FIVE TIPS TO IMPROVE THE EFFICIENCY OF YOUR WAREHOUSE

1. Five Tips to Improve the efficiency of Your Warehouse For improved warehouse efficiency, a critical look should be taken in order to get things going and tackle some of the issues impacting performance. Below are a few tips to drastically improve warehousing. Update Your Standardized Processes As the supply chain industry continues to grow, you have to reassess the processes that you have been using in your warehouse. It is highly advisable to keep adjusting the processes to free yourself from the risk of obsolete information and standards. Standard processes are very important and they ensure there is maximum security and safety in the warehouse. Moreover, such processes improve the efficiency of the operation. You should also ensure that the training and onboarding of new members is simplified. Eliminate Excessive Inventory Excess inventory is one of the major drains on the profitability of warehousing processes. Due to this common problem, wholesalers end up purchasing huge amounts of a single product for significant discounts. This practice is a huge mistake because the excess inventory ties up money. This eventually leads to a huge drain in profitability. However this is a controllable issue. There are several ways in which you can reduce excessive inventory. One of them is to order large purchases to be delivered in small batches. This is among the most effective ways to help you improve warehouse productivity. Account for the Warehouse Labour Cost Labour is the highest cost of operating a warehouse. In fact, it accounts for up to 50% of the total operating costs. Accounting for labour cost manually is highly discouraged because this method is very inefficient and may produce inaccurate information. However a labour management system will definitely come in handy in this situation. It enhances efficient tracking of labour costs and simplifies work. This management system collects and uses the workforce data from the warehouse operations without any limitations. Some of the parameters involved include inventory handled, cases unloaded per hour, and received tasks from clients. Ensure adequate technology is received by warehouse workers Willingness is important at this juncture. It has been discovered that most people are quite uncomfortable with supply chain technology. Most people may not have the capacity to navigate the technical world and this becomes a major problem. However, there are technology providers who offer high skilled training for those it may concern. There are plenty of benefits that come along with having this knowledge, including improved work quality and customer service. Reduce Obsolete Inventory As long as inventory does not move, revenue does not increase and stock cannot be put up. This results in a major drain on productivity. In order to prevent this, it is encouraged that a report can be run to aid in reducing inventory.

2. With the above information, you are on the right track to improve the profitability of your warehouse. Ensure that these steps are followed to the letter and get drastic results. Articles warehouse/ Source : http://www.see-the-opportunity.com/five-tips-to-improve-the-efficiency-of-your-