You may have heard an old saying spoken among warehouse managers; “If there is space available, somebody will eventually fill it”. While not profound, or even inspirational, it is never-the-less very true in nature. A warehouse with extra storage space is indeed as rare as, say, a Triple Crown winner or a modern-day Cubs World Series win. That is, it is not uncommon for a warehouse to be at peak capacity even during the slow season. Generally speaking, the types of space deficiencies are due to rapid growth, seasonal peaks, slow sales and planned inventory builds. To discover the proper way to deal with these space issues, you must first understand just what exactly creates them.
On the surface, it would seem to make good sense if you order an abundance of a product you know sells well. But you soon discover that even though the product moves quickly, it still spends a few weeks blocking aisles or just generally being in the way. You would be better off ordering less product more often.
The flip-side to ordering too much of the right product is ordering too much of the wrong product, or the product that doesn’t turn around as quick. If it takes a year to move 400 pallets of of a certain product, decrease the order and space will be free.
Steady growth, a changing environment and ever increasing service requirements all have one thing in common, they rob you your precious space. Your best move in these type of cases is in how you handle projected volumes. That is, you need a game plan on how you will be storing merchandise a year from now. It is best to be proactive rather than pulling out you hair desperately discovering more space.
From wholesale pallet racks to entire pallet rack systems, Chicago-based DAK Equipment delivers solutions to your warehouse problems. Simply pick up the phone and give us a call.