How to Prevent Shipping Errors: Top 5 Strategies

Reported by Veho, 53% of consumers hold brands responsible for delivery issues. This study demonstrates how poor delivery experiences harm customer loyalty.

Shipping mistakes have far greater consequences than just isolated incidents of customer dissatisfaction. Reducing your shipping errors is crucial for protecting your reputation, improving brand loyalty, and promoting steady growth.

This article explores practical strategies to reduce or prevent shipping errors and shows how tools like Extensiv can help you streamline your shipping processes, boost accuracy, and navigate the supply chain.

5 Effective Strategies to Reduce Shipping Errors

98% of consumers consider delivery as one of the most important factors in their loyalty to a brand.

Here are some strategies to reduce shipping errors and ensure accuracy in your order fulfillment process:

1. Train Your Employees

Shipping errors are losing you money through returns, chargebacks, customer acquisition costs, and reshipping fees. You may also lose customers and damage your brand reputation with a wider audience since customers frequently share their complaints with family, friends, and everyone else via social media.

Minimize these errors by investing in comprehensive employee training. Many companies report increased revenue after implementing an education program.

Comprehensive training programs covering the entire order fulfillment process, from order processing to inventory management to shipping procedures, can be a game changer for third-party logistics (3PL) providers and ecommerce businesses.

Before you start a training program, assess your employees’ current skills and set clear objectives. This will give you a baseline to determine the effectiveness of the training program. You could also take time to understand your employees' needs by tailoring training content and methods for efficient learning.

2. Standardize Your Picking & Packing Process

Accuracy and efficiency are a must for order fulfillment. A standardized picking and packing process reduces ambiguity, sets clear expectations for your team, and streamlines employee training.

To create a standardized order picking and packing process, you first need to decide on a warehousing picking strategy. Some common picking strategies are batch picking, meaning picking multiple orders simultaneously; wave picking, where orders are selected in batches based on shipping deadlines or delivery zones; zone picking, where orders are picked based on how the warehouse is segmented into sectors or zones; and discrete picking, which is picking orders one at a time.

Next, you’ll need a process for order verification where workers confirm every order detail from item quantities to customer addresses and special instructions. Using technology like barcode scanning is an easy way to ensure accuracy, especially for confirming SKUs and complicated order items like kitted products.

Then, move on to packing with standardized materials using appropriate cushioning such as bubble wraps to protect fragile orders and then label. Finally, select the best shipping method and provide your carrier with complete and accurate information for smooth delivery.

Don’t forget to audit your processes regularly for efficiency and quality control. While quality control measures may seem like they’re slowing down operations, they can significantly improve order accuracy and efficiency in the long run. Proper quality control ensures your employees double check orders at key stages—receiving, picking, packing, and even shipping—which makes it easy to spot errors like mispicks and minimize mistakes.

 Check out our Perfect Warehouse Pick and Pack Checklist for more detailed tips!

3. Embrace Automation

Investing in software and technology reduces shipping errors for businesses and 3PLs by  enhancing accuracy and efficiency across various operational areas. For instance, using order management system (OMS) software that incorporates mobile scanning reduces human error during the picking and packing process. This also allows warehouse staff to quickly scan items and confirm orders, ensuring that the correct products are selected and packaged for shipment.

Additionally, inventory management software with real-time tracking provides up-to-date information on stock levels. A clear view of your inventory helps you avoid overselling and ensure products available to meet your customers’ demands. This reduces the chances of shipping the wrong product or delaying shipments because of  stock discrepancies.

An address verification tool can also reduce shipping errors associated with incorrect addresses. Validating shipping information before dispatch can help avoid costly mis-deliveries and returns, making sure packages reach the right destinations on time.

4. Partner with 3PLs

Companies looking to reduce shipping errors can outsource some of their order fulfillment and supply chain operations with a logistics provider. Partnering with a reputable 3PL allows brands to leverage their expertise, experience with various shipping scenarios, and existing processes to minimize and quickly resolve shipping errors.

When you partner with a 3PL, you eliminate the need to increase your workforce and invest in facilities and systems. The 3PL provides the infrastructure, processes, and workforce to handle your logistics and warehouse operations.

Choosing the right fulfillment partner for your business is a big decision, but it doesn’t have to be difficult to find available 3PLs. Explore Extensiv’s Fulfillment Marketplace to see our directory of pre-vetted fulfillment partners best suited to your needs!

5. Optimize Your Partnerships

Optimizing your partnerships, including carrier selection and management, is an integral strategy to reduce shipping errors. When you analyze performance metrics like delivery times, error rates, and reliability of your partners and carriers, you can make sure your shipping strategy is working or make changes to your carrier mix if they aren’t meeting your expectations.

Clear communication across your business with all partners on expectations and service levels helps you avoid misunderstandings that could lead to shipping mistakes. Regular updates and feedback ensure everyone involved in the order fulfillment process is on the same page. This involves setting up regular meetings and touchpoints to discuss performance, address issues, and make changes.

Establish clear communication channels and protocols with your fulfillment partners to ensure that orders are fulfilled accurately and efficiently. This approach minimizes the chances of wrong deliveries or lost packages. It also promotes stronger relationships with carriers, improving overall efficiency and reliability in the shipping process.

The Long-Run Benefits of Reducing Shipping Errors

Reducing shipping errors offers many benefits that significantly impact a business's operational efficiency, customer satisfaction, and overall profitability.

Here are some key advantages:

Financial Benefits

Shipping errors often lead to refunds, replacements, and increased customer service costs. Even a small decrease in shipping errors can significantly increase profits.

Additionally, accurate order fulfillment reduces the likelihood of returns, which can be costly in logistics and customer retention. By ensuring the right products are shipped, businesses can save on re-shipping costs and improve their bottom line.

Enhanced Customer Satisfaction

Minimizing shipping errors helps maintain a positive brand image. Satisfied customers are likely to share their experiences online via social media, and it’s pretty obvious that you’d want glowing reviews rather than frustrations as your social proof.

A smooth fulfillment experience promotes customer trust and loyalty. Customers will  likely return for future purchases when they receive their orders correctly and on time. In contrast, shipping errors can lead to frustration and negative reviews.

Greater Operational Efficiency

Implementing systems such as advanced warehouse management system software and shipping software can automate various shipping tasks. This reduces human error, increases speed, and ensures better tracking of inventory and shipments.

Accurately Fulfill and Ship Orders with Extensiv

Order accuracy and customer satisfaction are the lifeline of every business. When customers receive the right order on time, they are satisfied with your service and eventually become repeat customers. The reasons why your business keeps having one-off customers and bad reviews could be because you still depend on manual processes for order fulfillment.

Over a decade ago, Javelin Logistics was on the verge of losing a client because the company relied on a manual warehouse management system, which was capital and labor intensive. As Javelin’s order fulfillment evolved, the logistics company needed a more efficient solution.  After submitting a bid to build its operation around Extensiv’s software, the client decided to make Javelin their 3PL partner.

With Extensiv, Javelin expanded their services into omnichannel fulfillment without added labor costs and transformed their company to keep up with the market dynamics. The numbers don’t lie: they cut costs by 50% and achieved 99% inventory accuracy.

Ready to transform your business and reduce shipping errors with Extensiv? Book a demo today!