According to MWPVL International, a specialized supply chain, logistics and distribution consulting firm, “when the net working storage capacity of a warehouse distribution center surpasses the 85% utilization level, there is typically a concurrent reduction in warehouse productivity levels”.
The result can manifest itself in overcrowded shipping and receiving docks, aisles flooded with product and fire code violations– not to mention the many other safety hazards a cramped warehouse presents.
If you’re looking for ways to impress the boss by increasing overall productivity and mitigating safety hazards, start by increasing your warehouse’s storage capacity.
Here are some tips to get you started.
Evaluate Your Storage Equipment
Use the picking frequencies of your products to assess reserve and active storage requirements. From there you can begin exploring the world of industrial shelving to properly optimize storage space.
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Narrow Your Aisles
Creating VNAs (Very Narrow Aisles) can be an effective way to store lots of product you don’t access very often like seasonal goods. The decreased width can limit access to a single vehicle or specialized forklift, but is a tried and true way to instantly increase capacity.
Assess Your Technology
Then optimize it! Make updates or invest in newer equipment and systems as needed. For instance, is that forklift costing you exorbitant amounts to fix and repair? Is the picking system you’re using outdated? Should you invest in an RFID or ERP (Enterprise Resource Planning) software? Consider if something newer might better serve your warehouse operation.
Consider An Inventory Reduction
Seems like a simple solution; however, without regular inventory checks excess and outdated product can quickly accumulate. If your inventory volumes appear high upon review, defer to your forecasting and tracking data to help you re-distribute inventory levels. Doing so is an easy way to better utilize your warehouse space and lower storage costs.
Execute Slotting Analysis
When you effectively slot a warehouse, you’ll quickly pick out any areas that are being over utilized. From there you can improve your throughput. Start by mapping out the necessary amount of storage for each item in your inventory. Be sure to do this after each season or product change to keep up with evolving storage needs.
Build Up
Cities like New York that are constricted from expanding out build up. The same principle can prove wise in growing your warehouse storage capacity. Utilize vertical space above your pallets by investing in rack elevation.
Re-configure
Start by assessing the physical layout of your space. From there you can make strides to improve upon facility-wide product flow. When doing so, take things like shipping volumes and peak trends into consideration to effectively streamline your warehouse operations.
In the end, if after making changes you still require additional warehouse space, consider investing in a professional warehouse design. Experienced professionals like those at Rack Express can help you maximize and optimize your warehouse, no matter the size. Take the first steps to increase your warehouse storage capacity by contacting the experts at 855-260-6099.