Warehouse Layouts
One of the most important decisions when running a warehouse is its layout. Warehouse layout defines the physical arrangement of storage racks, loading and unloading areas, equipment and other facility areas in the warehouse. A good layout aligned with the business needs could have a significant effect on the efficiency.
One of the most important decisions when running a warehouse is its layout. Warehouse layout defines the physical arrangement of storage racks, loading and unloading areas, equipment and other facility areas in the warehouse. A good layout aligned with the business needs could have a significant effect on the efficiency of operations. Today’s business climate is competitive, which is why it is so important for business owners to make their warehouse planning and implementation as efficient as possible to drive growth and profits. Layout decisions are important as they require substantial investments of both money and effort. Layouts are long term commitments that have significant impact on the cost and efficiency of short-term operations .
Compliance regulations regarding layout is also a major parameter as it controls the effective utilization and operational efficiency of the storage facility. Based on the requirements, locations are kept away or near the demand centers.
Objectives to keep in mind while designing your warehouse layouts:
- Optimum utilization and accessibility of storage space
- Maximize available storage and adjust for future growth
- Achieve business objectives at minimum operating expenses
Before you start the design of the warehouse layout, look at your stock and inventory needs. You should plan and define your warehouse layout to meet changing needs including predicting the amount of stock you will need, as well as where you would like to store your inventory. Your warehouse layout should encompass all the different factors that create an ideal warehouse or distribution center, so that you can achieve optimal warehouse efficiency.
Factors for Warehouse Layout Design
Given below are some important points to consider while defining the layout for your warehouse:
- Layout should consider the physical requirements of your warehouse as well as the tasks, milestones, staffing, estimated hours, budget, and deadline.
- Consider how items will be stored and picked
- Establish high-priority and low-priority storages areas for optimum placement of goods.
- Divide your warehouse into zones to accommodate various storage needs, such as temperature requirements, or various turnover rates for items.
- Organize your items either based on material handling and storage traits, or by SKU and product description.
- Group locations by using physical capacity constraint settings.
- Estimate your inventory needs and consider the seasonality and demand of products
- Specify warehouse locations based on business needs (for example, site, warehouse, aisle, rack, shelf, or bin position).
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What is a Warehouse & why companies need them?
All organizations hold stocks. In virtually every supply chain, gaps exist between when something is produced and when a customer is ready to buy or receive it. Stocks occur at any point in the supply chain where the flow of materials is interrupted. This implies that products need to be stored during this period of gap.
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One of the most important decisions when running a warehouse is its layout. Warehouse layout defines the physical arrangement of storage racks, loading and unloading areas, equipment and other facility areas in the warehouse. A good layout aligned with the business needs could have a significant effect on the efficiency.
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When products arrive at a facility, there need to be a defined process to let them in. The process for accepting inventory when it arrives is called "Receiving". Any warehousing operation must be able to receive inventory or freight from trucks at loading docks and then stow them away in a storage location. Receiving often involves scheduling appointments for deliveries to occur, along with unloading the goods and performing a quality inspection.
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Types of Order Picking Methods in the Warehouse
There are many different types of picking in a warehouse and each one works as a customized solution for each business. Depending on the size of your warehouse and inventory, the manpower you have on hand, and the number of customer orders made each day, there may be certain methods that are more efficient for you than others.
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At a high level, the essential elements in a warehouse are an arrival bay, a storage area, a departure bay, a material handling system and an information management system. As part of the process for enabling a warehouse layout, you must define warehouse zone groups, and zones, location types, and locations.
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After products have been received and passed a quality inspection, they need to be stored so that you can find them when you need them. This process is called putaway. The spot where you store a particular product is called a location. One section of a warehouse might have small locations for light items; another area may have large locations on the floor for heavy items.
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When a customer wants a product that has been stored in the warehouse, the same need to be picked off the shelf (or off the floor) and get it ready for shipping. Depending on how big is the warehouse, picking can take a while. (Many distribution centers cover more than 1 million square feet.). Hence, warehouse order picking methods are an important aspect within any warehouse.
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The Outbound process starts with routing the shipments. The Outbound execution process starts from the point when pick tasks are completed for an outbound shipment and ends at the point where the outbound packages are loaded into trailers. The Warehouse Outbound process includes managing and controlling outgoing materials starting from the download of orders through to the shipping of products from the warehouse.
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Inventory is money, and hence businesses need to perform physical inventory counts periodically to make sure that their inventory records are accurate. The traditional approach to conducting inventory counts is to shut down a facility during a slow time of year to count everything, one item at a time. This process is slow, expensive, and (unfortunately) not very accurate.
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Resource Planning is the process of planning for expected workload and determining the number of resources required to complete each activity in the warehouse. There are many types of warehouse positions, and they also vary by the employer, the scale of operations and location. Discussed here are generic positions applicable to warehouse management processes.
