In the world of warehousing, many businesses focus on reducing labor costs as a way to improve profitability. However, this mindset can often be counterproductive. At UNEX, we believe the focus should be on optimizing labor for maximum productivity. Instead of simply reducing headcount, ensuring your workforce is as efficient as possible is more effective. By doing so, you can improve profitability while still maintaining a fully staffed and motivated team.
At UNEX, when we talk about "reducing labor," we mean increasing productivity to make labor more efficient. This isn't about eliminating jobs — it's about leveraging your team's time more wisely. It’s about working smarter, not harder. And, the key to achieving this is through space-efficient storage solutions that streamline your operations, reduce wasted time, and maximize the use of available space. With the right approach, you can increase both labor efficiency and overall profitability without requiring more space or cutting staff. Let’s explore some space optimization specialist-approved ways to boost labor efficiency and the UNEX solutions that can help get the job done!
Like we mentioned, the goal should not be to eliminate staff or reduce headcount, but rather to maximize the value of your workforce by improving their efficiency. By strategically optimizing the layout of your warehouse, you can make significant strides in improving your team's productivity. The key is to reduce time spent on non-value-added tasks, such as unnecessary movement or travel, and instead direct those resources toward more meaningful activities.
For example, optimizing your storage layout can help reduce the distance your workers need to travel to pick items. When you decrease pick paths, you save on travel time, allowing your employees to spend more time performing higher-value tasks. Additionally, by improving the efficiency of your space utilization, you can increase available floor space for other activities, such as packing or staging, or even expand the number of SKUs you can store within the same footprint.
One of the most effective ways to enhance warehouse efficiency is by organizing your SKUs based on their throughput. By using data to identify your highest and lowest throughput products, you can design a slotting system that makes sense for both accessibility and operational efficiency. High-throughput items, for instance, should be stored in locations that are easy to access, such as in pallet flow systems or other dynamic storage solutions. On the other hand, slower-moving items can be stored in more static shelving systems or dynamic high-density storage solutions that don’t require frequent access.
This approach ensures that fast-moving products are always within easy reach, helping to reduce the time it takes to pick those items and improving order fulfillment speed. By properly organizing your inventory in this way, you streamline operations and ensure that your pickers are always able to access the products they need quickly and efficiently.
Another critical aspect of improving labor efficiency is minimizing unnecessary movement within the warehouse. Workers should not have to waste time walking long distances or making excessive trips to retrieve items. One way to achieve this is by optimizing your warehouse layout and implementing strategic zoning. Grouping similar products together or placing items with similar picking frequencies near each other can drastically reduce the amount of time spent searching for products.
In addition to saving steps, improving storage ergonomics also plays a significant role in reducing unnecessary movement. When storage systems are designed to reduce physical strain—such as bending, reaching, or stretching—pickers can work more efficiently and with less risk of injury. By creating an environment where workers can easily access products without unnecessary strain, you not only improve productivity but also enhance worker satisfaction and safety.
Another way to boost productivity is by optimizing the capacity of your storage systems. It’s not always necessary to expand your warehouse footprint to accommodate more inventory or improve efficiency. With the right storage solutions, you can increase your capacity without requiring additional physical space. Dynamic storage solutions, such as high-density storage and carton flow systems, maximize the use of vertical space and allow you to store more SKUs within the same square footage.
In particular, systems like UNEX SpeedCell can increase storage density by up to 60%, allowing you to store more products while still providing easy access. This not only maximizes the available space in your warehouse but also reduces the need for additional floor space, which could otherwise be used for value-added activities like packing, sorting, or staging.
Labor efficiency isn’t just about the right storage systems—it’s also about ensuring your team is equipped with the knowledge to use those systems effectively. Regular training and ongoing education are essential for empowering staff to perform their tasks as efficiently as possible. Educating workers on the most effective picking strategies, organizational best practices, and proper use of storage systems can help them quickly locate and retrieve products, which directly contributes to faster order fulfillment and improved productivity.
Additionally, providing staff with clear guidelines on slotting, labeling, and warehouse wayfinding helps eliminate confusion and makes the workflow more intuitive. When employees understand how the system works and how to use it to their advantage, they can complete tasks more quickly and with fewer errors.
UNEX offers a wide range of innovative solutions designed to optimize warehouse operations and significantly boost labor efficiency. Our products are designed to streamline workflows, reduce unnecessary movement, and maximize storage capacity, all of which contribute to improved productivity and lower operational costs. Here’s a closer look at how UNEX solutions can help you achieve a more efficient and, ultimately, more profitable warehouse.
SpeedCell is offered in 6 standard column sizes ranging from XS - XXL and is especially useful for low to medium-throughput items, as it increases accessibility without compromising space efficiency. By reducing search and retrieval times, SpeedCell enables your staff to work more effectively, optimizing their time and effort while increasing warehouse capacity and productivity.
Also, if you don’t have existing racking, no problem! UNEX offers SpeedCell Ready Bay, which includes SpeedCell columns in your choice of size, a pre-assembled steel set suspension system, UNEX-supplied racking, and wire deck.
By reducing the need for manual handling and minimizing time spent retrieving items, Pallet Track reduces labor costs associated with order picking. The system helps keep products organized and ensures that high-demand SKUs are always readily accessible, decreasing picking time and increasing order fulfillment speed. Whether you are managing a large volume of pallets or working in a space with limited room, Pallet Track provides a solution that enhances labor efficiency.
UNEX FlowCell can be used in a number of different order fulfillment applications. From SKU storage to fulfillment packing stations, FlowCell can be configured and re-configured as your business needs change. But one thing that never changes? FlowCell’s efficiency! These modular flow racks increase space utilization by up to 50% and boost production efficiency by up to 30%, ensuring your focus remains on driving profitability through more efficient workflows.
Bottom line: the right storage solutions can make all the difference in improving labor efficiency and driving greater profitability in your warehouse. UNEX offers a suite of solutions designed to maximize storage space, reduce unnecessary movement, and improve the speed and accuracy of order fulfillment. Whether it’s through solutions like SpanTrack, SpeedCell, Pallet Track, or FlowCell, UNEX helps your team work smarter, not harder. Integrating these solutions into your warehouse operations can unlock greater productivity, reduce operational costs, and ultimately achieve a more efficient and profitable business.
Ready to maximize labor efficiency and drive profitability? Contact UNEX today to learn how our space-saving solutions can improve labor efficiency in your operation!