Implementing a warehouse management system has become popular over the years. It has shown great results in improving the efficiency of a business. Furthermore, having a warehouse management system reduces cost and waste in warehouse operations. There are many opportunities a warehouse management system offers, including ensuring that your business workflows are continuously updated, your warehouse management software doesn’t fall short, and your business is accessible to different channels, and you regularly attend to actionable insights can strengthen your warehouse management.
Warehouse waste management is not just about the proper way of disposing of your trash. Waste refers to anything that is not being handled efficiently inside the warehouse. This can refer to things not being used to their maximum potential.
This article will help you identify the different types of waste in the warehouse. We will also briefly discuss how warehouse waste management can help.
Warehouse Waste Management for Machines and Products
Transportation refers to the unnecessary movement of goods or materials inside the warehouse. This can be caused by having a poor layout. Space should always be maximized inside the warehouse. It can also be caused by having multiple storage locations where stocks are transferred from one place to another. Double handling is also something that warehouse waste management targets. Double handling happens when you place some products in storage then move them to the shelves when there is enough space. This can be avoided by having up to date inventory in your system.
Inventory refers to the excess products and materials that are not currently being processed. These are products that are sitting on the shelves, closer to becoming expired. Having a system that helps in warehouse waste management gives you proper data. This means having a lesser chance of overstocking your goods.
Overproduction is the leading cause of inventory waste. It is the act of producing more than what is demanded by the consumers. Warehouse management systems give you updated reports. The data in these reports can be used to make sure you don’t have excess goods in your production process. Seeing the average consumption of your customers in the reports gives you a general idea of how much product you need to produce.
Over-processing happens when people are working more than they should. This is usually caused by adding unnecessary steps in the production process. An example of this is adding something to the packaging that customers don’t notice. This takes time and leads to more expenses, which we are trying to avoid in warehouse waste management.
Defects don’t just refer to any flaw in the product. It can also refer to an error in the information. Fixing defects or reworking them takes time. Additionally, this will cost more money for the company. Managing warehouse wastes can also target this problem and reduce errors in information input.
Warehouse Waste Management for Staff
While transportation focuses on goods, motion refers to the movement of people. This happens when people are doing tasks that can be automated instead. With a warehouse waste management system, the labor force can be reduced. This can lead to fewer expenses for the business. It can also mean that people can work on more complex or difficult tasks.
Waiting happens when time is not being used wisely. It can be applied to people who are doing unnecessary tasks or who are working too slow. It can also be for machines that are in need of repair. Machines not being used can slow down the production process. This increases the time needed in order to produce the same amount of products. Higher expenses and more time can only mean less profit for the company.
Skills and Talents
Skills and talents can also go to waste. This can happen in one of two ways. People can be placed in a position they are overqualified for. This means they could have skills and talents that can be used for other tasks. On the other hand, people who have no training can also be placed in a position that they don’t have proper skills.
How Warehouse Waste Management Works
Having a warehouse management system can reduce waste in several ways. It can give updated reports that can provide useful information. These reports easily solve problems involving over-production, inventory waste, and defects. Some warehouse management systems can also help in maximizing warehouse space. Transportation and motion waste can be avoided with proper layouts inside the warehouse. These are just some of the ways that an organized system can help in reducing waste for your business.
Warehouse waste management helps in making your company more efficient and profitable. Additionally, it leads to sustainable and environment-friendly practices. This is called lean manufacturing, which a lot of businesses are practicing. For more information similar to warehouse waste management, contact Qbasis today!