Tips to optimize warehouse layout to increase production
29-03-2022 396
Processes in a cluttered warehouse cannot be easily automated because automation relies heavily on optimizing warehouse layouts, as well as standardized processes and procedures.
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On average, labor costs account for more than 65% of the cost of a warehouse. It is best to review your warehouse operations before implementing automation, but it also has a significant impact on production and operational efficiency. Processes in a cluttered warehouse cannot be easily automated because automation relies heavily on optimizing warehouse layouts, as well as standardized processes and procedures.
Optimize your warehouse layout and implement an effective inventory management strategy that helps:
- Improved warehouse organization
- Improved order picking accuracy
- Save time and money
- Improve efficiency and productivity
- Ensure customer satisfaction
Warehouses come in many sizes and shapes, and many facilities serve specific functions. For example, a cold storage facility specializes in temperature-controlled storage of perishable products, so processes and systems may differ from those of a single retail organization. specifically, a warehouse that stores only electronic goods or a general archive. Therefore, there is no single standard warehouse layout optimization solution. However, there are some common steps in the process and best practices to rely on.

The primary purpose of a warehouse is to provide space for inventory, and that is why assessing the available space should be one of the first steps taken in optimizing a warehouse layout. It is best to have a custom space built for the specific use case of the warehouse. But various constraints such as time limits and cost considerations mean that some companies decide to use an existing warehouse or repurpose another location for storage. Before any inventory is placed inside, companies should assess the location and surrounding space. The surrounding area needs to be surveyed to match the company's requirements.
Once you've identified the right facility, the next step in optimizing your warehouse layout is to conduct a comprehensive inventory check to identify specific storage requirements, such as items. requires specialized racks or racks, goods requiring low humidity or other climatic factors.
After examining your storage space, you can begin to set up zones or departments based on your storage requirements to establish the appropriate storage location for each type of storage space.
An endless array of tall shelves, shelves and bins that workers can find difficult to move efficiently without optimized layout, organization and proper signage. Dividing an inventory into levels or sections is a useful starting point. Depending on the size of the warehouse and the number of aisles, subdivide each area into a set of aisles, compartments, racks, rows, and crates.
Some sections may have different types of racks or storage to hold certain types of inventory. For example, drive-loaded pallet racking sections that can accommodate forklifts should be designated for storing pallets. Consult your inventory auditor to divide the warehouse into zones. the right size and with the right climate for your inventory.
Now the divided space needs to be labeled. It is common convention to provide a number or character identifier for floors, aisles, compartments, shelves, rows, and crates. It provides more clarity if each subdivision is labeled alternatively with alphanumeric characters.
In the warehouse, products do not move at the same speed, some items will have higher sales than others. If these high-speed products are located far from sorting or packing stations, warehouse workers will have to walk longer distances to pick items from these locations. Storing rapid transit inventory near sorting, packing, and shipping stations reduces travel, significantly saving time and effort.
Similarly, revenue estimates for all products in your facility's inventory allow you to allocate space to products by velocity and optimize the time it takes to pick items. Don't rely solely on inventory and supply chain data to estimate future product needs; Marketing and sales data are important pieces of the demand planning puzzle. Integrating data from multiple sources provides meaningful insights and supports more accurate demand forecasting. This data can be leveraged to strategically allocate space for storage space to reduce total walking distance and time required to select orders.
Manually managing inventory for a large warehouse with significant quantities leaves room for human error and leads to both inaccuracies and inefficiencies. Most warehouses today use some type of inventory management software. With the right software solution, you can map the physical locations in the warehouse and the storage space to which each location is assigned.
Doing so will help optimize order and replenishment inventory processes to ensure front-pick locations have enough inventory to meet demand. Analytics can be used to determine if the current layout of the product is optimal by taking into account the distance traveled and how often the product is ordered. The results of the analysis can be leveraged to change the layout to improve efficiency. This increases productivity, reduces the time it takes to fulfill orders, and saves on picking and inventory replenishment costs.
Leveraging the right automation technologies is another way to optimize your warehouse. Collaborative mobile robots prioritize work in real time based on current conditions on the warehouse floor and guide associates through each task to increase efficiency. They easily integrate with your existing layout, requiring no long or costly infrastructure changes.
Optimize your warehouse layout and implement an effective inventory management strategy that helps:
- Improved warehouse organization
- Improved order picking accuracy
- Save time and money
- Improve efficiency and productivity
- Ensure customer satisfaction
Warehouses come in many sizes and shapes, and many facilities serve specific functions. For example, a cold storage facility specializes in temperature-controlled storage of perishable products, so processes and systems may differ from those of a single retail organization. specifically, a warehouse that stores only electronic goods or a general archive. Therefore, there is no single standard warehouse layout optimization solution. However, there are some common steps in the process and best practices to rely on.

- Conduct spatial assessment
The primary purpose of a warehouse is to provide space for inventory, and that is why assessing the available space should be one of the first steps taken in optimizing a warehouse layout. It is best to have a custom space built for the specific use case of the warehouse. But various constraints such as time limits and cost considerations mean that some companies decide to use an existing warehouse or repurpose another location for storage. Before any inventory is placed inside, companies should assess the location and surrounding space. The surrounding area needs to be surveyed to match the company's requirements.
- Evaluate your storage space
Once you've identified the right facility, the next step in optimizing your warehouse layout is to conduct a comprehensive inventory check to identify specific storage requirements, such as items. requires specialized racks or racks, goods requiring low humidity or other climatic factors.
After examining your storage space, you can begin to set up zones or departments based on your storage requirements to establish the appropriate storage location for each type of storage space.
- Allocate and label storage locations
An endless array of tall shelves, shelves and bins that workers can find difficult to move efficiently without optimized layout, organization and proper signage. Dividing an inventory into levels or sections is a useful starting point. Depending on the size of the warehouse and the number of aisles, subdivide each area into a set of aisles, compartments, racks, rows, and crates.
Some sections may have different types of racks or storage to hold certain types of inventory. For example, drive-loaded pallet racking sections that can accommodate forklifts should be designated for storing pallets. Consult your inventory auditor to divide the warehouse into zones. the right size and with the right climate for your inventory.
Now the divided space needs to be labeled. It is common convention to provide a number or character identifier for floors, aisles, compartments, shelves, rows, and crates. It provides more clarity if each subdivision is labeled alternatively with alphanumeric characters.
- Estimated traffic
In the warehouse, products do not move at the same speed, some items will have higher sales than others. If these high-speed products are located far from sorting or packing stations, warehouse workers will have to walk longer distances to pick items from these locations. Storing rapid transit inventory near sorting, packing, and shipping stations reduces travel, significantly saving time and effort.
Similarly, revenue estimates for all products in your facility's inventory allow you to allocate space to products by velocity and optimize the time it takes to pick items. Don't rely solely on inventory and supply chain data to estimate future product needs; Marketing and sales data are important pieces of the demand planning puzzle. Integrating data from multiple sources provides meaningful insights and supports more accurate demand forecasting. This data can be leveraged to strategically allocate space for storage space to reduce total walking distance and time required to select orders.
- Deploy inventory management software
Manually managing inventory for a large warehouse with significant quantities leaves room for human error and leads to both inaccuracies and inefficiencies. Most warehouses today use some type of inventory management software. With the right software solution, you can map the physical locations in the warehouse and the storage space to which each location is assigned.
Doing so will help optimize order and replenishment inventory processes to ensure front-pick locations have enough inventory to meet demand. Analytics can be used to determine if the current layout of the product is optimal by taking into account the distance traveled and how often the product is ordered. The results of the analysis can be leveraged to change the layout to improve efficiency. This increases productivity, reduces the time it takes to fulfill orders, and saves on picking and inventory replenishment costs.
Leveraging the right automation technologies is another way to optimize your warehouse. Collaborative mobile robots prioritize work in real time based on current conditions on the warehouse floor and guide associates through each task to increase efficiency. They easily integrate with your existing layout, requiring no long or costly infrastructure changes.