What is a Contract Warehouse?

January 15, 2020 Published by Amanda Lindberg

Contract Warehousing vs Public Warehousing

Contract warehousing provides space and resources dedicated to a single operation as opposed to a public or third-party logistics (3PL) warehouse, where multiple companies share space, equipment, and personnel. With a contract operation, competition for space availability, dock appointments, and material handling personnel is eliminated.

Benefits of Contract Warehousing

Utilizing a contract warehousing provider will reduce costs, improve operational performance, and remove the limitations associated with public warehousing. It will also allow your company to focus on its core competency. Contracted warehouse space is advantageous if any of the following problems affect your operation:

  • Difficulty recruiting and training warehouse staff in a tight labor market
  • Sub-par warehouse technology lacking critical functionality and customizability
  • Limited capital to allocate towards material handling equipment (MHE), proper racking, and technology
  • Operational inefficiencies due to facility location and layout

WOW Logistics® Contract Operations Solution

Contract Operations, WOW Logistics’ contract warehousing service, has the people, processes, systems, and tools to drive efficiency and cost-savings within your operation. With our solution, you will benefit from the following:

The Right People – Our experienced logistics-industry recruiters know how to find top talent, and our proven onboarding and training programs heavily focus on safety, best practices, and standard operating procedures. We also help foster the success of your operation with a temporary startup management team.

Innovative Technology – WOW’s top-tier warehouse management system (WMS) is customized by our in-house IT professionals. Our WMS offers maximum monitoring capabilities using real-time, customizable reporting and the ability to adapt to the needs of any operation.

Optimal Equipment Selection – MHE, racking, and technology are expensive. We help minimize these costs by covering the upfront capital investment and spreading the cost over longer periods. Our engineering team analyzes your operation to determine the equipment that best fits your needs.

In addition to Contract Operations, WOW Logistics also offers integrated supply chain solutions focused on real estate development, inventory financing, and transportation brokerage.

Explore our website to learn more.