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The warehousing business is highly promising which does not require frequent maintenance. However, they need to be managed properly for continuous profitability. Many warehouses tend to overlook significant factors which can affect their performance. In this article, we have discussed three facts warehouses must know to keep their business profitable. By ignoring these aspects, the revenues likely experience a setback.
1. Reusable Packaging is the Best As the whole world is adopting eco-friendly practices and a green approach to run their affairs, warehouses should also turn towards using greener packaging instead of disposable containers. Reusable packaging provides the same level of quality for shipping, storing, and protecting inventory. When it comes to perishable products or items with short lives, reusable packaging offers more protection against damage. According to a study conducted by a Germany-based initiative, packaging affects fruit and vegetable shipments significantly. When disposable containers were used for fruits and vegetable shipment, 4% of all produce was damaged during transit. Whereas, using reusable containers only damaged 0.1% of all fruit and vegetables.
With this small change in the setup, a phenomenal difference can be made. Businesses can save huge amounts, as insignificant losses will be incurred. Other than the damages to the products being shipped, the cost of using disposable packaging is also noticeable. Shifting to reusable packing would help conserve around €2-million cost which otherwise would have been spent on disposable packaging. It amounts to approximately $2.57-million.
2. Temperature Matters Those warehouses which deal in industries requiring temperature control have to maintain a cool and regulated environment to keep supplies in the best of condition. These include medicine, fruits and beverages, and other such items which require a maintained temperature for their integrity. Other than this, warehouses are required to keep the temperature regulated in summer to provide conducive and workable conditions. Human Resource operators have pointed out that warehouse employees are more productive in summer if the temperature in which they are working is kept moderate and regulated. There is no doubt that an employee will perform well and will feel more comfortable if he is working in an environment that is temperate. Although many people tend to take a challenging job thinking they can handle it, the fact is that their performance is affected because of the extreme temperature in which they are working. Also, many managers still tend to think that an employee’s discomfort is not a matter of big concern. However, this is a flawed approach at various levels.
3. Manual Processes Cost More than Anticipation Performing manual tasks is preferred in most of the warehouses because they have never felt the need to get an automated system for that purpose before. Hence, they retort to manual processes believing it to be more cost-effective. Because of course investing in a new setup would cost quite a lot. However, this might also be a flawed approach because in the absence of an automated setup a facility might not be utilizing its resources optimally. This leads to increased losses as most of the resources have to be employed on performing a task that could have been taken care of with an automated system.
The process of taking an invoice is one such instance where a typical enterprise spends around $20 on the processing of an invoice manually, whereas an automated process costs only $4. This is because employees spend a significant amount of their time preparing and processing invoices by hand. This time could be spent on accomplishing other tasks. With automated processes, you can change supplier behavior ensure consistency, and enhance the efficiency of the process. With that in mind, warehouses can implement various other automated processes which can help improve the performance significantly.
Lawson Nevada For reliable and trustworthy Nevada warehousing, get in touch with Lawson Nevada. We are a reputable facility for Nevada forklift and other warehousing solutions. Source: https://whatfingernewspro.com/3-warehouse-management-facts-you-must-know/