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5 Principles of Effective Warehouse Management

If your business has a warehouse, then you’ll be aware of the importance of this facility as an essential part of the supply chain. A warehouse which is poorly managed means far more than just a weak link in the chain, as poor management can ultimately affect your sales and therefore your profits.

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1. Keep optimum stock levels

Holding excess stock is costly, while not being able to fulfil orders fails to maximise your profitability. The accurate and efficient receipt of stock and returns into a facility enhances warehouse management and means that you’re prepared for all eventualities. Warehouse management software can make it easier than ever before to optimise your stock levels at all times.

2. Process sales orders speedily

The swift and accurate processing of sales orders doesn’t just happen at the point of sale. It starts way back in the warehouse when sales orders are first lodged and filled in your storage facility. Being able to enhance your warehouse management further enablesfast and accurate sales order processing.

3. Control the movement and storage of materials

Accurate detailing of stock levels and the correct fulfilment of orders can only happen in your warehouse where both the storage and movement of stock are tightly controlled. It’s not easy, but the rewards are huge for your profit margins.

4. Process associated transactions efficiently

All transactions associated with the warehouse have to be processed efficiently for the supply chain to work well as a whole. An efficient warehouse management system can assist, helping you to process shipping, receiving, put-aways, picking and pick face replenishment.

5. Link warehouse management to sales order processing

Given that warehouse management is a vital part of the supply chain, it is essential that it is linked to your other operational areas such as sales order processing and logistics management. This is in order to pick, pack and ship your products out of the facility effectively and efficiently.


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