February 14, 2022

3 Strategies to Increase Warehouse Capacity

Are you constantly running out of space in your warehouse? Are you struggling to keep up with demand? If so, you're not alone. A lot of business owners find themselves in the same situation. But don't worry, there are a few strategies you can use to increase your warehouse capacity. Keep reading to learn more.

What is Warehouse Capacity?

Warehouse capacity in eCommerce relates to using a given space to store goods and products until their shipment to the destination. The theoretical warehouse capacity refers to the building's vertical and horizontal physical dimensions in layman's terms. On the other hand, the working capacity of a warehouse is determined by the weight and physical dimensions of the products in the storage, the amount of space needed to fulfill and locate items, and the in-hand inventory of the products in high demand. 

Why Is Warehouse Capacity Critical?

When it comes to meeting the high value of demand for any product, the warehouse space needs to be optimized based on sales growth. Keeping a tab on the warehouse capacity helps the warehouse management team decide the amount of inventory that can be afforded to have on hand to meet the ever-increasing demand while reducing the risk of potential backlogs and the product inventory. Furthermore, extra space makes it convenient to stock the added list than needed, which can cause a build-up of dead livestock. Thus effective management of the warehouse area from time to time is necessary. 

3 Strategies To Increase Warehouse Capacity

1.Automation of the Warehouse System 

An automated system uses the warehouse's storage capacity to its optimal resources. According to the pallet racking management, this makes every warehouse handle its maximum space. 

Modern-day robots and automatic machines perform the logistics and operations in these automated spaces; hence, less human labor is generally applied. Thus this increases the smooth workflow within the warehouse by instant loading and unloading services—a decrease in operational errors with the minimal risk associated with human life. Installing WMS in the computer system makes warehouse capacity planning easy in real-time. The system maintains obsolete inventory in surplus and can be disposed of. This system also enables a stack of products floorwise based on demand and unit load dimensions.

The supply chain can be effectively managed with the WMS by letting the suppliers manage the inflow of goods that are in high demand. This system is also an excellent way to generate purchase orders when the stock starts to diminish from the racks. Thus, this will free up the storage area for other items.  

2. A Vertical Stacking Space

With elevated walkways that are designed to be accessed with the means of a staircase, the warehouse capacity solution is automatically met. With the incorporation of Mezzanine floors and a high-bay compact racking system, the vertical levels of the warehouse can be optimally used to store more products. Distribution of the items according to the demand and manufacturing units can make it easy to locate the products for loading. Incorporating the bulk bagging capacity method for the goods increases the floor space and uses the vertical area of the warehouse. 

3. Using The Same Area To Its Most Advantageous Position

The compact storage capacity is a trouble-free solution for increasing the warehouse capacity. In simple terms, it means stacking all of the goods to their maximum capacity by using every inch of the floor plan. With these methods, two types of loading systems can be integrated. The drive-through system where the first goods enter the warehouse will be the first to ship off. The other is the drive in a system where the last load to enter will be the first one to be shipped off. Also, with the pallet shuttle storage space solution, the inventory's mechanical organization through sensors that calculate the stored pallets can be quickly done. Thus saving a lot of space for incoming goods. 


Increasing warehouse capacity is essential for business owners who want to keep up with demand. Luckily, there are a few strategies you can use to increase your warehouse space. If you're looking for a tool that can help you do this, we build the tools 3PLs use to not only compete but to win new business. Get in touch with us today to learn more about our products and how they can help you grow your business.

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