Warehouse as a key element in the supply chain – how to manage the warehouse efficiently?

The warehouse is a key element in the supply chain, so efficient management of the warehouse has the greatest impact on the correct operation of the logistics process.

Efficient warehouse management: key aspects and space optimization

Before we move on to systems that greatly facilitate warehouse management, it is worth focusing on a key aspect – the facility itself. Already at the stage of the warehouse construction plan, it is necessary to consider what it should look like in order to promote work efficiency. A very important issue is the layout and maximum use of storage space. Accurate description and arrangement of products, not only will help to reach them more easily, but also affects the maintenance of order. Receiving or issuing products will go much faster if each product is in the right place, in the right zone. Do not forget that transport routes also contribute to productivity. Currently, forklifts are mandatory equipment for modern warehouses. They are used for loading, unloading and transport work, so it is extremely important to use them optimally and exercise control to ensure the highest level of productivity and safety for employees. Learn more about forklifts, their types and purpose in the article Forklifts – the basis of logistics warehouse operation. Another aspect that affects the efficient management of the warehouse is the forms of storage of goods – racks, pallets, mezzanines or other forms, the choice of which depends on the type of assortment to be stored, the equipment available to the company and the chosen method of warehouse management.

Methods of storing goods: FIFO, LIFO and FEFO in warehouse practice.

Most warehouses operate based on three ways of storing goods – FIFO, LIFO and FEFO. The choice of one of these principles depends most on the type of product that is received. The FIFO principle – first in, first out– places the greatest emphasis on the storage time of the goods. The inverse of FIFO is LIFO – last in, first out. This principle is used for non-aging products. The third principle is FEFO, first out, first in, first out, which is used for assortments with limited shelf life.

Information systems in warehouse management

In the efficient management of the warehouse, IT systems such as the WMS, which supports the organization of the course of receipt of goods, optimization of the storage method, the course of the labeling process and picking, as well as updating information about the state of resources in the warehouse, are excellent. You can read more about the use of a WMS system in an earlier post – WMS software as support in warehouse management. Keep in mind that systems are a support for human labor, so an organized, qualified and motivated workforce plays a very important role in warehouse logistics.

How to make warehouse management more efficient?

In summary, warehouse management is a never-ending process that is influenced by many aspects. The development of technology influences the streamlining and optimization of warehouse operations. However, in order to effectively manage and improve the efficiency of logistics processes, it is extremely important to identify the current state, and to set goals through which, step by step, the company will be able to increase the efficiency of operations taking place within warehouse logistics.