Warehousing and Distribution - The Science of Business

Warehousing and distribution are essential elements of your company's logistics mix. Without them you cannot fulfill your full logistical needs. If one element is impaired, you cannot move your products to the market. Warehousing and Distribution require an integrated approach that addresses the full gamut of your business's requirements. It must support all aspects of your supply chain including:

Continuous Improvement Drives Improved Processes. The pace of your business must be able to maintain pace with the changes your customers and other stakeholders face. Your company must be able to stay on top of your strategic priorities. Some of these ways to enhance your warehousing and distribution functions effectively include:

Documenting all functions to reveal how your entire operations function against key quality and cost-driven objectives. Tracking inventory, material flow and staffing levels are imperative parts of effective warehousing and distribution systems. Companies that understand the value of full-motion, real-time inventory tracking will save money and provide businesses with greater access to key vendors. Streamlining your business operations also ensures that your vendors are capable of delivering quality goods when they are needed most.

Increase organizational effectiveness by leveraging multiple warehouse locations and associated storage spaces. For e-commerce operations, this means optimizing truck space requirements to avoid congested driveways and maximizing the speed at which goods are moved from manufacturing to fulfillment . Warehouse design will depend on the nature of your merchandise and the amount of traffic through your supply chain. Many businesses use self-management software to oversee the warehousing and distribution networks. Companies looking for a provider to oversee their warehousing and distribution networks should also consider implementing order management solutions and full-line or terminal management systems.

Managing a warehousing and distribution network requires additional management attention. The physical location of your warehouses will play an important role in optimized operations. Provide staff members with training in basic warehouse procedures and practices so that they know how to safely handle chemicals and other hazardous materials. Establish policies and procedures for routine maintenance and cleaning of storage areas. These will ensure that your warehouses remain consistently clean and organized, as well as providing you with the resources you need to quickly resolve issues that may arise from clogged pallets or improperly secured walkways and ramps.

Implement a system to track finished goods to determine the correct packaging and shipping procedures. Tracking progress of incoming and outgoing shipments will allow you to accurately forecast your bottom line. Your warehouses will play a vital role in keeping your factories fully stocked. Ensure that you maintain a consistent supply of finished goods in and out of the plant, so that you do not encounter a gap in supplies that forces you to make premature purchases or reorder products. Proper storage of inventory will prevent the possibility of your factories running out of vital raw materials, parts and machinery. By storing finished goods in pallet racks, you will be reducing the risk of damage to stored goods during transit.

If you have a dedicated staff that is responsible for warehousing and distribution, it can help to ease business operations by ensuring that they are properly compensated for their work. A great way to reward your employees for their hard work is to establish a performance-based salary scale. With performance pay tied to the amount of merchandise carried in your warehouses and distribution facilities, you will be able to ensure that your employees are getting compensated for their efforts. The addition of performance incentives will motivate employees to continue making superior contributions to your company's success.

Keeping your warehousing and distribution centers fully stocked will save you money on raw materials, reduce the chance of empty stock on hand and ensure that you are always prepared to support your customers when they most need your products. Warehouses and distribution centers should be maintained in peak condition at all times. By taking care of your warehouse and distribution centers, you can greatly reduce the risks associated with the operation of your business. When it comes to warehousing and distribution, your best bet is to turn to professional providers that understand the science and the operations of warehousing and distribution.