Efficient warehousing
Warehousing and logistical are a major part in business therefore efficiency in these two areas are vital as the proliferation of online business and the growth in exporting also. Efficiency requires planning. So how is it possible to be more efficient in a warehouse and incorporate money saving measures?
What you should concentrate on for new warehouses –
Perfect planning is required for an efficient warehouse. Follow these seven critical steps when planning a warehouse
- Define goals and objectives
- Document the process
- Collect information and data
- Analyse
- Create a detailed project plan
- Implement the plan
- Do a post-project review
What you should concentrate on for existing warehouses -
- Labour
- Invest in training
- Cross-train
- Focus on employee retention
- Employ seasonal staff in peak times
- Use flex-time
- Revise your labour scheduling strategy
- Observe starting and finishing times
- Monitor individual productivity
- Implement a pay-for-performance programme
- Operations
- Reduce inventory with cross-docking
- Target inventory accuracy
- Get rid of excess inventory
- Improve cube utilisation
- Optimise workflow
- Reconfigure racks
- Optimise staging areas
- Implement regular auditing
- Minimise packaging
- Keep supervisors on the warehouse floor
- Focus on error reduction
- Make housekeeping a high priority
- Control theft
- Improve receiving area
- Equipment
- Optimise equipment use
- Make equipment do double-duty
- Manage equipment service vendors
- Consider short-term rental
- Evaluate leasing rather than buying
- Technology
- Consider a warehouse management system (WMS)
- Take full advantage of an existing WMS
- Implement voice-directed picking
- Reduce dwell time
- Facilities Management
- Convert to high-efficiency
- Buy energy in bulk
- Warm up with dock blankets
A greener warehouse = an energy efficient warehouse
Steps to an energy efficient warehouse
Warehousing costs can account for almost 10% of a company’s revenue, with heating and lighting as the two largest energy users. Being able to save money in any of these areas is good for a company’s bottom line.
- Poor power factor can act as a major energy drain so get a review done of the electrical system – improved operating efficiencies
- Install high-efficiency motors into any warehouse machinery – extended equipment life cycle
- Install a system that shuts machinery down automatically when not in use – less downtime due to undetected equipment problems
- Install an energy-efficient motor - Expensive but will reduce the cost of daily operation – they are generally more reliable, longer lasting and put less of a load on electrical distribution circuits.