What are some problems many warehouses face?
There are certain things warehouses must deal with, including cost control, accuracy, efficiency, cleanliness, and safety/security. Then, of course, there are labor issues as well as mechanical issues. What if a machine stops running that shuts the whole place down? What if too many workers call in sick?
Warehouse management is not an easy task!
One major challenge is having a warehouse that has poor layout. Perhaps the building is old. Or it’s configured in a way that makes work harder to get done… Ideally, there should be an efficient use of space, but that’s not always the case. Some warehouses don’t have enough storage space. Space should be utilized– and that could mean stacking things vertically and using forklifts to access things “on the top” of shelves. Smart warehouses store highest-selling inventory toward the bottom of shelving units where it’s easily accessible.
What about fluctuations in demand, usually due to seasonal patterns? Certain warehouses get crowded right before Christmas and then empty out for January. Warehouse managers must manage seasonality issues– this involves using information to do planning and forecasting regarding demand. Sometimes rearranging products in a warehouse can help minimize negative impacts of seasonal demand. Economic downturns can also cause warehouse managers many headaches.
Warehouses always want to increase productivity while keeping labor costs down. That’s a delicate balancing act! Oftentimes, labor costs are kept down by replacing labor with automated systems.
Other problems warehouses face includes inaccurate inventory and picking problems.
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