Cat Reach truck NR16-25N3(H)(X)
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What can Cat® forklifts do for you?

Cat® Lift Trucks offers a comprehensive range of products and services for warehousing and third-party logistics businesses. Our deep expertise, and that of our dealerships, is based many years of experience in this sector. We never cease to develop and improve our lift trucks to meet your needs. Meanwhile, our dealers’ practical understanding of your challenges ensures the ideal choice of model and specification for each application. 

Our advice is aimed both at third-party logistics (3PL) companies and at manufacturers and retailers who manage their own warehouses. Today, we see businesses increasingly outsourcing their logistics processes entirely to 3PLs. This includes their warehousing operations. The highly specialised warehouse knowledge and facilities of 3PLs complements our materials handling leadership, making us perfect partners. 

Some warehouses are designed and operated to handle specific categories of materials or goods. Depending on your business sector, you might find other guides in our Industry Solutions series useful. For instance, we have one on Food and Beverage.

Cat® counterbalance and warehouse trucks can be found:

  • Taking materials and products into and out of goods vehicles
  • Transporting them horizontally from place to place in warehouses and distribution centres – including cross-docking
  • Stacking and retrieving palletised loads
  • Picking individual items to fulfil orders

Warehousing and third-party logistics industry challenges

Warehouse capacity

Rapid growth in warehousing and 3PL activity means that many warehouses are running out of space. Extending warehouse buildings or acquiring and moving to new sites is expensive. At the same time, the nature of the goods being handled and stored is changing. There are now huge volumes of small orders, with an expanding variety of items to accommodate – each requiring separate SKUs (stock-keeping units).

Faster logistics

Customers’ expectations of fast delivery have risen, especially with the advent of e-commerce. Goods need to be moved quickly, at every stage. At the same time, that movement should be smooth, stable and collision-free to avoid product damage.

Supply chain interruptions and delays

Accidents can interrupt and slow down productivity. So can downtime due to lift truck breakdowns or maintenance demands. Forklift dependability may be additionally compromised by environmental factors such as moisture, dust and extremely high or low workplace temperatures.

Safe materials handling

Hazards in the warehouse include falling objects, from raised forks or high racking. Loss of forklift or load balance may lead to spilled goods or even truck overturns. There are narrow spaces and tight turns to negotiate, often with restricted vision. Lift truck drivers must also cope with a busy environment in which there’s plenty of scope for collision with pedestrians, trucks, racking and infrastructure.

Employee recruitment and retention

While the demand for warehouse workers increases, as the industry expands, the pool of available employees is shrinking. What can and should be a fulfilling field of employment has sometimes become unattractive due to working conditions, experiences and perceptions. Turnover of skilled staff is high, and recruitment of fresh talent is difficult. For materials handling staff, specifically, the right choice of lift truck is important in optimising comfort, health, safety and job satisfaction.

Ever-changing demands

Warehousing and 3PL companies need to handle an extremely wide variety of goods and tasks. Some applications require highly specialised lift trucks. Others are served by versatile trucks which can take on multiple roles. Seasonal or other fluctuations in the demand for certain goods can make forklift fleet size and composition difficult to manage. Summer or Christmas peaks may also require temporary staff, whose inexperience may bring difficulties.

Pressure for sustainability

Aside from the increasing pressure from legislators to reduce environmental impacts, all businesses are under scrutiny from customers and end consumers. If people are unimpressed with a company’s level of commitment to sustainability, there are many others from which to choose. For materials handling operations, emissions, energy consumption and avoidance of waste are key areas on which to focus.

Rising costs

Increasing volumes of returned goods have added to the many factors which are raising costs in warehousing and 3PL operations. Others include: the rising need and price of warehouse space; late fees due to delayed deliveries; lost productivity through equipment downtime for repair and maintenance; accident-related expenses, including damage, fines and compensation; and energy consumption.

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