Overview
- Transportation Wastes
- Over-Production
- Over-Processing
- Defects
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 costs and waste in warehouse operations. There are many opportunities a warehouse management system offers, including ensuring that your business workflows updates continuously, your warehouse management software doesn’t fall short, your business is accessible to different channels, and you regularly attend to actionable insights that 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 the warehouse does not handle efficiently. This refers to things that do not use 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
Transportation refers to the unnecessary movement of goods or materials inside the warehouse because of poor layout. Warehouses should always maximise their space by having multiple storage locations where stocks transfer 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 and then move them to the shelves when there is enough space. It avoids having up-to-date inventory in your system.
Inventory
Not processing inventories can lead to excess products and materials. 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.
Over-Production
Overproduction is the leading cause of inventory waste. It is the act of producing more than the consumers demand. Warehouse management systems give you updated reports. Using these data from the reports assures you that 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
Over-processing happens when people are working more than they should. This causes 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
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 waste can also target this problem and reduce errors in information input.
Warehouse Waste Management for Staff
Motion
While transportation focuses on goods, motion refers to the movement of people. This happens when people are doing tasks rather than automating. Integrating a warehouse waste management system reduces the labour force. This helps the business minimise expenses and can also mean that people will be able to work on more complex or difficult tasks.
Waiting
Waiting means using time unwisely. This applies to people who are doing unnecessary tasks or who are working too slowly. It can also be for machines that are in need of repair. Not using machines can slow down the production process. This increases the time needed 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 where 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 practising. For more information similar to warehouse waste management, contact Qbasis today!
