The need for warehouses is growing by the day. As companies continue to expand into eCommerce, they need more space to store products for their growing customer bases. That’s why it’s no surprise that 87% of decision-makers say they plan to expand their warehouses by the end of 2024.
But you shouldn’t do this on a whim. A bad warehouse layout will make your expansion plans run into unexpected problems.
The right warehouse layout can make or how effective your warehouse is. Keep reading to learn the dos and don’ts of warehouse layout optimization and how to create an efficient warehouse.
Place Products Strategically
It can take a lot of time to reach some of your products. If you have a large warehouse space, that’s time that gets taken away from finding more products and packing them.
Be smart with product locations by placing more popular products next to the packing station. Doing this will reduce overall trip time and allow workers to pick more during the day.
Go Vertical
You only have so much space to store products in your warehouse. If you stick to ground level, you drastically limit your space and won’t be able to store as many products.
Don’t be afraid to invest in warehouse storage solutions like racks that allow you to build vertically. From there, you can purchase equipment like the products found on konstant.com to make it easier for workers to grab and transport items.
Avoid Too Much Inventory
It’s tempting to purchase a ton of inventory. You don’t want to run into a situation where you don’t have products in stock and must turn away orders. However, that doesn’t mean you should buy too much inventory.
Use forecasting to make educated guesses about how much to order. When you have too much inventory, you not only tie too much cash into products but also make a more cluttered environment with products you may not sell.
Keep as little in stock as possible to keep your warehouse layout simple.
Run Regular Tests
You can create an efficient warehouse layout on the first try with some planning. However, you may still have some inefficiencies that result in employees being unable to get more done during the day.
You’ll learn about these things over time as you collect data. Make sure to regularly audit your warehouse performance and look for ways to improve.
Once you have that data, run tests to see if your changes increase warehouse performance. Keep doing this over time until you end up with an optimized warehouse space.
Get Warehouse Layout Optimization Right
Getting products into your warehouse and into customers’ hands is easier said than done. You need an efficient warehouse management system to store products and quickly pack them for customers. Without the right warehouse layout, you’ll struggle to meet demand and fail to satisfy customers.
If that happens, your warehouse profits will suffer.
The good news is that you can use many warehouse layout optimization tips to improve things. Utilize the advice above today to build an efficient warehouse layout system.
Did you find this guide helpful and want to learn more about running an efficient business? Check out the blog for more great ideas.
