5 Recommended Ways To Optimize Your Warehouse Storage System

At times it happens that even as you regularly organize your warehouse, you find yourself faced with a messy and unorganized space again the moment you start receiving and shipping your cargos. Optimizing your warehouse storage system is one way of making certain this hindrance is something that does not continue to occur.

Here are 5 tips to begin implementing.

Use Automatic Data Collection and Cargo Handling

Automation unlike manual handling, prevents uncertain outcomes that happen either because of the inexperience of the staff or human error. Automating data collection minimizes any room for mistakes and the same is said for cargo handling. This tip makes certain that cargos are stacked in the right place and that the computer receives everything correctly.

Use Bin Locators In Your Warehouse Storage System

Having different types of cargo anywhere in the warehouse makes it hard for staff to locate it whenever they need to. Organizing your warehouse efficiently enables you to bin locate your cargos. This means you have a designated inventory storage location system where you’re able to mark all the rows, columns and racks. The bin number for a type of product is allocated to it according to the specific row, column and rack where the particular product is placed. How you decide on the format of the bin number becomes your own decision. The staff after this then needs to learn how to utilize the bin locator concept and organize your warehouse according to it. If all the loads are stacked by their bin numbers and all this information is logged into a digital portal, any new employee can find any product that is needed in the warehouse. This way of optimizing your warehouse storage system also assists in reducing the number of steps your employees need to go through to find the products.

Track Your Assets

Every business owner is able to place an order to their manufacturer based on the forecast done on the demand and supply of their products. Forecasting allows you to sidestep ordering (in surplus) items that do not sell quickly and encourages you to order (in surplus) items that do sell quickly. It is a competent method and manner of reducing overall costs and assists in better usage of warehouse storage space.

Conduct ABC Analysis

This is an analysis also known as Inventory Categorization Method, that categorizes all the products from high to low as per their monetary value. Stock is not valued equally, and this gives grounds to select products making the most income, so more time, attention and resources can be aimed towards these certain products.

The above-mentioned products get put under the ‘A-list’ and this carries information of the priority stock that brings in the most revenue. These items might be too expensive to order in bulk and may need to be kept in ‘lock and key’ due to their highly pursued nature. It requires frequent reviewing and re-ordering so that there’s always an adequate supply of these products.

‘C-list’ items have lower monetary values, but they are always ordered in bulk.

In the middle of the two, with an average volume, value-re-orders and frequencies of reviews, are ‘B-list’ items.

Utilize All Available Space

It’s important to make use of every part of open space to your advantage as warehouse storage space is limited. Racks need to be designed to utilize the vertical and horizontal space available in the warehouse. People often jump the gun and decide to seek for larger premises under the impression that they don’t have enough space when in fact, there’s plenty unused potential space. Stacking freight randomly uses up a lot of unnecessary space and causes difficulties for staff that prevent them from fulfilling their tasks quickly and efficiently. Maximum utilization of your warehouse storage space is only possible if you design it as per the orders you receive and ship, every month, i.e. the products that are moved more often than others, number of employees working in the warehouse and number of racks required to load the cargos. Even a rough estimate of these factors can still aid in the efficient use of warehouse storage space.


Now that you’re knowledgeable on ways to optimize your warehouse, Deal With Lost Warehouse Inventory By Implementing These 6 Steps!

Source: cerasis