How To Optimize The Storage Of Your Warehouse?

by Nagaraj Rudragouda Freelance SEO Expert

Inventory optimization is a significant competitive lever for a company, reducing costs while protecting itself against a possible disruption. Discover the right tools and methods to achieve controlled management of your storage warehouse.

The rise of e-commerce, the speed of means of transport, and communication flows are forcing companies to adapt: more agile, more responsive, and demanding, they must face growing competition to meet the needs of their customers as soon as possible. The challenge, therefore, lies in choosing the best suppliers, combining quality and speed of service. This is why warehouse management now occupies a prime place in the supply chain. Beyond its layout, the methods adopted for Business storage in Bangalore, inventory management, and picking are now at the heart of the supply chain manager's challenges. A significant improvement in the warehouse directly enables it to win more customers and increase its market share.

How to efficiently set up your storage warehouse?

Often, one forgets that a warehouse is a place of storage and a place of passage. It must not only allow goods to be stored in the best possible way, but it must also allow employees to operate in this space efficiently. Finally, it must lend itself to inventory operations.

It's all about flow: your main goal should be to optimize the flow of the warehouse internally so that it generates real added value in your production process.

Here are some major organizational principles that should be applied:

• Never lose sight of the fact that it is a question of optimizing all the flow of goods and people within the warehouse.

• Pay special attention to the company's loading and unloading docks to apply cross-docking. This involves moving goods from the arrival docks to the departure docks without going through stock.

• Organize your products taking into account their specificities. For example, food products should not be located near toxic effects, etc.

• Allow self-propelled forklifts and other equipment necessary for picking to circulate without any difficulty in all the critical areas.

What are the rules to follow to achieve optimal storage?

The ABC method is the most widespread and manages your stocks by assigning a letter to each product according to its importance. The letter A is reserved for products that contribute the most to your turnover. The letter B corresponds to the second category of less essential products. Finally, the letter C is applied to products that contribute only marginally to the achievement of your turnover. Therefore, products labelled "A" must not be out of stock. Otherwise, your performance will be severely penalized. They are also those who benefit from a safety stock to prevent breaks. They have a service rate higher than other products. By limiting the amount of inventory for lower priority products, you help reduce your costs.

The optimization of storage space is another lever of competitiveness. The space left between each item is essential. To store your archives, it is not necessary to leave any. However, the extraction of goods from the warehouse requires them to be grabbed manually or using a suitable tool (automated robot, etc.) For handling a machine, leave a lateral play of 75 mm and a height clearance of 100 mm. Otherwise, you will waste precious time removing each item from the warehouse, which decreases the productivity of your employees and machinery.

Should we adopt a FIFO or LIFO system? This is a common question among supply chain managers. In the FIFO system, one side of the rack is used to load the merchandise, and the other is used to pick it up. In the LIFO system, the final product entered is the first taken out of stock.

The optimization of your warehouse is an essential boon to increasing the productivity of your supply chain. International competition reduces companies' room for manoeuvre and forces them to react. Fortunately, applying a few simple methods and tools immediately improves their performance. If one needs solution for storage space then they can look for Business storage in Bangalore.

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About Nagaraj Rudragouda Advanced   Freelance SEO Expert

86 connections, 26 recommendations, 421 honor points.
Joined APSense since, June 20th, 2016, From Bangalore, India.

Created on Nov 25th 2021 00:18. Viewed 117 times.


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