Keeping a well-organized warehouse provides benefits to your business that may not be immediately apparent. Your warehouse may be used to store inventory, and having easy access to your products will definitely affect your sale numbers.
In addition, the insurance that you purchase for your business may require certain minimum safety measures to be met, such as safe working conditions for employees, or keeping flammable materials away from explosive ones.
Stay Organized to Stay Afloat
Warehouses should make the most out of the space, as you’re generally paying by area or volume of storage. The best warehouse uses vertical space effectively with tall shelves that often line the walls.
Proper signage is important, just like cleaning and storing procedures. Establish these rules and teach them to employees to make sure the system is followed for best effect.
Equipping your Warehouse with Essential Tools for Storage
The solution may be as simple as having one or more bins for disposing of wrapping and other waste that comes with inventory storage.
For heavy items such as machinery or raw materials, your employee may end up leaving items in the middle of a walkway because they are unable to move it. Appropriate moving equipment may include lifts or jacks, as it’s unsafe to try and move them otherwise.
Compare Cost of Storage against Net Realizable Value
You may be hanging onto outdated or partially damaged inventory or machinery in case you’ll be able to use it in the future. In a world where there is no cost to storage, there is no downside to storing items indefinitely. However, warehouses generally involve cost, including insurance, property tax, lease cost, heating, cooling, and electric. All these costs add up, and as you are probably aware, it can be quite expensive.
Net realizable value is an estimate of how much you think you can sell your asset for. A good way to judge this price is by looking at similar items on the market and seeing how others have evaluated that. This signals to you what the market has collectively decided what a seller can reasonably ask from a buyer.
Junk It! provides a full service solution for their clients to help them move heavy or unwieldy items for disposal. We also rent disposal bins for longer use so that you can take your time to decide and sort through what’s useful and what’s not.