Advice about how to improve warehouse operations can get convoluted during the digital era. It is easy to get stuck in the weeds discussing advanced software integration, shipping logistics, and smart storage infrastructure. There is a time and a place to talk about those types of improvements, but plenty of our clients at DMW&H are looking for something more pragmatic. When it comes to practical warehouse improvements that even small businesses can pursue, keeping things simple can be a great help. If that is your goal, consider these four tips.
KNOW YOUR NUMBERS
Before you can begin looking at practical solutions to your warehouse management needs, it is important to know where you sit. Having accurate and easily accessible figures is a vital starting point. For some, this can mean digitizing older records and shipping and receiving information, or perhaps consolidating this data into a more modern format that can easily produce useful information on efficiencies, strengths and weaknesses. Data management is one of the most important building blocks for future modernization, so consider tackling it early on.
SET A GOAL
Starting with practical improvements is much easier when you have a goal in place. This goal does not have to be “I want to completely redesign my shipping and receiving so that robots and computers do all the work.” For lots of businesses, even large and very successful ones, that is not a practical or even a desired goal. Start with a smaller and more specific achievement in mind. This could be something like, “I want to reduce my customer service inquiries on past-date deliveries by five percent in the next year,” or “I would like to reduce my warehouse energy expenditure by five percent in the next six months.” Thinking about solutions at a more specific, simple level is a great way to start practical improvements and not lose the forest for the trees.
SPACE RACE
Before delving into a large reorganization effort in your warehouse, take stock of available space. It is not always necessary to move to a larger building or increase your footprint in order to grow and handle more volume. Storage systems that allow for the use of more vertical space can make a significant difference and prevent expansion costs. Different types of shelving and racks for different materials can also allow you to use space more efficiently, and are more cost effective solutions than larger development or reorganization.
INVENTORY
A very practical early step to improving overall efficiency is to maintain lean inventory. This means only keeping on hand the products that you need for as long as you need them. This scaling down of inventory will have a positive impact that snowballs on to other goals, like the efficient use of space and task prioritization. If possible, consider working on delivery and shipment schedules to limit the amount of time that goods spend in your facility. Cutting down on these times at the early stage will lay the groundwork for more technical optimization in the future.
