Lagging Opportunities

I learned about warehouse management when I ran my company. We never operated a warehouse, but all our partners did. Working with them helped me learn how they approached warehouse management and how critical it was to their operations. My big takeaway was that the systems run by a lot of companies in the aftermarket automotive parts industry to manage this critical part of their business were extremely outdated. It’s a wide open opportunity for a technology company.

Today I spoke with a founder who, after a decade in warehouse operations and warehouse management systems, understands the space. He’s created a SaaS solution to solve pain points for companies running large warehouses. His product is easier to implement than existing systems and requires less upfront investment because it’s SaaS. Of course, SaaS isn’t new. Delivering software over the internet has been around for well over a decade (if not two). But it’s relatively new for this space. Most traditional systems run on-site and impose implementation costs.

I like this founder’s approach, and I think it’s one others can follow. Some cutting-edge businesses rapidly adopt technology, but others can’t or just don’t. Laggard industries are great opportunities for entrepreneurs, who can watch a new business model be validated in other industries first. A new approach can create massive value for customers even if it isn’t cutting-edge in other industries.

I’m excited for this founder and can’t wait to see how his approach revolutionizes the space!