single-faq-childs\" data-faq-controller-target=\"answer\"><div>\n\n<p>ShipBob enables ecommerce businesses to achieve a lean logistics structure by providing real-time inventory management, outsourced fulfilment, and strategic inventory distribution.&nbsp;<\/p>\n\n<\/div><\/div><\/div>\n\n\n\n<div class=\"wp-block-shipbob-blocks-single-faq single-faq direction-col\" data-controller=\"faq-controller\" data-faq-controller-open-value=\"true\"><div class=\"single-faq-title-contianer\"><h4 class=\"single-faq-title\">Is there a difference between lean logistics and lean supply chain management?&nbsp;<\/h4><div class=\"single-faq-expand\" data-faq-controller-target=\"expand\"><img decoding=\"async\" src=\"\/wp-content\/themes\/shipbob-2022\/resources\/svg\/plus-solid.svg\" \/><\/div><\/div><div class=\"single-faq-childs\" data-faq-controller-target=\"answer\"><div>\n\n<p>Lean logistics is a part of <a href=\"https:\/\/www.shipbob.com\/blog\/lean-supply-chain\/\" target=\"_blank\" rel=\"noreferrer noopener\">lean supply chain<\/a> management. Lean logistics focuses on removing waste in logistics functions (such as order processing, picking, packing, and shipping), whereas lean supply chain management is a more wholistic approach and focuses on eliminating waste and inefficiencies across the entire supply chain (including manufacturing, procurement, and last-mile transportation).<\/p>\n\n<\/div><\/div><\/div>\n","protected":false},"excerpt":{"rendered":"<p>Discover the principles of lean logistics, as well as tips and best practices for making your own logistics operations leaner.<\/p>\n","protected":false},"author":194,"featured_media":13869,"parent":0,"template":"","meta":{"content-type":"","inline_featured_image":false,"footnotes":""},"blogcategories":[9],"class_list":["post-13867","blog","type-blog","status-publish","has-post-thumbnail","hentry","blogcategories-logistics"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v27.5 (Yoast SEO v27.5) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>What is Lean Logistics? 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