5 Ways to Save Money Now!

• Occupancy cost is HIGH! Approx. 25-35% of the cost of each order

• Look up, and utilize your air space

• Optimize cubic feet as wells as square feet

#1 Go Vertical

Fitness

Center

WAREHOUSE

STORAGE

Auto

distribution

Racking, Shelving, and Mezzanines are the best means

to turn your air-space into working space.

•SAFE - engineered capacities

•ECONOMICAL - long lasting steel

•FLEXIBLE - layout can change as needed

PALLET RACKS OVER BAY DOOR STORAGE

#2 Measure and Share

The “Hawthorne Effect” showed that worker productivity

increased because the workers realized they were being studied…

Not because the lights were turned up

Create Operating Metrics and Share the Results with your Employees

You will be amazed at how they take ownership in measuring

themselves and take pride in their own improvement.

• A picker may spend 70% of his or her time walking!

• Reduce the travel time by making your fast-moving items easily

accessible and closest to the shipping door.

• Set up a “hot-pick” zone to concentrate activity in a small area.

#3 LAYOUT & DESIGN AFFECT PRODUCTIVITY

The product must be present when

a picker prepares to pull it.

Otherwise, the havoc wreaked is

endless: a wasted pick up trip, last

minute vendor purchase & pick up,

and additional paperwork.

INVENTORY MANAGEMENT

SYSTEMS

Develop a replenishment schedule

based on Min-Max and

Demand-Replenishment concepts.

#4 Knock Out Stock Outs

An enormous range of products brings

with it a massive load of problems.

Products could languish in the

warehouse for years.

Only carry your best-selling products,

and special order slow moving items.

A Hidden Benefit:

Special orders often carry a premium

price, further increasing your margins!

#5 Prune Your Product Line