Get the Most from Your Warehouse Storage Systems

John Conrad
4 min readAug 22, 2022

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Every warehouse manager encounters the problem of limited space at some point. Increasing warehouse storage space through physical expansion is frequently not economically feasible due to the skyrocketing cost of real estate. Therefore, poor space management results in operations that are ineffective and, overall, decreased productivity. So what do you do to make sure you make the best use of the space in your warehouse? Here are some suggestions to help you redesign your warehouse storage area:

1.Warehouse storage layout:

Before creating the storage and operation layout, thoroughly research and understand the warehouse’s requirements. Define the requirements, strategic performance goals, and functional requirements. You should also plan for potential future expansions and reorganisations. The strategy should be created in a collaborative manner, with contributions from management, engineering, marketing, operations, and finance, as well as consultants, equipment suppliers, and end users. Making changes after the design and construction are finished will be a wasteful and costly task. Several things to take into account when planning your warehouse storage layout include:

a. SKU Analysis

Automated storage and retrieval system zones should be created based on the SKUs’ dimensions, weight, and rate of movement. More SKUs than others contribute to overall sales. 20% of SKUs typically account for 80% of unit sales (the 80/20 rule). For quick processing, these SKUs should be put in a “Hot Pick” area.

b. Order Picking Accuracy

Correctly retrieving items from pallet racks is a necessary and time-consuming process. In reality, this particular task consumes between 55 and 60 per cent of the labour time, making it the most labour-intensive activity in a warehouse. Therefore, when designing your warehouse layout, it’s crucial to take into account material storage zones, potential order picking routes, time, labour efficiency, and other order picking-related factors.

c. Optimal Capacity

In order to fulfil the primary goal of your warehouse storage systems, if the warehouse is new, you must take into account the typical volume of goods that you will be storing there: order completion. Therefore, the warehouse’s ideal capacity needs to be determined. If you already have a warehouse, you must locate and get rid of any stock that is no longer needed. By running an inventory report, you can dispose of slow-moving and outdated stock or move it to the back of the warehouse.

d. Storage Density

You need to have a high storage density in your warehouse for the best space utilisation.

e. Material Handling selection

The standardisation of processes and ensuring that all equipment and equipment in a warehouse operates as a single, unified system are the most crucial factors to be taken into account when choosing automated storage and material handling equipment. The operators must receive the necessary training for effective, secure, and safe operations. To choose the most cost-effective equipment and to achieve the best storage density, it is necessary to calculate the cost per unit of material handled.

2. Inventory Management

Maintaining the right amounts of inventory in a warehouse is essential for the continuous supply of goods to customers. On the other hand, too much stock building up in the warehouse would be counterproductive because it would take up valuable space and hamper the free flow of goods. To maintain the ideal inventory levels, effective inventory management should be used.

3. Appropriate Storage Solutions

Numerous storage options are available for the most efficient use of a warehouse’s entire vertical cube space. It entails optimising the warehouse’s automated storage solution for space above docks, cross aisles, loads, and work areas, as well as the overall building clearance. It entails the creation of numerous “zones” to enable the relocation of sluggish SKUs to smaller storage spaces.

4. Tunnel Racking:

Warehouses with high ceilings can make good use of the vertical space above cross aisles by installing storage racks there. They can effectively fit 2–3 rows of pallets in a space that would otherwise be wasted and are known as “tunnel racking.” Up to 10% more storage racking space will result from this. One thing to keep in mind is to provide netting to stop pallets and/or cartons from falling to the ground and harming or injuring personnel.

5. “Racks Over Docks”

In particular, the area above dock doors can be used effectively to store lightweight items like bare pallets and empty cartons. This makes use of a storage area in a warehouse that is typically overlooked.

6. Cross Docking

Cross docking is the process of unloading pallets from manufacturers and almost immediately loading them onto vehicles to be driven to smaller warehouses or to fulfil orders, with only a short amount of time (a few hours) spent storing the pallets in the warehouse. Both space and money are saved by doing this when handling inventory.

Conclusion
It is clear that a variety of factors come into play when discussing making the most of your warehouse’s storage space. To create the most ideal warehouse storage and effective operations, it is essential to take into account not only the civil parameters but also the type, weight, size, and quantity of materials to be stored, warehouse storage racks, and material handling equipment with the skill levels of warehouse staff.

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John Conrad
John Conrad

Written by John Conrad

Mechanical engineer by profession. A part-time content writer and full-time techno-geek. Love exploring new technology and industrial equipment.

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