No business starts to remain at the same level as they are on day one – so it is a natural thing to evaluate and change accordingly every year to reach the next level.
For the warehouse distribution and logistics sector, growth is essential for efficiency and growing reputation with your major clients. When the yearly meeting comes up about how to boost productivity and increase the bottom line, there are three main options to consider to support your business model.
Altering the Business Model
Following the COVID lockdown, most businesses bought into the world of eCommerce as high streets closed their doors to the public. The knock-on effect for logistics companies was a revelation.
Typical pallet in/pallet out operations implemented extra flexibility with their clients that was required to fulfil direct-to-consumer transactions. Digital transactions replaced the typical high street shopping and that resulted in much more stock being required over seasonal spending.
Transitioning to pick and pack is a big step that needs to be done properly to maintain customers and grow profit margins.
New Premises
Multiple businesses decided to acquire extra space for storage and operational purposes in the last year. However, many businesses resort to this as a decision taken with haste, without properly assessing them to maximise potential.
Without the proper evaluation of how these spaces can withstand company growth for decades to come, you will soon find yourself in a similar position of needing to extend your property portfolio for warehouse space. This could be avoided altogether by looking at your storage system and its capacity.
Looking at replacing your pallet racking and commercial shelving with something more suitable and allocates better use of your warehouse space is an essential element of business growth – without spending a vast fortune for more space.
Consulting with Client’s on Their Growth
Adapting to your customer’s needs can sometimes be the last thing that you plan toward, but it certainly gives a much better outlook for your operations if you kept each other involved in each other’s plans.
Understanding a client’s plans can help you to restructure what you hold and how you hold it, allowing you to shift some stock into smaller areas knowing that they have a shelf life, whilst adequately preparing space for what large stock items are ahead – as well as any special promotions that will highly increase sales of a certain stock.
Your challenge can only be properly visualised by understanding the end goal. Breaking down your requirement in warehouse space is going to be the most critical part.
Contact the team at Monarch Shelving today for your warehouse storage equipment needs.
