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For manufacturing or distribution businesses, cutting costs and increasing profits depends on a variety of factors and practices. A significant way to achieve these financial goals is by addressing operational procedures. Here are some of the best ways to improve warehouse productivity.
Make Better Use of Space
Before you upgrade to a more prominent location, make sure you are utilizing your current facility to the best of your abilities. Expand vertically into the building if you haven’t already. Organize your products on different racks for various sizes of products. Purchasing similar bins can also help you stack and store inventory more easily.
Let Technology Streamline Your Processes
If you aren’t using a warehouse management system (WMS), you are already behind. These tools can generate automated packing lists based on the storage location. It will help you save time while putting together orders and getting them shipped out to the customer.
Incentivize Productivity for Workers
Employees will appreciate recognition for their work that goes above and beyond. Bonuses can encourage other workers to finish tasks quicker with less downtime. Formulating a well-crafted incentive program can make a huge difference.
Create Robust Employee Training Programs
Ensure that all employees know what to expect from the beginning. Thoroughly train them to use all the company’s tools and confirm they have a solid understanding of handling procedures. Fully-trained employees won’t waste time on the floor making excessive mistakes, putting themselves at risk, or slowing processes down.
Troubleshoot and Fix the Causes of Product Damages
Encourage honest employee feedback to understand what is hurting productivity. Being able to reduce product damage is essential, as it ensures you aren’t putting money down the drain. Once you know where or when the loss occurs, you can take steps to either change the packaging to limit breakage or modify how employees handle products.
Optimize Storage Locations
Another one of the best ways to improve warehouse productivity is to adjust how you organize the warehouse. Workers should have easy access to frequently sold items. Furthermore, if certain things tend to be in the orders together, store those near each other.
Improving warehouse productivity is all about streamlining numerous minor aspects of your business. Once you get a handle on these operational tweaks, you’ll be on your way to raising your bottom line.