Is your organization using a lean inventory system such as just-in-time (JIT) inventory management or thinking about implementing one? These systems can offer considerable gains in productivity, but an optimized warehouse layout is a critical factor in making them run smoothly.
That’s because JIT and other lean inventory systems rely on ultra-efficient warehouse operations and inventory tracking to work. If your layout isn’t conducive to effective inventory management, it can create significant obstacles to correct implementation.
If your business is considering a radically different inventory system like JIT, reslotting your SKUs may not be sufficient to create the layout you need. You may need to dig in and reorganize your entire layout. If you’re going this route, make sure that you’re working with your IT and warehouse departments to harmonize your layout with any manufacturing ERP software or systems that you’re using.