In the logistics chain, warehouse management is considered by businesses as the most important step affecting the progress and direct customer experience with the brand. Warehouse management is a complex, multi-layered process that includes activities: inventory management, management of import and export processes and warehouse resources… It is very difficult to keep all these operations up and running smoothly to avoid unforeseen problems, such as errors in order fulfillment or delivery delays. In this article, TSL will cover some of the most common problems faced in warehouse management and what businesses can do to overcome them.
According to a McKinsey & Company report in 2019, approximately £300 billion ($385 billion) is spent each year worldwide on overall warehousing costs. And that amount does not include additional costs to correct errors or mistakes. Warehouse issues can affect the speed, efficiency, and productivity of a particular warehouse operation or the entire process chain associated with it.
In most cases, these errors are only identified after the process has started or even after it has been completed. And by that time, it’s often too late to prevent the bug, or it may even be too late to reduce the amount of damage. But with prior knowledge of the potential challenges that can arise in the warehouse business, your business can anticipate them in advance and prevent damage before it even begins.
Below are some of the many problems in warehouse operations management and ways to solve them:
Layout, arrange messy warehouse
Over the years, rising storage costs have prompted warehouse managers to make more efficient use of their warehouse space. But a survey conducted by Logistics Management in 2018 showed that warehouse capacity is not always exploited and used to its fullest extent, with manufacturers using only about 68%. Not having enough stock due to inefficient use is still a common pain point for warehouses.
The optimal warehouse layout, arrangement and planning can solve this problem. This includes making the most of floor space and aisle space while leaving room for warehouse personnel to pass through. It also means finding ways to use devices for automation to reduce labor and labor costs, improve product accessibility in the warehouse, organize inventory, and ensure that inventory is stored securely.
To start optimizing the use of your warehouse space, you need to first consider technology that can help your business organize your warehouse layout, such as a warehouse management system (WMS). Some WMSs can provide a 3D modeling feature of the most optimal arrangement when declaring into the system warehouse and inventory dimensions, measurements.
If your business is not ready to upgrade your technology, you can choose a simpler way instead. Use an existing solution to manage your inventory and sales to find out which items from your inventory sell fastest. Then make sure you’re storing those items in the most accessible locations for faster picking and shipping.
Inventory management is not good
According to a study conducted by Wasp Barcode Technologies, 43% of small businesses either do not track inventory or use manual methods. Another survey by Peoplevox, found that 34% of businesses delayed delivery because the products mentioned in the order were actually not in stock. Miscalculations can easily occur when the inventory check process is performed manually, as this leaves a lot of room for human error.
One way to overcome these warehouse challenges is to switch to a newer solution. This can be a system dedicated to inventory management or an overall warehouse management software that includes real-time inventory management features. A typical inventory management system will first collect your inventory data through a handheld or stationary device such as a barcode scanner. This information is then sent to your software solution, which catalogs and tracks your inventory.
Poor damage control
Damaged, expired goods… are a common problem in warehouses, especially warehouses that hold a large amount of inventory. While it’s difficult to completely avoid damage, you can always find ways to lessen it.
Install protective devices such as pallet rack guards, special rack nets, guard rails, anti-slip tapes, locking systems, low clearance warning bars and conveyor systems. Also make sure your aisles are well lit and wide enough to comfortably move around the products. These measures will help you protect your employees, equipment and inventory and prevent accidents in the workplace.
Conduct regular checks throughout your entire warehouse for the first signs of damage to your equipment, storage or transportation vehicles. For example, check your storage shelves and pallets for overload, cracks and breakage.
Since most warehouse management related tasks are linked in some way, a small breakdown in one work task can lead to costly errors in others. next. Using an inventory management system can help you keep these running smoothly, free of these hiccups. Take a look at Blue Yonder Warehouse Management Solution (BY WMS), a cloud-based warehouse management solution, built from the ground up using new technology, to empower each user. The system provides a specific management mechanism for each role, allowing users to both monitor their work and handle arising problems in real time, thereby increasing their maximum work productivity.
BY WMS simplifies operations in the warehouse, accelerating the movement of goods in the warehouse. The workflow is user-friendly, giving them better control over their operations and being proactive in their work. More importantly, the solution has upgraded the entire warehouse system of the enterprise, making the process faster, more accurate and more economical. The core function of the WMS warehouse management solution is to help managers and employees manage inventory through warehouse operations such as receiving, storing, loading and unloading, loading and unloading and shipping.
Contact us for more details and a completely free consultation!