Third Party Logistics Company Sheds Light on Ways to Reduce Warehousing and Distribution Costs in Central Ohio

    COLUMBUS, OH, June 01, 2009 /24-7PressRelease/ -- The central Ohio region is fast becoming a hotbed for the warehousing/distribution industry as well as for transportation. Third party logistics (3PL) companies, such as Hyperlogistics, are experiencing rapid expansion as businesses and corporations around the country begin to fully realize the Columbus area's potential for more economical transportation and logistics operations. Situated near major transportation networks, including major interstates and waterways, the central Ohio area is seeing more and more businesses re-locate their major distribution centers.

As businesses across the country and around the world are re-evaluating their budgets and spending, it is only a matter of time before warehousing and logistics operations fall under the spotlight. Hyperlogistics group has been prepared for this surge in freight traffic through the area for a while, having recently upgraded their world headquarters to an ultra-modern 407,000 square foot facility at Rickenbacker Global Logistics Park, adjacent to the new Norfolk Southern Intermodal Terminal - one of the country's most advanced logistics hubs. However, a warehouse with state of the art efficiencies is just one of the many steps that businesses and organizations can take to become more economically efficient.

"It is impossible to overstate the value of a good warehouse design and layout," said George Childs, CEO. "A well designed warehouse will allow for a more streamlined and efficient product and order flow. When space is at a premium, having a layout that makes the flow of customer goods as efficient as possible is invaluable. Clearly an efficient operation translates to a financial saving for our customers. A poorly designed or organized warehouse wastes time, labor and other resources that can have a dramatic negative impact on customer costs."

An effective layout was just one area where warehousing and distributing costs can be cut that Childs and the 3PL experts at Hyperlogistics have identified. Other areas for easy reduction of expenses in the warehouse include:

• Inventory Control - Inventory is the largest and most important controllable asset for most companies
• Quality of Labor - having a dedicated and committed staff is a must
• Management of Labor - even the best workers need direction
• Technology Upgrade - bar code scanning and other technological improvements increase speed and productivity while reducing instances of human error

"Of course, the most obvious and beneficial method for reducing expenses throughout warehousing and distribution operations is to outsource with a third party logistics company," Childs continued. "Hyperlogistics already has the technology and resources implemented to take full advantage of nearly every conceivable method for increasing production and efficiency."

Most experts agree that the increasing internal costs that many companies are experiencing is actually making 3PL outsourcing cheaper than it would be for a company to properly upgrade its existing supply chain networks. Location also plays a big factor. The new Hyperlogistics facility at Rickenbacker Global Logistics Park is a prime access point awaiting the completion of Norfolk Southern's Heartland Corridor rail project, which is expected to double overall freight capacity through the area. Additionally, it was recently announce that $14 million in Federal government stimulus is being distributed toward the completion of a new road through the logistic park in the area, plus an additional $3.4 million to improve rail connectivity to the Rickenbacker Logistics Park and $7 million in State Stimulus Funds for improvements to the I-270 intersection leading into the park.

About Hyperlogistics

Founded in 1973, Hyperlogistics Group performs warehouse, distribution and supporting transportation functions in a unique and flexible manner in the logistics arena. Hyperlogistics Group works with each client on an individual and customized plan to improve efficiencies and reduce supply chain costs. For more information, visit www.hyperlog.com.

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