The warehouse is often seen as the grittiest side of any business, but it's actually where most of your money is made. If you want to increase efficiency in your warehouse - and make more money - here are some simple steps that can help!.
What Is Warehouse Management?
A warehouse is a place where stocks or inventory are stored in large quantities. The controlling or managing of all the operations involved in the warehouse can be referred to as Warehouse management. In short, warehouse management involves all procedures from stock entering into the warehouse until sold or restored in another location.
Warehouse management also includes managing the workforce, the tools required for storage (uploading and downloading of products), and the technology used to maintain the warehouse apart from the inventory. One can easily manage the warehouse if the planning and controlling aspects are taken care of. But a beginner always has a query regarding how to manage a warehouse?
How To Manage A Warehouse? 11 Steps to Maximize Efficiency
One can quickly learn to manage a warehouse if the following tips are followed:
Conduct a Thorough Study Of The Warehouse
This is the most crucial step to be followed. The person operating in a warehouse should have complete information about the warehouse. Information may be related to the outlets or the opening of the warehouse, the area, the products being stored, maintenance of the products, etc.
Analyze Products And Stores
A warehouse is a place where stocks or products are kept. The strategies made by the seller may influence the company's profit, but the storage of products also should be taken care of. The consequences frequently being sold should be given preference and stored in a place from where despatch can be done quickly.
Have a Systematic Approach
There is no hard and fast rule regarding software to keep track of tasks. But following some discipline in the warehouse will help in managing tasks efficiently. You should follow a system regarding how every task should take place.
Follow the Procedure
Every task has some procedures to be followed to get the desired output. The same is applicable in warehouse management. A lot of time, money, and human resources can be saved if the tasks are done systematically according to the warehouse management process.
Create a Warehouse Management Process
There are no specific guidelines regarding the warehouse management process. The warehouse management process involves all warehouse operations done in a warehouse. Warehouse management depends on the type of products dealt with, the area of the warehouse, etc. But some of the basic steps involved are as follows:
Intake of stocks
As and when stock levels are deficient, it has to be fulfilled by new stock. When the stock arrives, the manager should ensure that the stocks are in the proper condition and match the quantity ordered. Excess storage of supplies should be avoided as it will result in the occupation of space.
Placing of stocks
This is where the planning aspect arises. The manager has to plan where they are going to put the new supplies. If some supplies are already available in the warehouse, new supplies should be placed, and necessary arrangements should be made before the new stock arrives. This way, a lot of time is saved. Storage of products is a task that requires tactics.
The new stocks should be stored in such a way that clearance of old stocks is easy. Even if there is no old stock, the stocks should be placed in a suitable place from where they can be dispatched quickly. Further, the stocks should be set in such a way the SKU is identifiable. This is important, especially in the case of a big warehouse where a lot of products are stored.
Picking of products
Whenever an order for a product is received, the manager must choose the right product, correct quantity, and send it for packing. There are many picking off a product, namely single order basis, batch picking, zone picking, etc. The manager should use the appropriate kind of picking based on the order received. The manager has to ensure that the concerned person handling the product does the task perfectly as any negligence may damage the product.
Packing of products
Once products are picked based on their demand, they have to be sealed properly. Only after proper packing, the products should be sent for shipping. Packing has to be done based on the size and type of product.
Shipping of products
After the packing task is complete, it has to be shipped to the destination mentioned on the invoice. Choice of the mode of transport should be based on the destination's distance.
Fulfillment of products
The movement of products is a continuous process. As and when the stock levels are decreasing, the manager should reorder the stocks based on product movement analysis. If the product is in demand, You should maintain sufficient stocks to meet the demand. On the other hand, when the need for the product is less, a minimum quantity should be stored just to be cautious. Excess storage of derivatives may result in extra maintenance, space occupation, etc.
The person operating in the warehouse should have relevant data regarding the stocks or products available in the warehouse. Though everything is done online, sometimes it becomes problematic when the data is not available when required. This may be due to negligence in updating data as soon as the task is complete. For instance, you should correct the movement when some products are sent for delivery immediately, giving the status of product availability. The same is reflected in the case of the workforce also. The manager should be aware of the staff available at the warehouse.
The manager has to ensure that the task is completed within the time limits. Any delay in time taken in one process may disturb the other processes.
Warehouse management is a tough job and can be stressful, but if you're systematic and patient it's not too bad. The key to success (and sanity) is proper coordination with your workforce. To make this task easier for those of us who don't work in the warehouse every day, we recommend using Conveyr software as an all-inclusive platform that streamlines everything from inventory control to order fulfillment. If you want help managing your 3PL company’s warehouse operations more smoothly, let us know! We'll set up a demo so you can see how easy our software really makes things – just fill out the form on this page and we'll reach out right away!