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8 Tips For How to Improve Warehouse Efficiency

For many self-use warehouse and warehousing service companies, the efficiency of warehousing is a critical factor directly related to the company's profits. Therefore, the most important thing to consider for warehouse managers is managing the warehouse with high efficiency.

The following 8 warehouse efficiency ideas can help you increase the efficiency of warehousing services or better serve e-commerce sellers as a 3pl service provider.

1. Warehouse location and warehouse layout

The warehouse is the foundation of warehousing services. If eCommerce sellers can find a suitable warehouse, it can reduce the overall operational cost. Thus, working with an efficient warehousing provider lays a solid foundation for their growth. The warehouse functions need to be planned in detail according to the actual uses of the warehouse.

The entrance and exit of the warehouse need to be reasonably designed to ensure smooth passage with the warehouse. Classify the goods and put them in the right place according to the attributes and specifications of the goods. The basic principle is to place fast-selling goods closer to the export channel.

2. Logical placement

Make specific arrangements based on the type of goods, sales volume, specifications, etc. Use the MECE method to make a clear distinction. For some food products, try to avoid things that affect the quality—place better-selling and profitable products near the door or easily accessible on both sides of the aisle. We can post some specific layout diagrams in an easy-to-see place.

3. Warehouse core function

The warehouse needs to be used as much as possible to save costs, thereby improving the third-party warehousing providers' efficiency. Therefore, if part of the warehouse is divided into offices or garages, that is unacceptable because the warehouse functions should be as single as possible to avoid irrelevant items occupying the space.

4. Clear regulation and responsibility

The responsibility should be clear, and things are done following the rules. Establish a strict warehouse management system, make detailed regulations on personnel responsibilities, entry and exit rules, operating procedures, violation penalties, etc. Besides, don't forget to post them at the warehouse door.

More importantly, provide all employees with appropriate training and obtain safety operation qualification certificates to reduce the risk of injury, workers' compensation claims, and safety violations.

5. Safety

Ensure the warehouse staff correctly understands water, electricity, and heating (special product storage requirements). You also need to follow up the backing plate, prepare fire extinguishers, surveillance cameras, and other equipment, and pay attention to moisture, rodent, and anti-theft work.

6. Damaged goods distinguishing

Do not mix damaged goods with intact goods to avoid misuse, which may cause negative reviews and returns from consumers. Different measures are taken for goods with varying degrees of damage:

(1) If only the packaging is damaged, the goods can be sold separately.

(2) Goods with quality problems found, contact the e-commerce seller for confirmation and destroy them directly.

(3) Record the loss of goods every day. Check the situation daily to ensure the quality of the goods.

7. Intelligent & efficient warehouse management

Currently, we strongly advocate intelligent manufacturing. In the warehousing part, intelligent logistics and warehousing systems raise the warehousing management to another level. It is not limited to standardizing employee behavior and learning from successful warehousing practical experience. Still, it can comprehensively and systematically improve warehousing efficiency issues.

It has the advantages of saving space, reducing labor intensity, avoiding damage or loss of goods, eliminating errors, providing warehousing automation and management, improving the quality of management and operators, reducing storage and transportation losses, effectively reducing the backlog of liquid funds, providing logistics efficiency, etc.

8. Standardized workflow

The standardized workflow is an effective means to improve the efficiency of warehousing operations. The WPI (Work Process Improvement), which is designed to reduce the workload and improve the work efficiency of personnel, has a good effect on the experience. For warehousing and logistics companies, WPI has great practical value. The essence is to discover the loss, eliminate the loss and prevent the loss from "coming back."

The above content is 8 ways to make a warehouse more efficient. The practice varies from company to company, so you need to tailor the ideas to suit your situation.

Ultimate Guide : Local & Cross-border eCommerce Logistics Service

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Warehouse Management Software Recommendation

A warehouse management system (WMS) or eCommerce warehouse management software system(EWMS) is software made for users to improve supply chain management efficiency. A WMS also makes specific processes faster and more accurate, such as warehousing, picking, and shipping. To run a warehouse efficiently, a WMS is a must-have these days.

The following warehouse management system software is made to select one that suits your unique business needs and helps you find warehouse efficiency factors.

NetSuite is the product of Oracle. NetSuite WMS helps in streamlining warehouse and manufacturing operations. It allows the users to use significant functions to manage the warehouse better, such as receiving, storing, shipping, order status tracking.

Infor SCM is a robust fulfillment partner. It is trusted by 1300 customers in the very first beginning. Infor SCM is dedicated to providing a solution for all businesses based on their unique needs.

TECSYS has over 600 customers. It is the Technology Innovation Leadership Award winner. Since its target customers are medium and large companies, it may not be the best suit for small businesses.

Consafe Logistics developed Astro WMS. It provides warehousing solutions for any business size and all industries. Its logistics services and fulfillment services are well recognized in the industry.

Fishbowl Inventory is suitable for companies of any size. It provides manufacturing and inventory management solutions.

Conclusion

Improving warehouse efficiency is as difficult as you imagine. It is all about cutting procedures and optimizing existing workflow. Follow the 8 warehouse efficiency tips above and watch your efficiency soar.

Still, you need to realize that efficient warehouse operations are affected by different situations. Employ the warehouse efficiency measures that suit you the best.

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Reminder

Whether you are an eCommerce 3pl company (third-party party logistics company) or a company with self-used warehouses, warehouse management is a part of your business.

There is a critical factor you should not ignore. That is order shipping and tracking. You can find out why you need reliable eCommerce logistics tracking software from this article. We also prepare a list of popular eCommerce shipping management software & eCommerce order tracking software for your review.