Achieving warehouse operational efficiency requires a multifaceted approach, with investments in everything from fulfillment technology to a precise warehouse footprint. However, perhaps no component is more critical for warehouse efficiency than finding the right warehouse storage solutions.
Investing in optimized warehouse storage solutions is foundational to creating effective inventory fulfillment strategies. It separates streamlined warehouse operations teams from those bogged down with inefficiencies and poor productivity, and warehouse managers know it. In one recent survey by Modern Materials Handling, 49% of managers said they planned to invest in better racks and shelving — more than any other category.
Yet, many warehouses are plagued by disorganized shelving systems or squeezed by space limitations without a clear path toward something better. Simply tacking on inventory management technology or expanding their footprint won’t improve their operations. Instead, investing in dynamic storage systems can be a pivotal first step toward improving warehouse productivity.
Warehouse managers face numerous challenges in their efforts to maintain efficient operations. Pandemic-related supply-chain challenges and growth in consumer demand have only exacerbated some of the following trends.
Space constraints are a constant source of pressure for warehouses. In 2022, the average warehouse reported a peak space utilization of 85.6%, with 37% operating at over 95% capacity during peak seasons.
Such tight margins create substantial growth barriers. By some accounts, a mere 5% increase in inventories across the industry could necessitate up to 1 billion additional square feet of warehouse space — an investment many companies are hesitant, or flat-out unable, to make.
These space constraints are aggravated by poorly organized inventory in many warehouses. As many companies grow, they squeeze inventory anywhere they can fit it, which makes it difficult for employees to find and access what they need quickly. It becomes increasingly difficult to make the most of an existing space without efficient storage strategies.
Besides poor warehouse storage optimization, many operations are bogged down by inefficient order fulfillment processes and systems for inventory replenishment. Standard pallet racking with flat shelving alone doesn’t allow for easy access, and implementing first-in-first-out (FIFO) stock rotation practices in static shelving slows the process even further. It’s no wonder that 60% of warehouse operators report labor efficiency as a significant barrier to improving warehouse productivity.
At the center of these challenges often lies an incomplete approach to warehouse space management. Many companies still rely solely on static storage solutions — fixed shelving with fixed inventory that limits storage and picking options.
While static solutions still play an important role in many warehouses, omnichannel e-commerce demands more flexible space utilization and streamlined storage processes. Dynamic storage systems can transform and optimize warehouse space management and order fulfillment in several ways:
Every warehouse has its own unique fulfillment demands, and no single storage setup is right for every situation. Warehouse managers are tasked with selecting storage solutions that fit their inventory needs and help their teams stay organized and maximize efficiency.
Finding the right dynamic storage systems for your warehouse comes down to understanding your own needs for picking, fulfillment, and space utilization. Do you need shelves that allow for easy FIFO storage and carton movement or ready access to full pallets? Is high-density storage and fast picking of smaller products a top priority?
Your answers to these questions — and more — will help you determine the dynamic storage setup that makes for maximum operational efficiency.
Thankfully, you can streamline storage processes and boost warehouse efficiency through an effective mix of warehouse storage solutions.
UNEX offers a wide range of shelving and order fulfillment solutions that can fit within your existing pallet racks and warehouse footprint, such as:
These are just a few examples of dynamic storage in action. Whether you’re optimizing your retail operation or expanding your 3PL warehouse to accommodate more clients, we can help you plan efficient storage strategies that work for your business.
Warehouse storage optimization has never been more critical than it is today. In a world of supply chain challenges and fast-evolving e-commerce, warehouses can’t afford to be disorganized or make poor use of space. Flexibility is the name of the game, and dynamic storage systems can help warehouse teams become more adaptable and efficient.
Ready to learn how dynamic storage can take your warehouse to the next level? Contact UNEX today, and we’ll help you plan for a new era of warehouse efficiency.