4 Benefits of Implementing High-Density Storage Solutions

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In the world of warehouse space optimization, storage density is determined by the number of items condensed into a single space. Implementing high-density storage solutions is an excellent way to consolidate high volumes of product and maximize limited warehouse space. 

In addition to increasing storage capacity, high-density storage provides warehouses with a simple solution that transforms vacant space into usable storage and reduces labor costs up to 40%. Here are four reasons to consider high-density storage in your warehouse: 

Related Reading: Maximizing Warehouse Storage Space

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1. High-Density Storage Helps Save Space

In warehousing, factors such as seasonality and consumer trends can cause a sudden spike in demand. To accommodate demand, warehouses require more space to store additional products or inventory. If warehouses do not have enough storage density to accommodate SKU proliferation and inventory storage needs, productivity can be devastated.

Rather than making the financial investment to expand the existing warehouse footprint, high-density storage solutions save space and increase throughput. To maximize storage capacity, high-density storage systems create vertical columns, resulting in better cube utilization and increased pick facings.

For example, with a high-density storage solution like SpeedCell, warehouses can include up to 120+ pick locations per 96” bay and compress 200’ of rack or shelving into 40’ of highly organized space.

2. High-Density Storage Shortens the Pick Path

The more time a picker has to spend walking to find the products they need, the less time they spend fulfilling orders to ship for delivery. Creating a shorter path from product to workstations provides a critical boost in productivity and increases the volume of orders picked on an hourly basis.

By dramatically condensing storage with high-density storage solutions, the length of the pick line is shortened. With less distance to travel, workers can pick more orders and reduce the amount of time they spend walking around the warehouse.

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3. High-Density Storage Reduces Picker Search Time

Inefficient organization disrupts workflows, impedes productivity, and hinders return-on-investment. When a picker is unable to find SKUs that are believed to be in stock, it reduces the number of orders they can fill in a given hour. By condensing inventory with high-density storage, warehouses can increase pick facings and lessen picker search time, ultimately leading to improved profitability.

For example, if a company with a 25-person staff increases pick rates by 20%, they can achieve an extra 2,400 picks per day, or over 600,000 picks per year. Since that increased number of picks doesn’t involve hiring and training additional staff members, companies benefit from more orders fulfilled with the same staff size.

With a high-density storage solution like SpeedCell, staff can keep inventory organized and it is more easily accessible. With a cell-based design, label holders make it easy to locate products or materials. Vertical columns enable storage cells to slide side-to-side, making access to rear columns simple. By opening up more pick facings, these storage solutions help improve SKU organization, enabling pickers to experience less travel and search time while pulling orders and restocking.

Related Reading: Order Picking: Best Practices

4. High-Density Storage Reduces Damaged and Lost Product

In the hustle and bustle of warehouse operations, product damage or loss is hard to avoid. However, being proactive about reducing product damage or loss can lead to greater financial gains and improved workplace safety.

Storing your slowest moving inventory in a partially-enclosed storage system like stacked totes, covered shelving, or storage cells like SpeedCell helps protect your inventory from dust, moisture, and other airborne contaminants that may cause damage, and ultimately, customer dissatisfaction. Additionally, storage cells with enclosed sides aid in preventing items from falling out and getting damaged, or even worse, injuring an employee.

Increase Storage Density by up to 60% with High-Density Storage Solutions

To showcase the value of high-density storage in action, UNEX calculated the ROI of one of our customers after integrating SpeedCell. By condensing their previous aisles with SpeedCell, they not only increased their storage density by 50-60% to just 40 bays, but they also gained back the cost of the system in just 4 months. In one year, the customer achieved cost savings of $500,000 and increased their storage capacity without needing to purchase additional distribution centers.

Making the most of available warehouse space is critical to success in the industry, and high-density storage is a key component to effective space optimization. Leverage high-density storage solutions like SpeedCell to increase storage density and boost order picking productivity.

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Posted by: UNEX