Simple Ways to Improve Your Warehouse Operations
For more actionable business tips, check out the Darcy Allan PR blog!
The growth potential of your business is limited by the capabilities of your warehouse. If slow and outdated warehouse operations processes are holding you back, it’s time for a change! Warehouse management is always a good investment. By boosting the efficiency and accuracy of your warehouse management, you’ll be able to scale your business while minimizing overhead costs, optimizing space, ensuring timely shipping, and avoiding costly over- and under-stocking issues.
Use Inventory Management Technology
Efficient warehouse operations start with good inventory management. Today, business owners have access to several digital inventory management tools that can improve order accuracy, save time, boost productivity, and illuminate potential areas for improvement. Automate order management, track costs, and receive real-time updates with inventory management software like QuickBooks Advanced Inventory. For optimal performance, look for an inventory system that includes an integrated mobile app so everyone on your team can scan inventory as needed.
Eliminate Excess Stock
Business owners often worry about running out of stock, but holding excess stock can be just as damaging to your bottom line. Holding too much inventory takes up extra storage space, reduces available cash flow, and decreases your ability to adapt to changing market demands. Inventory that you hold for too long also risks going obsolete, forcing you to sell old products at a loss just to free up space. Automating your ordering process is one way to reduce excess stock. On top of this, be sure to implement modern methods for forecasting and predicting demand!
Organize Your Warehouse for Optimal Efficiency
Warehouse layout and organization can have a significant impact on everything from order fulfillment speed to worker safety. If you’re looking for ways to overhaul your warehouse layout, Kardex suggests starting by polling your staff. The people who work in your warehouse every day have the best insight into opportunities for improvement. Beyond adjusting your warehouse layout, implement organizational labels, signage, maps, and storage devices to ensure every item is easy to find.
Next, spend some time optimizing the layout of your receiving area. Ensure that inventory coming into your warehouse has a place to go so your employees never have to work around piles of boxes. Not only will this improve organization throughout your warehouse, but it will also speed up the inventory receiving process as well.
Invest in Robust Employee Training
Without adequate training, warehouse staff can turn your organized space into a confusing mess. A robust employee training program will ensure your staff members know how to keep your warehouse clean and organized, but also how to use your warehouse technology to do their jobs as efficiently as possible. Plus, training your employees will help them stay safe on the job so you can minimize workers’ compensation claims and reduce sick days. If you’re not confident in your ability to train your staff properly, consider outsourcing your warehouse training process to a specialized company.
Track All Shipping and Inventory Metrics
Monitoring the success of your warehouse management strategy is key. The more information you know, the better! Track and record shipping metrics like the storage cost for each item, the time it takes to fill an order, and the cost to ship each product. You should also try to track information about your inventory turnover rates, inventory accuracy, order picking accuracy, and the rate of return for each item. Key performance indicators (KPIs) like these will help you get the most out of your warehouse management system!
Maximizing efficiency in your warehouse will open the doors to numerous business growth opportunities. Eliminating excess inventory will enable you to jump on fads and stock trending products while the market is hot. Adopting automation technology will cut labor costs and eliminate order delays, so you can grow your customer base smoothly. Good employee training practices will improve order accuracy to keep your customers happy. Investing in warehouse management improvements is a no-brainer!
