When managing a warehouse, several principles come into play. It’s easy for companies to occasionally get it wrong but this would be at the risk of unnecessary supply chain costs. So one must be vigilant and identify where exactly they’re going wrong. Here’s a list of common warehousing mistakes- see if your company fits in with any of them. Then it’s a matter of rectifying the mistake and watching out for future recurrences.
Despite years of research showing the consequences, many organizations still hold on to excess inventory. By reducing these levels, you tend to make your supply chain leaner and also leaves less money tied up in stock. This way when you get undeniable offers and discounts, you’ll actually have what you need to make this investment as and when necessary.
An inefficient picking path ensures that your picking rate is severely affected, which in turn has a dominoes effect on your supply chain cycle times, labor costs, etc. If the location is close to the dispatch area, then your warehouse operative should complete the picking run with ease. So essentially, you need to take some time and plan out an optimal picking route. The effort will be rewarded with a drastic increase in efficiency.
There are certain standards you need to comply within any state or country. For example, all employers simply must have well-documented traffic management plans and records of audits conducted. To do this, it’s always better to get a professional third party to spot things that you are most likely to miss. They can then give you solutions to make sure you stay in line with regulations and compliances.
This is a mistake common to start-ups and smaller companies. While you may think that having paper-based processes will significantly save you running costs until you get yourself sorted, think about the consequences of not making that technological investment. Slowed processes and becoming a liability for delays will not help your business.
While all your attention is focused on getting the products out of the warehouse and to your customers, this leads to a lack of attention when it comes to your inbound operations. A good warehouse operator will find a way to maintain that balance because ensuring that the goods-in processes flow without a hitch are just as critical to your operations. So assign trained operatives to this sector to make sure there is no neglect.
Think about the cost of recruitment as opposed to the cost of keeping your employees satisfied. Having to continuously fill out vacant positions will take its toll on your wallet as well the mentalities of other employees working for you. To have a lower turnover rate, you’ll have to invest in more development and training opportunities. After all, you need to give them something to work for- opportunities for individual growth.
Which of these mistakes have you fallen prey to? If you haven’t, good job! But don’t forget to keep an eye out in case something slips!