On average, there is 20% products spoiled because of undetected expiration inside a normal warehouse. The risk is even higher for Cold Chain warehouses.

The lack of visibility of inventory levels as well as the right information for Put and Pick the right items with the right expiration with the least travel time is extremely crucial to lower the risk.

The cost to maintain Cold Chain warehouses is much higher compared to normal warehouses. Therefore, optimum space must be maintained with the right inventory level to prevent overflowing the storage by much, which can bring energy cost up.

In a Cold Chain Warehouse, it is often difficult to get in and out of the cold storage FAST either for retrieval or putting in stocks accurately.

The lower the storage temperature, the more important it is to be precise when going into the cold storage, because it may affect the workers’ health condition if remain too long inside.

Inefficient inventory handling often lead to overstocking or stock-outs, negatively impacting production, delivery schedules and raising costs.

Without regular cycle counts and control in-place, there will be constant fire-fighting and a lot of manual checkings.

Wrong or slow delivery will lead to low customer satisfaction level and financial losses if they need to re-arrange shipments because of the mistakes.

There is also heighten risk of bigger loss & spoilage of sensitive products because of the re-transit process.

Company reputation will be hit hard if defective products gets distributed and is not handled properly.

The products need to be hold while still in the internal factory environment and recall those that already get distributed out.