Your business is taking off and suddenly your warehouse is struggling to keep up with a growing demand. Warehouse efficiency is instrumental in reducing costs and there are many ways to streamline processes and gain efficiency. In light of the recent trend of integrating technology, many warehouses are seeking to boost their productivity to compete. Before investing in expensive technical solutions, consider implementing some quick strategies to get your warehouse on the right track.
You may already have workstations in your warehouse, but the benefits are derived from effective purpose and design. Workstations increase organization in a warehouse and ensure that a worker has all the tools and equipment required to complete a task. Having a well-organized workstation reduces workplace injury found from typically repetitive tasks. To achieve ergonomic design, place tools and equipment at an optimal height relative to the worker that reduces the number of times they need to bend down. Keep the workstation organized by labeling storage areas and only having relevant items present.
Maximize Vertical Space
Many warehouses have high ceilings that aren’t used to their full capacity. By not capitalizing on this space, you are losing the potential to store inventory and fulfill higher demand. The first step is to assess your warehouse floor plan and measure how much space you still have available. Using vertical storage does make some items harder to reach; therefore, you need to plan which items you will move. Solutions, such as warehouse mezzanines, increase the amount of floor space you have, while still providing easy access to inventory. If a mezzanine is too large of a commitment for you, consider adding taller pallet racks or expanding your existing wire shelving.
By now, you’ve probably heard it many times, but numerous workplace problems are caused by a lack of communication. When everyone is aware of policies and procedures, you will prevent avoidable mix-ups and confusion. To make sure everyone is on the same page, consider hosting weekly meetings to revise procedures and discuss relevant updates on clients and shipments. Try to make these meetings as fun as possible and involve all warehouse staff, as everyone presents a unique insight that is critical to finding an effective solution. This will also serve to increase organizational culture and feelings of autonomy, which is proven to lead to productivity gains.
Metrics to Analyze Performance
If you aren’t quite sure what issues are hampering your warehouse’s productivity, it’s time to crunch the numbers. Here are some common metrics used to assess performance:
- Inventory to Sales Ratio: Inventory at End of Month / Sales at End of Month
- Helpful to predict future demand
- Order Picking Accuracy: Total Number of Orders / Perfect Order Rate
- Helps you streamline your processes
- Inventory Turnover: Cost of Goods Sold / Average inventory
- Helps you assess how you are balancing inventory in relation to demand
Trust Pallet Management Group when you decide to invest in new pallets for your warehouse. Choose from our variety of products including new, recycled, combination, and heat-treated pallets. Request a free quote today, or call 1-877-764-1764 to learn more.