Integrating Shipping Labels with Your Inventory Management System

Blog, Custom Labels

Shipping labels might sound like a minor requirement for manufacturers but in reality, they play a crucial role in the shipping process.

Inventory management and shipping labels are deeply connected since all the warehouse stocks and product classifications depend upon the information shared on the label.

Any product label provides essential information such as the nature of the product, its origin, destination, and handling requirements. We will discuss how integrating shipping labels with your inventory management can speed up the business for you.

What Are Shipping Labels?

Shipping labels are the labels that are on parcels, which are meant to be transported from one point to another. The purpose of these labels is to improve the shipping process and get the goods to their destination without any damage or mishandling.

These labels are small and have all the necessary information about the product. This information can be about the nature of the product, its origin and destination, and the directions for handling it.

Moreover, these labels are the only way a shipping handler can tell how to keep the package and what kind of care is necessary to ensure a safe dispatch.

If a shipping company is transporting various goods from different manufacturers, there can be confusion on how to handle a particular product if the instructions are not clear.

Significance of Shipping Labels

Imagine a product packed in cardboard without any label. The warehouse or shipping staff will not be able to determine whether it is a fragile good, it has to be placed away from sunlight or is any consumer good that may require refrigeration.

In the absence of a label, you may not be able to understand the expiration date and that can lead to serious losses.

Shipping labels are meant to give the shipping handlers and users all the information about the product. This information can ensure speedy, and safe transport for the goods and ensure profits.

Moreover, shipping labels also contain barcodes and tracking data, which can help organize the warehouses and add to the efficiency of the shipping process. These labels can also be a cost-effective way of handling the products.

Benefits of Shipping Labels

  • Higher efficiency: The efficiency of shipping depends on the instructions on the goods. For example, if a chemical is packaged in big drums and the label says to handle it with care and keep away from heat or sun, the handler will know that the drums are supposed to be placed in a shaded area in a cool place.
  • Customer experience: A shipping label can ensure a good customer experience as every recipient will receive safe and solid products, handled with care during shipping. When customers receive goods in excellent condition, they remember the experience and remain loyal to the brand.
  • Accuracy: Barcodes and tracking numbers are scannable and visible. Workers can scan and get more information about how to store the goods and how to handle them during delivery. Moreover, a clear description of the destination and origin can ensure that the items are delivered to the right place.
  • Visibility: When customers book any product, they feel better if they can track their order and determine the time of delivery. If the shipping labels are intact, any customer can track the products and this visibility ensures smoother customer service and a better brand identity.

Shipping Labels in Inventory Management

As any product gets ready and leaves the manufacturing unit, labels play a crucial role in different parts of the journey.

As packages are picked up for shipping, these labels become all the more important as they serve the various purposes mentioned above. In warehouses, shipping labels are created through the carrier’s website or on a platform that connects with the major carriers involved in shipping.

If your brand products are going through a third-party shipping company, they add their labels and require handlers to follow the instructions they specify.

For small-scale operations, creating shipping labels directly through the shipping provider might work, but it often involves time-consuming manual tasks.

A more streamlined approach is to use a program that lets you compare rates across providers, purchase postage, and generate labels in one place. It’s important to note that generating a label and paying for postage are separate steps.

Labels themselves are free and shipping staff can even handwrite them, but postage comes at a cost. Buying postage in bulk is typically more cost-effective. Both steps must be completed before sending a package.

Considerations for Shipping Labels

  • Materials: Labels can be either paper-based or film-based. Paper labels are affordable and visually appealing but lack durability and water resistance. In contrast, film-based labels, made of plastic, are more robust and resistant to moisture, UV light, friction, and even some chemicals. However, they are pricier and offer less branding flexibility.
  • Label Sizes: Labels are available in various sizes, such as letter, legal, tabloid, A4, and A3. Some sizes require specialized printers, so ensure your printer matches the label type you plan to use.
  • Printers: There are different kinds of printers for printing labels. The primary, and inexpensive but slow and unsuitable for detailed QR codes or barcodes is the inkjet printer. This printer is commonly used by small shipping companies with limited operations.Laser printers offer a step up in quality and speed, and they are compatible with peel-and-stick labels, though somewhat limited in versatility. Another advanced printer type is the thermal printer. These printers are ideal for high-volume and high-accuracy needs, thermal printers are fast, optimized for bulk printing, and often designed for specific label sizes, including peel-and-stick options. The reason printers are a consideration is that brand owners will have to invest in an expensive printer if they want to match the quality of top brands. On the contrary, if they get cheaper ones, the quality will suffer. 

Proper Placement of Shipping Labels

Correctly placing shipping labels is essential to avoid lost packages, revenue losses, and customer dissatisfaction. Shipping handlers and manufacturing unit’s packaging staff can follow these guidelines for a more streamlined process:

  • Keep the Label Flat: Position it on one side of the package without wrapping it around the edges. This ensures easy readability by barcode scanners and humans alike.
  • Secure the Label: Use clear packaging tape over the label if needed, but beware of wrinkles and glare that can interfere with scanning. Self-adhesive labels are a better choice, as they eliminate the need for tape and ensure a clean appearance.
  • Maintain Label Integrity: Ensure the label stays intact during transit and after delivery. Avoid placing it on seams or areas where it might tear when the package is opened, which could hinder returns or tracking.
  • Choose the Right Spot: Use designated label areas on boxes when available. Avoid placing shipping labels too close to other scannable items, like product barcodes, to prevent scanning errors.
  • Align for Efficiency: If you store packages in a specific orientation, place labels where they can be scanned without moving the box. For instance, if boxes are stacked with ends facing warehouse aisles, labels should be on the ends for quick access.
  • Highlight Special Concerns: For items requiring special handling, add additional labels like “fragile” or “perishable” stickers to ensure proper care during transit. These practices can streamline the shipping process, reduce errors, and improve customer satisfaction while maintaining the integrity of your shipments.

Shipping labels, paired with QR codes, create an efficient system for inventory management. QR codes can serve as warehouse labels, placed strategically on shelves, walls, or floors. 

These scannable codes work with both dedicated scanners and smartphones, allowing workers to assign packages to specific shelves or view shelf contents at a glance. 

By linking physical locations to inventory data, QR codes and shipping labels eliminate guesswork and improve accuracy. For example, workers can scan a QR code to update the inventory system with a package’s location or check what’s stored in a particular area without opening boxes.

Reducing Errors

Shipping labels help reduce errors by enabling consistent scanning at every step of a package’s journey. Each movement, such as transferring an item from point 1 to point 2, creates a clear record in the inventory system. 

This level of visibility is invaluable for auditing, ensuring accurate stock counts and traceable item locations. It also enhances customer experience by providing real-time updates on package locations.

Last Words

Shipping labels are an integral part of inventory management since they deliver essential information to the handlers. 

These labels ensure that the products will be handled properly at every stage. We have discussed all the advantages, significance and considerations of shipping label printing. 

These details will help manufacturers promote proper item care, reducing damage and delays, and improving customer satisfaction. 

Labels also streamline workflows for shipping carriers, creating efficiency throughout the logistics chain.

If you’re interested in learning more about our label services and would like us to provide you with a FREE quote, trust the experts at M&R Label to help you!

Call Us at (708) 534-6621 or Request a Quote!

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