Episode 7 Today, rather then being afraid of running out of stock and buying additional inventory every time the company receives large new orders, they only buy what they need based on the computer information, and ship the items when they arrive at the warehouse dock. They still carry a comfort zone inventory level just in case shipments get delayed, but their inventory level is substantially lower compared to what they carried in the past. This has resulted in improved cash flow and bottom line profit. The very first thing for optimizing your warehouse is its design. Sometimes the wholesalers and distributors do not consider the design of the warehouse. What happens then? It creates problems for them while storing the wholesale products and supplies and sometimes it makes the expansion impossible. Therefore, the warehouse should be designed perfectly so that it allows optimally utilizing the warehouse and supports expansion in future as well.
Episode 7 Today, rather then being afraid of running out of stock and buying additional inventory every time the company receives large new orders, they only buy what they need based on the computer information, and ship the items when they arrive at the warehouse dock. They still carry a comfort zone inventory level just in case shipments get delayed, but their inventory level is substantially lower compared to what they carried in the past. This has resulted in improved cash flow and bottom line profit. The very first thing for optimizing your warehouse is its design. Sometimes the wholesalers and distributors do not consider the design of the warehouse. What happens then? It creates problems for them while storing the wholesale products and supplies and sometimes it makes the expansion impossible. Therefore, the warehouse should be designed perfectly so that it allows optimally utilizing the warehouse and supports expansion in future as well.
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