Getting Smart With The Physical Building Blocks Of Your Business

Getting Smart With The Physical Building Blocks Of Your Business

Getting Smart With The Physical Building Blocks Of Your Business

 

Every startup will have some physical element to its work – whether it’s the production and delivery of a product, or issuing letters and marketing materials for a service.

As it happens, the logistics and fulfillment side of the startup industry faces challenges; as GeekWire highlights, there’s a huge amount of funding, millions of dollars, being pushed into that space to rectify issues.

For a startup, it’s important that you don’t let logistics issues get in the way of growth – starting with production, for product-based businesses.

Hedging manufacturing costs

As S&P Global notes, the input costs of manufacturing remain high. As such, startups can expect to pay a premium to get their product out of the design room and into homes.

As such, it’s important to consider ways in which you can manage overheads and get the most out of manufacturing.

Opting for a factory that perhaps has higher initial costs but deploys smart manufacturing and uses state of the art machinery and inventory management, crucially through the setup of their conveyor systems and production line, can be important.

The same goes for choosing a warehouse operation for distributing your product.

Managing warehousing

Warehousing is not cheap. In an industry dominated by larger tech players and in which courier services are taking up a lot of room, there is a premium on storage.

Indeed, analysts Lumper HQ reckon you’ll pay anywhere from $0.75 to $3.00 per square foot. Getting it right is important, and a focus on the same fundamentals of obtaining a proper manufacturing unit ring true.

See also
Powell Left the Market a Bitter Capsule, Let's Test the Components

Keeping ahead of data

Cloud and data prices are continuing to rise, according to Analytics India, with costs rising 35% through 2020 and rising still. As such, the cheapness of storing data, or producing a platform on which to host services or SaaS, is a shrinking matter.

Finding an affordable solution is important, but so is the sophistication of the software at hand. Looking to move platforms with regularity is an important principle, and is easily achieved – modern tools and methods make moving providers easy, for instance from AWS to Azure and in reverse.

The foundations of your startup business are not in executive operations or head office, but in the logistics that underpin the operation of the business.

Making sure that the actual physical work to deliver your product or service is undertaken smoothly is essential.

Fact Check

We hope you enjoyed this article… What are your thoughts?

Please feel free to share with us in the comments section below.

 

We strive to provide the latest valuable information for our readers with accuracy and fairness. If you would like to add to this post or advertise with us, don’t hesitate to contact us.  If you see something that doesn’t look right, contact us!