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Are you making these warehousing mistakes? Running a warehouse is no easy feat – there is a lot to keep track of and a lot of details that can be overlooked. Here are some of the most common warehouse blunders and how to avoid them in order to keep your operations running smoothly.
Understocking in-demand items
Understocking in-demand items is a common warehouse mistake. It can lead to you losing business or having to pay extra to quickly restock shelves. Customer demand can be hard to measure and predict sometimes, however there are cases where you can easily forecast it. Gather data in order to track times when orders are more frequent. You should also consider the time of year and any upcoming special occasions – some items have a seasonal demand or are popular gifts.
Overstocking inventory
Overstocking inventory can be just as harmful as understocking inventory in some cases. While ordering items in bulk can sometimes be cheaper, you need to be wary of ordering lots of items that are likely to expire soon. If you don’t shift them before the expiry date, that’s lots of stock wasted. Even if items aren’t likely to expire, they could still be taking up space that could be used by other items. Therefore, when predicting demand, avoid going overboard.
Using inappropriate shelving
The shelving you choose for your warehouse needs to be able to support the size and weight of each item you store there. It’s worth investing in industrial racking that is able to support heavy weights. Some warehouses make the mistake of choosing shelves that are too wide or too narrow. While wide shelving may be able to support larger items or larger quantities of items, it could lead to narrower aisles or less aisles – so it’s important to get the balance right. You also need to consider the height of shelving – while it’s good to use as much vertical space as possible, picking items from high shelves could take longer and come with added risks.
Ignoring picking pathways
Optimising picking pathways allows items to be picked more quickly – helping to make operations faster. It’s worth regularly reconsidering the layout of your inventory to make sure that it matches the demand. The most in-demand items should be located at the front of the warehouse where they can be easily accessed, while low demand items should be stored near the back. Items that are typically ordered together should also be stored together for faster picking. Reassess your layout every time lots of new items arrive or if there is a big change in demand.
Not rotating stock
Rotating stock is an important practice for making sure that the first items in are the first items out. This prevents items expiring or collecting dust. During busy periods, some warehouses neglect rotating stock, but this can have negative consequences. Get into the habit of always rotating stock as you are bringing new items in. Make sure that the date and time that each item enters the warehouse is recorded so that you know which stock is the oldest.
Wasting useful space
If you’re running out space in your warehouse, consider whether there is any space currently being wasted. Could you be using more vertical space? Is there room for another row of shelving? Mobile shelving may even be possible to use in order to save huge amounts of space. This allows shelves to be packed closely together, reducing space taken up by aisles. There are lots of guides online that can suggest more ways to maximize space in a warehouse.
Failing to use digital technology
Digital technology is key to running an efficient modern warehouse. WMS software can be used to track inventory levels and locations, as well as tracking the time at which item enters and leaves the warehouse. Data can be stored and analysed to help you forecast demand and improve the layout. RFID technology is also worth embracing to improve inventory tracking. This involves putting RFID tags on every item – the location of which can then be automatically tracked to help you determine which items are still in your warehouse. It is much more efficient than using barcodes.
Neglecting cleaning
Keeping the warehouse clean is important for many reasons. It is firstly important for staff morale – nobody wants to work in a dirty environment. It is secondly important for health and safety – a dusty and dirty warehouse could have poor air quality and the floor could become slippery and lead to injuries. Items also need to be kept in good condition. Take the time to regularly clean your warehouse, including occasionally carrying out deep cleans.
Overlooking health and safety
Poor health and safety practices could lead to you and your employees getting injured. There are lots of hazards to look out for in a warehouse including falling objects, trip hazards and fire hazards. Carry out a full health and safety audit of your warehouse to look for any hazards that have not been protected against. Is there extra signage you could be putting up? Should your staff be wearing PPE for certain tasks? Is your equipment in good safe condition?
Undertraining staff
It’s vital that all new staff receive thorough training. An efficient system is only efficient if your staff know how to use this system. Make sure that staff firstly understand how the infrastructure works. This includes helping them to understand how and why to store items in a certain location, as well as teaching the importance of stock rotation. Health and safety training is essential too. This includes teaching simple tasks such as how to carry a box or how to use a ladder. Proper forklift training is particularly important as forklift accidents tend to be some of the most costly and deadly – make sure that only staff members who are qualified to operate a forklift use these vehicles. On top of in person training, you may be able to provide e-learning exercises that your staff can carry out at home. Providing a handbook is also recommended.
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