Fulfillment Health Checklist: What To Audit Before Q3

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Fulfillment Health

Q2 just kicked off—but before you blink and Q3 steamrolls in, there’s one critical thing your operations team should prioritize: a fulfillment health audit. We’re not talking about a surface-level skim. We’re talking about a deep, diagnostic, everything-on-the-table kind of audit that lets you know—really know—whether your fulfillment strategy is built to thrive in the second half of the year.

Why now? Because what you do in Q2 sets the tone for Q3 (and beyond). And if there are cracks in your foundation, they’ll show up at the worst possible moment—like during your biggest sales push or your peak holiday prep. So let’s get into the good stuff: what actually needs to be on your fulfillment health checklist before you head into Q3.

✅ 1. Is Your Inventory Visibility Helping or Hurting You?

Let’s be honest: how real-time is your inventory data? Can your team confidently say what’s in stock, what’s incoming, and what’s about to run out—at any given moment?

This is about more than just knowing what you have. It’s about knowing when you’ll have it, where it’s stored, and how quickly you can get it into a customer’s hands.

Audit questions to ask:

• Are we relying on spreadsheets or outdated software?

• Can our system flag dead stock, slow movers, and frequent backorder items?

• Do we know our current inventory turnover rate—and is it improving?

If you’re working with a fulfillment partner, this is a great time to test how visible your data really is. If you’re flying blind, it’s time to level up.

✅ 2. Have You Stress-Tested Your Systems Recently?

It’s easy to feel confident when order volumes are predictable. But what happens when they spike? Spring and early summer often mean mild flows—but Q3 is when the heat gets turned up, fast.

Audit questions to ask:

• When was the last time we ran a true stress test on our order management systems?

• How well do our systems scale when order volume jumps by 30%? By 100%?

• What would happen if a key fulfillment system went offline for 24 hours?

Simulate a mini-surge now and see how your tech (and team) holds up. It’s better to find the weak links now—when you still have time to fix them.

✅ 3. Is Your Fulfillment Footprint Still Strategic?

Where you store and ship from matters—a lot. But this part of the audit often gets overlooked because… well, it’s not always easy to change. That said, your footprint needs to evolve with your business.

Audit questions to ask:

• Are most of our customers still located near our fulfillment hubs?

• Are shipping zones eating into our margins?

• Could a bi-coastal or regionalized fulfillment model improve speed and cost?

Even a slight shift in warehouse location—or the addition of a micro-fulfillment hub—could drastically improve your delivery promise heading into Q3.

✅ 4. Are Returns Costing You More Than You Realize?

Returns are a fulfillment killer if left unchecked. It’s not just the product—it’s the manpower, the restocking, the lost sale, and the customer experience fallout.

Audit questions to ask:

• Do we know our current return rate by product category?

• How fast are returned items getting back into sellable inventory?

• What percentage of returns are due to fulfillment errors?

Get granular. Look at the root cause of returns and whether your current reverse logistics strategy is working for you or bleeding you dry.

✅ 5. Do You Have the Right People in the Right Roles?

Your people are just as critical as your tech. A fulfillment audit isn’t complete without looking at the human side of operations.

Audit questions to ask:

• Have we cross-trained our staff to handle variable workloads?

• Are we relying too heavily on overtime or burnout-prone shifts?

• Is there clear ownership for each step of the fulfillment process?

Consider how your team communicates. Is there transparency? Accountability? Are roles and handoffs clear? These details matter more than you think—especially as you scale.

Assess Current Fulfillment Efforts. Take Quiz Now!

✅ 6. Are You Measuring the Right KPIs—And Actually Using Them?

It’s one thing to track fulfillment KPIs. It’s another to use them to drive smart decisions. Ask yourself: are you measuring what matters?

Beyond the basics (like order accuracy and on-time shipping), dig into:

• Dock-to-stock time: How fast can you receive and store inbound inventory?

• Pick accuracy per shift: Not just overall accuracy—how consistent is it hour by hour?

• Cost per order: And how that fluctuates during peak vs. average volume

• Customer satisfaction linked to fulfillment: Not just CSAT scores, but what portion of complaints come from shipping delays, wrong items, or damaged products?

If you’re not using this data to drive change, it’s just noise.

✅ 7. Are You Prepared for Q3 Promotions and Product Launches?

Look ahead. What’s coming down the pipeline in Q3? New products? Seasonal bundles? Marketing campaigns that could blow up and spike order volume?

Audit questions to ask:

• Have we already aligned with fulfillment on planned promotions?

• Do we know which SKUs will need special kitting, bundling, or custom packaging?

• Are we prepared for potential velocity increases in specific product categories?

This is where alignment with your warehouse team—or fulfillment partner—is everything. They need to be looped in now, not later.

✅ 8. Is Your Fulfillment Partner Still a Fit for Your Goals?

Here’s a hard truth: not all fulfillment partners grow with you. And if you’re starting to outpace your current partner’s capabilities, it’s time to take a closer look.

Audit questions to ask:

• Are they proactive with solutions—or just reactive with problems?

• Are they investing in better systems and infrastructure?

• Do they understand your growth plans and help you prepare for what’s next?

This doesn’t have to be a breakup—but it should be a check-in. Your Q3 momentum depends on it.

✅ 9. Are You Ready to Pivot? (Because Something Unexpected Will Happen)

Supply chain disruptions. Weather delays. Viral product demand. If the past few years have taught us anything, it’s that agility wins.

Audit questions to ask:

• Do we have contingency plans for fulfillment slowdowns?

• Can we reroute orders or shift fulfillment centers quickly if needed?

• Have we tested backup suppliers or secondary carriers?

Flexibility isn’t just a nice-to-have—it’s the backbone of Q3 readiness.

✅ 10. Do You Know What Success in Q3 Looks Like for You?

Finally, before you can fix or optimize anything, you need a clear picture of what winning Q3 looks like for your brand.

Audit questions to ask:

• What’s our revenue and order volume target for Q3?

• What service level are we committed to for customers?

• What does a “successful” Q3 feel like for our ops team?

Define it. Then use the rest of this audit to reverse-engineer how to get there.

Your Q2 To-Do: Audit With Intention

You don’t need to overhaul everything. But you do need to inspect everything. Think of this checklist as your pre-Q3 pulse check—a way to make small, strategic shifts now so that you’re not scrambling later.

Take the time in early Q2 to ask the hard questions, dig into the not-so-obvious details, and realign your team around what’s next. Because the second half of the year will demand your best—and your fulfillment operations should be nothing short of ready.

Interested in learning more? Give us a call, we’d love to chat.