Warehouse capacity has been a big issue lately, with many businesses struggling for space. Before you consider moving or expanding, I recommend watching the video below for some practical tips on optimizing your current warehouse. These strategies could help you make the most of your existing space.
Maximizing Current Warehouse Use
Warehouse capacity has been a big issue lately, with many businesses struggling for space. Before you consider moving or expanding, I recommend watching the video below for some practical tips on optimizing your current warehouse. These strategies could help you make the most of your existing space.
Maximizing Current Warehouse Use
First, let’s talk about how full your warehouse really is. A lot of people think they can fill their warehouse to the brim, but that’s not the most efficient approach. A good rule of thumb is to use about 85% of your space. For example, if you have 10,000 pallet slots, using 8,500 allows for enough space to move products around easily. Overcrowding makes everything slower, like trying to find a parking spot in a packed lot.
Improving Inventory Management
One big reason warehouses get clogged up is poor inventory management. Often, businesses order too much stock to get a lower unit price, but this leads to overcrowding. It’s crucial to look at the total cost of ownership, not just the initial purchase price. With so many businesses merging or growing quickly, it’s important to review your warehouse network and inventory levels to prevent these issues.
Effective Slotting Techniques
Slotting is a simple yet effective way to boost your warehouse’s efficiency. By placing fast-moving items closer to the dispatch area, you can reduce travel time and improve picking productivity. A slotting exercise can increase storage density and even cut labor costs by up to 20%. It’s all about making better use of the space you already have.
Implementing High-Density Storage Solutions
Consider high-density storage options, like vertical lift machines or carousels, for industries that handle a lot of small parts. Another option is adjusting aisle widths or switching to articulated forklifts. This can increase your storage capacity by up to 30%, giving you more space without the need for a new facility.
Related articles on this topic have appeared throughout our website, check them out:
- Warehouse Product Slotting: The Ultimate Guide
- KPIs for Your Warehouse: How to Choose and Use Them
- The 7 Principles of Warehouse and Distribution Centre Design
- Warehouse Design – Rules of Thumb… And a Checklist
- Planning a Warehouse Network and Design: Key Factors to Consider
Editor’s Note: The content of this post was originally published on Logistics Bureau’s website dated October 02, 2024, under the title “Warehouse Capacity – How to Increase It and Avoid Moving“
