RTS — Ready to Ship (Fulfillment Essentials)

RTS

Updated December 15, 2025

Dhey Avelino

Definition

RTS (Ready to Ship) indicates that an order or product has completed all preparation steps and is awaiting carrier pickup or dispatch.

Overview

RTS — Ready to Ship is a fulfillment status widely used in warehouses and e-commerce to signify that an order or SKU has finished picking, packing, labeling, and quality checks and is now queued for shipment. For beginners, RTS is the traffic light that tells operations, carriers, and customers that the product is prepared and cleared to leave the building.

Why the RTS milestone matters: Reaching RTS quickly and consistently keeps customer expectations aligned with promised delivery windows. It minimizes dwelling time in the warehouse (which incurs cost), shortens total order cycle time, and improves carrier scheduling efficiency. For the warehouse team, an RTS status also signals that quality and compliance checks have passed and no further action is required before handoff.


Typical steps to achieve RTS:

  1. Order picking: Items are selected from inventory using pick lists, RF scanners, or pick-to-light systems.
  2. Packing: Products are packaged using appropriate materials and primary/secondary packaging requirements are met.
  3. Labeling: Shipping labels, customs documents, and any regulatory labels are applied.
  4. Quality check: Weight checks, barcode scans, and visual inspections confirm order accuracy.
  5. Staging: Packages are moved to a staging area for carrier pickup and marked RTS in the WMS.
  6. Carrier handoff: A carrier collects the staged shipments and scans the waybills, completing the handoff process.


Best practices to speed up RTS and reduce errors:

  • Standardize packing materials and processes for common SKUs to reduce decision time.
  • Use checklists and scans at each step so the WMS can automatically update RTS status only after verification.
  • Designate clear RTS staging lanes for each carrier and service level (standard, express, freight).
  • Implement pre-built label templates and automated carrier rate-shopping to streamline label printing.
  • Measure dwell time between pick completion and RTS — target continuous reduction.


How WMS and TMS support RTS: Your Warehouse Management System (WMS) records each operational step and can automatically set an order to RTS after required validations. Transport Management Systems (TMS) integrate with carriers and can trigger pickups as soon as a batch is flagged RTS, reducing waiting time and improving on-time departures.


Handling exceptions while keeping RTS accurate:

  • Backorders: If an item is missing during pick, mark the order accordingly rather than prematurely setting it RTS.
  • Damaged goods: Any damage discovered during packing should revert the item from RTS and trigger returns or replacement workflows.
  • Customs or export controls: Orders requiring special paperwork must not be flagged RTS until documents are attached.


Operational tips for common fulfillment models:

  • E-commerce B2C: Focus on small parcel readiness — fast label printing, polybags, and last-mile carrier cutoffs dictate RTS timing.
  • Retail replenishment: For pallets and cases, RTS includes palletizing, load planning, and freight documentation.
  • Third-party logistics (3PL): Clear RTS SLAs with clients and real-time RTS reporting builds trust and transparency.


Common mistakes to avoid when managing RTS:

  • Marking orders RTS without completing quality verification — leads to returns and customer dissatisfaction.
  • Allowing mixed staging areas — without clear lanes, carriers may miss pickups causing delays.
  • Not syncing RTS status with carrier systems — leads to missed pickups and manual scheduling overhead.


Example scenario: An online retailer processes thousands of small orders daily. By implementing a barcode-driven RTS workflow, each order is scanned at packing and automatically marked RTS only after a weight verification. The TMS sees RTS orders and books same-day pickups, reducing average order-to-dispatch time by 30% and improving on-time delivery metrics.


Metrics to track around RTS:

  • Order cycle time (order received to RTS)
  • RTS accuracy rate (percentage of RTS orders that pass final carrier scan without return)
  • Stage dwell time (e.g., time in staging before carrier pickup)
  • Cost per RTS (labor, materials, and staging cost)


In short, RTS (Ready to Ship) is a vital operational milestone that bridges internal fulfillment tasks and external transportation. For beginners, focus on clear verification steps, WMS/TMS integration, and organized staging to make RTS a reliable signal that packages are ready to move — and that customers will receive their orders as promised.

Related Terms

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Tags
RTS
fulfillment
ready to ship
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