How to Maximize Warehouse Space When Expansion Isn’t an Option
There is an old saying in warehousing that states, “If there is available space, someone will eventually fill it,” usually sooner rather than later. Therefore, it is not uncommon for a warehouse to be full even during slow periods.
A warehouse will normally run out of space due to rapid growth, seasonal peaks, large discount buying, planned inventory builds for manufacturing shutdowns, facility consolidation, or even a slow sales period.
Generally there are three types of space deficiencies that occur in a warehouse. The first type results from simply having too much of the right inventory. The second is the result of having too much of the wrong merchandise, and the third comes from using the existing warehouse space poorly. To appropriately address each one of these space issues, one must first understand the issues and what creates them.