Your warehouse is vital to the productivity and profit of your business. But the warehouse can also be a challenging part of the overall business to manage. Warehouses that have been in operation for years often become outdated, disorganized, and inefficient. Even a well-run operation can fall behind the times through no fault of your staff.
Do you wonder if your warehouse is still an asset to the company, or is it in danger of being a drag on the bottom line? Here are a few situations when you should consider a warehouse overhaul.
1. You Have More AccidentsWhat is your accident history in the warehouse? Has it gotten better over time, or are you having more incidents? A busy warehouse filled with competing priorities among pedestrians and forklifts, too many racks in a space that's too small, or disorganized materials is ripe for accidents.
As you investigate incidents and injuries, look for root causes rather than just surface reports. If a worker was injured by falling inventory, for instance, was there a fault in the way the inventory is stored? Are racks overfilled or containers aging? Are traffic paths in the way of heavy equipment? Do workers have to rush their tasks? Any of these root problems might be alleviated by a warehouse overhaul.
2. You Reassess What is SellingBusinesses change over time, and so do customers' tastes. To keep up with current business needs, you should reassess inventory placement at least every few years.
When looking at your placement of items, look for ways to improve efficiency. Do warehouse pickers often have to get to items stored in distant or inconvenient places, resulting in delays or rushing? Are your best selling items in the front and kept well-stocked? Is inventory with low turnover rates identified and removed regularly? Reorganizing locations and layout is an inexpensive way to boost productivity.
3. Your Orders Are Pulled IncorrectlyHas your staff noticed a high amount of orders returned for being incorrect? A single order that was mishandled or even a single picker who has a middling record isn't a systemic problem. But multiple orders being filled incorrectly over a period of time and with different staff could be a sign that the warehouse isn't organized well.
Talk to the warehouse pickers themselves about what could be done better. Could labeling be improved for size or legibility? Are instructions clear and actionable? Are goods stored in logical manners? Is the area clean and neat? The staff on the ground will undoubtedly have ideas for improving the storage system.
4. You Want to ExpandCompany growth is a good problem to have. If the business is thinking about expanding its product lines or its physical reach, make sure the warehouse is up to the tasks that lay ahead. Reassessing your organizational plan now may give you the space needed without having to add more square footage.
5. Your Departments Have No RoomActual inventory storage isn't the only concern for a warehouse. It must also generally house things like the shipping area, receiving stations, offices, damaged goods storage, and pedestrian traffic paths. How well do these function in your space?
Have you squeezed in a number of offices or work spaces over the years? Is there sufficient room in the receiving area to keep incoming units well-organized and prepare them for shelving? Can your shipping department perform sufficient quality control checks in the space they have? Do offices need more privacy or space? Don't overlook the value of making auxiliary services more efficient.
If your company is experiencing any of these changing circumstances, now might be the right time to reorganize the warehouse. Whether you want to boost efficiency, reduce incidents, or plan for the future,
Lone Star Pallet Rack
can help. Our warehousing pros can help you improve your layout and minimize hazards to growth. Call today to learn more.