Organized warehouses– 5 benefits of having proper storage systems

Improving the storage system in your warehouse helps keep your space more organized. In fact, it allows you to store more inventory by optimizing your warehouse’s storage capacity. And, if you upgrade to a more advanced system, you can even recreate the design and layout of your existing facility to align with the storage needs of your business.

There are countless other benefits of having proper storage systems for your warehouse. To learn more about them, keep reading this blog.

What is a Storage System?

A warehouse storage system is simply the physical structure in a warehouse designed to help store inventory. So the shelves and racks facilitate organization, storage, and access to merchandise.

Some common warehouse storage systems include static shelving, mobile shelving, and pallet racking.

Benefits of Having Proper Storage Systems

1. Increase Productivity

The key to an organized warehouse begins with implementing proper storage systems. That means everything is in its place, labeled properly, and easily accessible. This helps improve workflows and employee productivity.

For example, when shelves and racks are organized, they offer easy access to inventory, and employees know exactly where goods are loaded. So, goods are identified easily, stored and picked effortlessly, and orders are fulfilled quickly.

2. Improve Profitability

Organized warehouses facilitate workflows, improve productivity, and better inventory management. But, besides this, storage systems help optimize your warehouse’s storage capacity. They allow you to store more goods in the same space.

So using the right warehouse storage system can help bring in more revenue.

3. Make the Warehouse Safe

A safe warehouse considers the safety of employees, merchandise, and machinery. In that sense, an organized facility is a safer one since everything is where it’s supposed to be. Plus, the shelves and racks are strong and secure enough to store inventory safely.

On the other hand, an unorganized warehouse may have boxes, pallets, merchandise, or trash laying around. This not only makes the aisles potentially hazardous for employees, but it also hampers internal processes.

4. Optimize Storage Space

One of the biggest benefits of a good storage system is that it helps maximize the current warehouse space. It enables you to use underutilized spaces and extend the racking system vertically upwards.

After all, it’s more economical to modify the existing warehousing solution than to invest in an entirely new one or relocate to another facility.

5. Improve Stock Inventory

An efficient storage system ensures that stock records are up to date. Warehouse owners know how much stock is already available. Moreover, it highlights which ones are selling more than others.

So warehouse owners can focus on reordering items that are low in stock and high in demand since they have a higher turnover and are more profitable. Likewise, it prevents them from stocking up too much on slow-selling items, which end up blocking valuable storage space.

How to Organize a Warehouse Inventory

It’s not too difficult to run an organized warehouse. Utilizing the following can significantly improve organization:

1. Racking Systems

A racking system is a common storage solution used in warehouses. It consists of vertical columns with multiple horizontal rows or shelves. Racking systems help manage storage space, organize inventory, and streamline operations.

However, this relies heavily on selecting the proper racking system for your facility. You need to pick one that maximizes floor space yet offers easy accessibility to forklifts to maneuver through the aisles with cargo. More importantly, they should be versatile to accommodate a range of products.

2. Shelving System

A shelving system enables materials to be stacked vertically on the racks. It helps increase the storage capacity and enhance space utilization. But the best shelving systems are the ones where shelves can be adjusted to store merchandise depending on their dimensions, weight, and quantity.

The perfect shelving solution offers easy access to merchandise. Of course, knowing how to organize shelves can take your warehouse to the next level. But more on that later.

3. Create an Efficient Floor Plan

Design a floor plan that facilitates the flow of goods through the warehouse, from unloading to storage and collection to shipment. However, the key to an efficient floor plan is recognizing how much space is required for different processes.

For instance, there must be adequate space in the receiving area so employees can easily unload merchandise and keep it there before it can be stored on the shelves. Similarly, aisles should be wide enough so that forklifts can easily maneuver in and out of them with cargo.

4. Conduct Inventory Profiling

For employees, all they need to do is to store items in a designated place in the warehouse. But for warehouse owners, deciding where to store each item requires a little research and analysis. Product slotting can make a world of difference to employee productivity and internal operations. It makes storing and picking quicker, easier, and more efficient.

With the help of inventory profiling (also known as ABC analysis), you can select a location for each product that optimizes handling efficiency. Begin by analyzing the order volume of every item in your warehouse. Classify your inventory into three categories:

• Group A – highest volume, inventory moves quickly and frequently
• Group B – moderate volume, inventory moves regularly
• Group C – lowest volume, inventory doesn’t move quickly

Store Group A towards the front of the warehouse where it’s most accessible, Group B in the middle, and Group C in the back. This helps organize your stock better. And it optimizes operations in the warehouse by reducing order fulfillment time and enhancing employee productivity.

How to Organize Warehouse Shelving

While you may have access to the right organizational equipment, you also need to have a plan on how to organize warehouse operations. All employees must understand their role in keeping the facility organized on a daily basis and what systematic processes they must follow to help keep it that way.

The following are successful techniques to keep your shelves organized.

1. Labeling SKUs

Labeling all products is an easy way to keep your warehouse organized. This also reduces errors during order fulfillment and helps streamline processes.

To make the most of a labeling system, ensure all labels are legible or scannable, depending upon the technology you are using for inventory management. More importantly, keep the labels consistent so employees can identify, store, and access items easily.

2. Color-Coding Areas

Another easy way to organize your warehouse is to use different colors for different areas. This helps employees distinguish different zones, departments, or production stages within the facility.

Furthermore, color-coded storage bins and pallet labels can also help organize the warehouse. Employees know where to find and store similar items.

Final Thoughts

Organization is a crucial characteristic of an efficient warehouse. And for that, you need to have the right storage system. It can make all the difference to the functionality and profitability of your warehouse. So the question is, ‘Where can you find the perfect storage system for your business?’

At Midwest Distributions, we have years of experience creating proper storage systems for various industrial and commercial companies. All our storage solutions are cost-effective and made of high-quality material.

To learn more about how we can design a custom storage solution for your warehouse, connect with one of our company representatives. We can help create custom storage systems for your facility that supports the needs