Impact on warehouse storage and shelf space

Impact on warehouse storage and shelf space

Warehouse and storage is a pertinent issue in the supply chain. It should be spacious with entrance and exit channels to reduce commotion. Top Value should embark on increasing the main warehouse such that it can accommodate more inventory. This involves expansion in terms of buying a more significant piece of land to relocate to. The decentralized stores should then be converted into more retail shops due to less space. They should not store much inventory to reduce the overall holding cost, and huge orders should be made at the mother warehouse and shipped directly to the client’s premises. This will better solve the warehouse problem. The Just in time approach ensures that the holding cost is minimized as less stock is held. There is less material handling while storing for the future, and few if none go obsolete. There is better management in the warehouse together with inventory in the satellite stores.  Shipment is made in large quantities from the mother inventory to the client’s place or on a need basis as per the Just in Time method. This ensures that the transportation trucks are majorly full, as this is key in Lead Management. Just in time is particular about time; hence so long as the products are in the warehouse, delivery will be on time. Transportation cost is bound to increase when transporting goods to the satellite stores on every order. The trucks on their way back are empty, and this negates the laws of lead management. The shelving space at the store level is not as congested as before, which is a plus. The turnover definitely while increases as the management of inventory is centralized. This is experienced by world-known suppliers such as Amazon and Walmart, who ship goods to various destinations as the need arises. Leverage your existing network of reliable suppliers and choose from known partners as they already know your supply chain nuances. Use historical data and real-time insights to make decisions while comparing the performance and pricing of various suppliers.

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