For a manufacturing company to succeed and improve its production capabilities, it needs to first manage its warehouse and inventory efficiently. In order to improve warehouse operations and manage inventory more efficiently, consider the following tips:

Implement an Automated Data System

The use of RFID (radio-frequency identification) systems, barcodes, or any other inventory tracking technology to manage goods in a warehouse can help reduce the risk of human error. When workers are tasked with collecting data manually, this can be risky and affect warehouse efficiencies. Failure to correctly note down the correct number or letter can be the difference in losing a lot of money.

By implementing automated data systems, business owners will be able to store up-to-date data with greater ease. Workers are also able to access the information instantly at any time. In addition, adopting an ERP system with a strong warehouse management system (WMS) module can help improve overall efficiency by suggesting the best methods and routes for picking or storing goods.

Organize Workstations

A well-arranged and organized warehouse makes it easy for workers to locate products, equipment, and tools. This helps to reduce human error and improve workplace safety as well. To organize a workstation, you need to adopt the 5s: sorting, setting in order, shinning, standardizing, and sustaining. This system helps to keep clutter at bay.

Lean Inventory

Adopting a lean inventory in manufacturing is important and the same concept applies to a warehouse as well. The basic rule to maintain a lean inventory by storing only what you need and nothing more. In addition, you can work toward reducing or possibly eliminating safety stocks and trying to get suppliers to deliver smaller quantities frequently.

Maximize Available Space

Instead of worrying on how to expand the footprint of your warehouse, think more on how to better maximize any available vertical space. Rather than incurring expansion costs, it is wiser to add tall storage units and invest in the right storage kits to be able to store more items in the same square footage. In addition, consider the type and variety of shelves you use. Different materials need different types of shelving. For example, if you store small things on pallet racks, you may end up wasting space and items can easily get misplaced. Consider using standardized bins to keep shelves orderly and neat.

Optimize Labor Efficiency

You can reduce travel time in your warehouse by storing high-volume items together near the front of the facility. Also, you can analyze your material usage and keep the items that are frequently used or sold near one another. This system not only eliminates picking delays, but also fastens operations resulting in more productivity.

Plan Ahead With Picking Procedures

Plan in advance with an efficient freight company on picking hours. This prevents last minute work and helps to eliminate the inconvenience of being short-handed during peak periods. Recognizing picking style patterns helps floor managers to direct pickers to the areas that require the most work.

Once you enhance your warehouse and inventory management efficiency, you are expected to achieve:

• Reduced error rates
• Increased productivity
• Improved order fulfillment
• Increased operational efficiency
• Minimized inventory holding costs

Running a retail or wholesale business entails the need to deal with stock on a day-to-day basis. When there are thousands of merchandises on hand, it is crucial to know how to manage all of them in an organized manner. How can you be assured that you have an efficient stock management system in your warehouse? Following the tips in here will do you a lot of help.

Manage Stocks Accordingly

Old stocks need to go first before newer items. This is especially so if you are selling goods that have expiry dates. If you want to make sure that you are handling all these items efficiently, you need to separate old merchandise from new ones. Using a warehouse management software will help if you have thousands of items in your warehouse. That way, you will be able to manage your stocks at a lesser amount of time.

Consider fast and slow-moving items in your inventory as well. You have to consider these when separating items accordingly. Fast-selling items will surely go first thus they should be stocked where they can be accessed easily. For your slow-moving items, on the other hand, it will be good to develop strategies on how to sell them fast too. This is aside from stocking them in an area where they can be kept for a longer time than usual.

Make Your Records Accurate

Your records are very important when managing a warehouse. You need to record what goes in and out of it, by updating your record books regularly. Make sure that all items are well accounted for at the time they get in and go out of your warehouse. You would never want the idea of losing profit just because you failed to record the goods that have already been out of your facility.

Make an Inventory Forecast

This can be one of the most difficult steps when handling your inventory, especially if your products fall into different categories. Forecasting involves determining the price of the item, thus making forecasting even more complicated. Using an inventory system is the solution to making forecasting a whole lot easier. There is a type of software that can help automate forecasts for easier inventory taking.

Assign a Barcode to Your Products

Barcodes do a lot of help in recording the flow of your inventory, as well as in speeding up the process of doing your inventory taking regularly. Barcode systems these days already include codes where they are easier to spot when you have bought an item. You just need a barcode scanner to access the printed barcode. From there, the product information will already be displayed on the computer screen.

Warehouse management can be a tough job, without the help of companies that are already experts on handling stock. Working with a logistics company can help save you from these tiresome processes. At STC Logistics, we have warehouse fulfillment measures that will work when it comes to managing stock piece by piece without much of a hassle. We have inventory management systems that are proven to work for any type of business.

Because 3PL (the abbreviation of third-party logistics) warehousing is constantly evolving, one’s operation may experience several changes over the years. That’s why growing 3PLs are recommended to employ a warehouse management system (WMS) that adapts and changes with their businesses. Because there is a wide range of warehouses operating in the logistics vertical today, there is an abundance of software to choose from. Before starting your search for the perfect WMS, it is important to first identify several key traits about your warehouse.

Understand Your Shipments

Does your business specialize in assembling and kitting; carton in/carton out; or pallet in/pallet out (cross-docking)? It is recommended that business owners choose a WMS technology that can automate existing workflows and enable hands-free shipping, packing, and picking. With the rise of e-commerce, achieving 100 percent order accuracy will be invaluable to your customers as you scale together.

Identify Products that Require Storage

Another step you can take is to identify all the types of products that are currently stored in the warehouse, as well as items that may be stored in the future. By gaining a clear picture on which type of warehouse you want to operate, the more specific you can be in the software selection process. For example, if you store products with expiry dates (e.g., beauty and makeup products), consider installing a WMS that facilitates a First-In, First-Out (FIFO) distribution model. Alternatively, one may utilize a WMS that tracks catch weights if the business focuses on grocery distribution.

Notice How Customers Place Orders

Today, having a WMS that accommodates how one’s customers place their orders is more important than ever. Below is a quick look at some of the most common order placement methods:

• Retail/Electronic Data Interchange (EDI): Large retail customers often prefer to establish EDI connections when ordering. Choose a reliable WMS that can manage and facilitate these connections.
• API/Shopping Carts: If your warehouse serves omnichannel or e-commerce customers, the chosen WMS should come with the ability to add shopping cart integrations, e.g., with ShipStation, Amazon, WooCommerce, and Shopify.
• Spreadsheets: Some customers may place their orders by sending CSV or other Excel files. Your selected WMS should have an easy to use import function.
• Manual: While allowing customers to place orders via phone call or email may seem harmless at first, receiving this information requires manual work. In addition, it may increase the risk of human error that affect one’s bottom-line. A smarter solution is to offer customers a dedicated portal where they can place orders directly into your system and/or check the latest inventory status.

Consider the Number of Customers You Serve

It is now common for warehouses to serve multiple customers that sell through different channels. Business owners need to start considering how to better receive each customer’s orders, store and manage their inventories, and manage billing matters so that each customer’s data is kept separate. With that said, you may want a WMS that brings together multiple technologies: billing, mobile device shipping and picking workflows, automated receiving processes, and shopping carts.