Indianapolis, IN -- (SBWIRE) -- 06/01/2016 -- Jose Bejarano, a key Bastian Consulting member discussed some recommendations for selecting the best location for opening new distribution center. There are many factors that can affect the decision of where the facility should be, including: real estate cost, transportation cost, labor cost, access to quality labor, taxes, transportation routes, service level guarantees, and many others. All of these factors might have different levels of importance depending on overall supply chain strategy, but it is always good to keep each of them in mind throughout the entire decision-making process.
According to Bejarano, "Transportation cost is typically one of the most important factors when deciding where to place a new facility as it could be a large source of cost, and it will continue to affect the bottom line of the company for as long as the facility exists. A common way to reduce transportation cost is to reduce the distance between the new D.C. and the customers you will be shipping to, while also minimizing the distance between the D.C. and the suppliers from whom you will be receiving product. Meaning that if most of my shipments go out to the Northeast, I would want to be as close as possible to my clients but close enough to my suppliers in the Midwest to avoid additional transportation cost."
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Bastian Solutions (http://ow.ly/LaOTe), a global material handling systems integrator and expert in e-commerce fulfillment automation is an innovator in the fields of material handling automation, goods-to-person systems, wearable AR technology, supply chain software, and robotics.
Bastian Solutions is headquartered in Indianapolis, Indiana, USA, with an additional 16 domestic offices and 7 international offices in Australia, Brazil, Canada, India, Mexico, and Qatar. Uniquely positioned, Bastian Solutions offers customers complete and innovative turnkey material handling systems, from design and simulation, all the way through installation and operations. Modern Materials Handling named Bastian Solutions 2015 Top 20 Systems Suppliers Worldwide.
Bastian Solutions provides integrated material handling systems reducing the total cost of order fulfillment and delivery cycle times for its customers; tremendous productivity gains and a quick return on investment are ensured. Automating supply chain logistics with harmony between material flow, information flow, and operational processes, yields a unique and important competitive advantage.
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