How Construction Companies Can Benefit From Working With a Virtual Warehouse

How Construction Companies Can Benefit From Working With a Virtual Warehouse

How many times have you had to delay a project because a delivery of TMT bars was late? Or how often have you been in the middle of a project and had to look frantically for a new supplier of timber because your regular supplier ran out of the hardwood materials you needed?

If you’re responsible for procuring materials for your construction company, these types of scenarios will unfortunately be all too familiar — especially with the recent hike in tariffs that have made certain materials more expensive and scarce. Yet to operate your construction company, you need a reliable, comprehensive supply chain that allows you to acquire all of the commercial construction supplies you need in a timely manner. And that’s where working with a virtual warehouse can make all the difference.

What Is a Virtual Warehouse?

So what exactly is a virtual warehouse — also referred to as data warehouse? As Techwalla explains, it’s a database that contains information about all aspects of a business. Because it draws on all sources related to the business, it can display a snapshot of the business at a specific moment in time.

When the virtual warehouse is focused on inventory, it contains information about all the products a company has in stock. It displays both the range of products and the various available brands. It also displays where they’re located — for example in a physical warehouse or a retail store. This makes it easy to fulfill orders and ship them from the location that’s closest to the customer. In addition, a virtual warehouse also contains information about products that the company might not have in stock but can order and sell on to the customer. For example, if you need cinder blocks that aren’t the usual dimensions, the virtual warehouse might be able to order them from a specialized manufacturer.

Benefits of Working With a Virtual Warehouse

Working with a virtual warehouse has several distinct advantages for construction companies:

  • It provides you with an accurate overview of your supplier’s inventory. This enables you to quickly place orders for the commercial construction supplies you need or look elsewhere if the supplier doesn’t have them in stock.
  • You enjoy improved decision making. Because you have an overview of the range of products and the different brands, you can make decisions based upon the availability of specific items. For example, if you prefer insulation material from one brand but it’s not available, a virtual warehouse will show you what brands are available and you can select the best alternative.
  • You have the ability to track all of your orders. This means that you know where your orders are at any given time, which helps with planning and project management.

On-Demand Parts

In addition to these benefits, in the future, you may be able to order 3D printed parts through a virtual warehouse. Construction Global reports that in the Middle East, Consolidated Contractors Company (CCC) and Immensa have established a digital warehouse that prints 3D components on demand. The reasoning behind this endeavor is that this set up will reduce the costs and lead times associated with traditional supply chains.

Commercial Construction Supplies

Clearly, if you’re looking to streamline your supply chain and keep your projects on track, you can benefit significantly from working with a virtual warehouse. To learn more from the premier commercial construction supply company, contact LevelXSupply today.

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