Winning with Data: Q&A on Warehouse Analytics with Derek Morse of Barrett Distribution

Katherine Wroth • March 13, 2025

The role of analytics in warehousing has transformed significantly over the years. What was once a manual data collection process has evolved into a sophisticated, data-driven industry. In a recent episode of Warehouse Automation Matters, host Mary Hart sat down with Derek Morse, Senior Director of Operational Excellence at Barrett Distribution Centers, to discuss how analytics shapes modern warehousing and why leveraging data is critical for efficiency and cost reduction.


The Evolution of Analytics in Warehousing


Derek, who has a rich background in logistics, including roles at FedEx, JCPenney, and Quiet Logistics, noted that analytics has drastically improved warehouse operations. He emphasized that tracking key performance indicators (KPIs) allows warehouses to enhance speed, accuracy, and cost efficiency, helping companies like Barrett stay competitive in an ever-evolving fulfillment landscape.


Key Metrics That Matter


When asked about the most important data points warehouse leaders should monitor, Derek pointed out that while every business has different needs, common KPIs include:


  • Dock-to-stock time
  • Time to fill
  • Fulfillment rates
  • Net and gross accuracy
  • Cost per unit


At Barrett, specific metrics like LP accuracy (location precision) and transaction adjustment percentage serve as quick indicators of facility health.


Turning Data into Action


A prime example of Barrett’s data-driven approach is its focus on skip picks—instances where a picker bypasses an item. Analyzing this metric helps identify root causes such as incorrect replenishment timing, equipment issues, or improper slotting. By optimizing these factors, Barrett has significantly improved productivity and reduced costs.


The Role of Technology in Data Collection


Derek highlighted the importance of integrating technology into warehouse operations. Businesses employ a variety of tools depending on their scale and needs, including:


  • Warehouse Management Systems (WMS)
  • RFID tracking
  • Robotics
  • Advanced analytics platforms


These technologies provide real-time insights and enhance overall operational efficiency.


Optimizing Inventory Placement with Data


Slotting strategies, which determine where products are stored within a warehouse, play a crucial role in efficiency. By analyzing factors like product demand, order frequency, and warehouse layout, Barrett ensures high-demand products are placed in the “golden zone” for faster picking, reduced labor, and improved space utilization.


Addressing Overstock and Stockouts


Managing stock levels effectively is a challenge for any warehouse. Derek explained that data analytics enables proactive inventory management by predicting demand fluctuations and ensuring products are in the right picking zones. This minimizes bending, unnecessary equipment usage, and most importantly, stockouts.


Challenges in Adopting a Data-Driven Approach


Implementing a data-driven strategy comes with its challenges, including:


  • Resistance to change
  • Data quality issues
  • Cost constraints


To overcome these hurdles, Derek advised businesses to collaborate, conduct thorough research, and select scalable systems that align with long-term objectives.


Advice for Warehouse Leaders


For those looking to enhance their analytics strategy, Derek recommended:


  1. Identify the most impactful areas – Focus on high-labor tasks like outbound processing.
  2. Ensure high-quality data – Reliable, consistent data is key.
  3. Invest in scalable tools – The right platform should support future growth.
  4. Foster a data-driven culture – Strong communication and team buy-in are essential for success.



The Future of Warehousing: AI and Machine Learning


Emerging trends such as AI and machine learning are reshaping warehouse operations. While companies are still in the discovery phase, these technologies promise more intelligent, responsive, and efficient systems, providing businesses with a competitive edge.


Balancing Automation and Human Expertise


While automation and AI can handle repetitive tasks, human decision-making remains essential for flexible task management, ethical considerations, and creative problem-solving. Derek believes collaboration between technology and human expertise results in more adaptive and efficient warehouse operations.


Why Choose Barrett Distribution Centers?


When asked why businesses should partner with Barrett, Derek summed it up: trust and people. Barrett places the right people in key roles and prioritizes client satisfaction.


Get in Touch with Barrett Distribution Centers


Are you looking for a trusted 3PL partner? Contact us for a complimentary supply chain consultation today.

Recent Blog Posts

By Faith Artieda September 21, 2026
You have talked with sales. You have reviewed the proposal. The pricing makes sense, the technology checks the right boxes, and the warehouse looks like it could support your business. Before you sign, there is another question worth asking: Who will actually be taking care of my business once the sales process is over? A 3PL relationship can last for years. The people you meet during the sales process are only the beginning. Your products will eventually be in the hands of facility leadership, operations teams, systems experts, warehouse associates, and others making decisions about your business every day. You should know some of those people before you become a customer. Start With the People Running the Building If possible, meet the general manager and members of the operations team at the facility where your inventory will live. These are the people who will learn the details of your business. They will be involved when volume suddenly increases, inventory arrives differently than expected, a retailer introduces a new requirement, or your team comes to them with something new. Bryan, who works across sales and marketing at Barrett Distribution Centers, recently discussed this on the Behind the Docks podcast. 
By Faith Artieda September 18, 2026
A polished presentation can tell you what a 3PL promises to do. A warehouse visit gives you the chance to see what happens when those promises become real. If you are trusting a 3PL with your inventory, your orders, and ultimately part of your customer experience, visiting the facility can be one of the most valuable steps in the selection process. You get to move beyond the proposal and see the people and environment that could soon become an extension of your business. See Beyond the Sales Presentation Most 3PL conversations begin with capabilities. You will hear about locations, technology, fulfillment services, integrations, pricing, and experience. All of that information matters, but there are certain things that are difficult to understand from a presentation alone. Walking through a warehouse gives you a different perspective. Look at how inventory is organized. Watch how orders move through the building. Pay attention to how the team communicates and how employees interact with one another. Ask how the facility handles busy periods, unusual requests, and unexpected changes. You are not looking for a perfect warehouse. You are trying to understand how the operation works and whether you can picture your brand becoming part of it. Barrett's Bryan has identified “not doing site visits” and “not being encouraged to broadly meet larger teams besides the sales guy” as potential red flags when choosing a 3PL. Meet the People Who Will Know Your Business The salesperson may introduce you to the company, but they will not be the only person responsible for your experience once inventory arrives. That is why a warehouse visit should include conversations with the people who would actually support your business. Meet the general manager. Talk with operations. Ask about systems support and onboarding. Learn who you would contact when something unexpected happens. As Bryan explains, “You want to meet a good set of experts from every team because this is your supply chain. This is your company.” Those introductions matter because a strong 3PL relationship eventually becomes much more personal than a contract. When your volume suddenly increases, a retailer changes a requirement, or an inventory issue appears, you want to know there are people on the other side who understand your business and can work through the situation with you. Ask Questions You Cannot Answer From a Rate Sheet A site visit is also your opportunity to get curious. Ask how the team prepares for peak season. Find out what happens when order volume exceeds the forecast. Ask how inventory discrepancies are handled or how special projects fit into the normal flow of the building. If your brand requires custom packaging, kitting, retail compliance, gift messaging, or other details, talk about how those requirements would work in the actual facility. You can also ask about the building itself. Different facilities may have different strengths, teams, and experience. The goal is not simply finding out whether a 3PL has space available. It is understanding why this particular operation makes sense for your business. Pay Attention to the Culture Numbers are easier to compare than culture, but culture can have a tremendous influence on your experience with a 3PL. Notice how people speak to one another. Does the team seem comfortable asking questions? Are the people leading the tour familiar with what is happening on the floor? Do employees appear engaged with the work around them? Bryan describes Barrett as a place where people should be able to “be yourself, have an opinion, have a view, have a point of view.” Those qualities can be difficult to capture in an RFP. They are much easier to notice when you are standing inside the operation. Walk It Before Your Inventory Does Choosing a 3PL is not simply a decision about where your products will sit. You are choosing the people who may receive your inventory, solve problems, prepare orders, support your growth, and help deliver the experience your customers associate with your brand. At Barrett Distribution Centers, we encourage brands to get to know the people and operations behind the solution. A warehouse visit creates room for questions, conversations, and a clearer understanding of how the partnership could work once the sales process ends and the everyday work begins. So before your inventory arrives, walk the floor yourself. Meet the people. See the operation. Ask the questions. Your products may spend years inside that building, so it is worth knowing who and what will be waiting for them.
By Faith Artieda September 17, 2026
Your first conversation with a 3PL should not feel like speed dating with a warehouse. You are not simply looking for space to put inventory. You are trying to figure out whether this is a team you can trust with your products, your customers, and potentially the next several years of your growth.  That means asking questions that get beyond square footage and pricing. Start With Your Business, Not Their Capabilities Most 3PLs can tell you how many warehouses they have, what technology they use, and how quickly they can ship an order. Those things matter, but your first call should help you understand how those capabilities apply to your business. Consider asking: Do you work with brands similar to mine? Ask about similar order profiles, sales channels, products, and growth stages. Can you support where we are going next? If retail, marketplaces, new regions, or higher ecommerce volume are in your future, bring that up now. How do you prepare for unexpected increases in volume? Your forecast will change. Find out how the 3PL responds when it does. What information do you need from us to build the right solution? A thoughtful 3PL should want to understand your inventory, order history, seasonality, packaging, sales channels, and future plans before recommending an approach. Who will actually manage our business? The salesperson may begin the relationship, but operations will live it every day. Ask when you can meet the people who would work directly with your account. How do you handle our specific requirements? This could mean retailer compliance, kitting, branded packaging, gift messages, lot control, returns, or another detail that matters to your customer experience. What happens when something goes wrong? Problems happen. The more revealing question is how they are communicated, addressed, and prevented from happening again. Can we visit the facility? Seeing the operation and meeting the people behind it can tell you things a presentation never will. Do Not Rush Straight to Price Of course you should talk about cost. But asking “How much will this cost?” before a 3PL understands your operation may not give you a particularly useful answer. Pricing depends on the space your inventory requires, the work involved in handling orders, your order profile, seasonality, special requirements, and many other details. A meaningful quote should reflect the business behind the numbers. Your first call does not need to answer everything. It should leave you feeling like the 3PL asked just as many thoughtful questions about your business as you asked about theirs. Because you are not only choosing where your inventory will sit. You are choosing the people who will help move your brand forward.
More Posts