Many businesses struggle with limited warehouse space, but the answer isn’t always to move or lease additional facilities.
By making a few smart adjustments, it’s possible to maximise the space you already have and extend your warehouse’s lifespan without major expenses.
Check out the video below for some tips!
Here’s a sneak peek of what we talked about in the video but if you want a detailed tips and insights, don’t miss the video above.
Rob: Warehouse capacity is a common issue for businesses today. Before jumping to the conclusion that you need to move or lease more space, there are some practical solutions we’ll discuss in this video that could help. Joining me today is John Monck, one of our warehousing experts at Logistics Bureau. Welcome back, John.
John: Thanks, Rob!
Rob: John, we often hear about companies running out of space in their warehouses. What’s the first thing they should look at when this happens?
Utilizing Vertical Space
John: One of the most common issues is that businesses feel they’re out of space when, in reality, they may have unused vertical space. By adding extra beams or shelves to the racking, you can create additional storage levels and better utilize cubic capacity. This is a simple, low-cost fix that can add more storage without the need for expansion.
Rob: That’s a great point. It’s about thinking vertically, not just horizontally. Now, what about managing inventory?
Optimizing Inventory Management
John: Managing inventory is key. Many businesses hold on to slow-moving or obsolete stock that occupies valuable space. I recommend identifying “SLOB” (slow and obsolete stock). If it’s obsolete, it should be cleared out. For slow-moving items, consider consolidating them in less accessible areas like higher shelves to free up prime space for active stock.
Rob: That sounds like a good way to optimize the space you already have. But what about companies with seasonal inventory spikes, like those leading up to Christmas? Should they look into expanding their warehouses?
Handling Seasonal Inventory Spikes
John: Not necessarily. Seasonal peaks can often be managed with off-site or temporary storage. It’s a more flexible and cost-effective solution than committing to a bigger warehouse, especially if the surge is only for a short period of time.
Rob: Great advice. Now, let’s talk about the storage system itself.
Investing in High-Density Storage Systems
John: For companies looking to increase capacity, high-density storage systems can help. Solutions like vertical lifts or automated systems store products more efficiently, reducing aisle space and increasing overall storage. While these systems do come with an initial investment, the increased storage and productivity can make them worthwhile.
Rob: And finally, what about the warehouse layout itself?
Optimizing Warehouse Layout
John: Small changes to the layout can make a big impact. For example, narrowing aisle widths and using more efficient forklifts can increase space by up to 30%. By reconfiguring the layout, businesses can optimize their current warehouse without having to move.
Rob: Thanks, John, for sharing these great tips on maximizing warehouse capacity.
Related articles on this topic have appeared throughout our website, check them out:
- How to Improve Warehouse Layout Efficiency and Save Costs
- The Past, Present, and Future of Technology in the Warehouse
- Common Warehouse KPIs: How to Choose and Use Them
- Spotlight on 7 Key Warehouse Processes
- Warehouse Design – Rules of Thumb… And a Checklist
