Monday, October 20, 2008

Reduce Warehouse Costs

- Some costs are only estimated. Get a better idea of how much money is spent by closely analyzing the cost of freight, duty, brokerage, and carrying. Finding an approximate price can help a business determine if it is worth trading overseas or to think about using domestic resources.

- Some businesses attempt to time their received shipments in order to save money. This can lead to other issues such as making customers wait for their shipment, a lack or surplus of product, and inconsistent records. Determine whether it is worth receiving shipments at consistent intervals regardless of the cost. It may help a business save money overall.

- Watch out for shipments that contain less than a full load. Some suppliers may charge per container. If the supply chain involves several stops before its final destination to a business' warehouse, check to see if consolidating loads from different locations is a possibility in order to save more money.

- Keep excellent records on a daily basis. Inform decision makers of the daily costs regarding shipping and warehouse costs. Letting people know about the data can improve the choices being made on a daily to weekly basis.

- Many businesses get charged carrier's insurance. Most businesses are self-insured, so it is beneficial to see if goods are covered under their own insurance in order to avoid paying the extra carrier cost.

- Express shipping is expensive. This level of shipping is employed when a warehouse is in immediate need of goods. This extra cost can be avoided by closely analyzing company data. A business needs to know how much product is needed on site on a daily basis. Few businesses should be in need of express shipping on a regular basis.

- A warehouse needs to compare the costs of shipping and receiving by land, air, and sea. Depending on times and the bulk of shipment, a business can save money by employing all three modes of transportation.

Monday, October 13, 2008

Saving on Shipping

Rising fuel costs has become a major business issue. For those using warehouses as part of their business plan, fuel costs cannot be avoided, but shipping costs can. The following post provides information and suggestions for saving on shipping.

- Use a business credit card for shipping costs. Many carriers and credit card companies offer discounts for usage. Some credit companies have deals established with carriers; discounts are available when particular carrier companies are used. In addition, using a business credit card can help in acquiring points that can be used towards equipment, traveling, other services, etc.

- Consider using electronic postage. Considerable price reductions are available for individual and bulk shipping.

- Use multiple, smaller warehouses to store goods. Some businesses may have a high concentration of customers in particular locations. Storing goods close to the customer can save a company money on shipping costs.

- Receive quotes from several sources. Get prices from at least three separate warehouses. Different warehouses may offer more services. A discount in shipping may apply to a company that gives a warehouse a good deal of business.

- Consider joining a business or trade organization. Some organizations offer shipping discounts to members.

- Plan your business carefully. Last-minute shipping costs can be drastically higher when compared to those with a two to three day time cushion.

- Get the most out of every shipment. Some suggest that you should not send out a shipment unless the truck is more than eighty-five percent full. This can be helped by making customers pay more for overnight shipping or pay less if they can wait up to five business days for their goods.

- Negotiate with suppliers and middlemen. Sometimes other business entities could share the costs with you or help save money.

Advantages of using Refrigerated Warehouses

Many industries have a need for low-temperature warehouses. As outsourcing becomes more popular in business-to-business commerce, companies have found using public refrigerated warehousing advantageous. Consider the following benefits.

- Outsourcing saves resources and enables a business to devote money and manpower to other areas such as marketing, research, and development.

- Public refrigerated warehouses employ professionals with specialized training. They are learned about proper freezing, thawing, and tempering techniques in regards to all foods and commodities.

- Refrigerated warehouses supplement the knowledge of their workers with advanced computer technology. Telecommunication capabilities make it easy to exchange data with customer computers. Transaction and analysis data is provided to ensure a more beneficial relationship.

- Refrigerated warehouses use advanced methods of transportation. This makes it more economical and convenient for customers to transfer food on a smaller and regular basis. Flexibility makes it easier for clients to compete with their competitors.

- Refrigerated warehouses do not segment their business structure. They concentrate on one area of service. Facilities are perfected, costs are monitored and controlled, and avenues to augment their services further are explored.

World Food Logistics Organization

Warehouse Machine Operating Tips

Many tasks are performed in a busy warehouse. Workers use machinery to complement their capabilities. This improves the efficiency of a warehouse, yet also increases the likelihood of mishaps. The number of accidents can be greatly reduced by instituting safety standards and making staff more aware of their surroundings. Consider the following operating tips.


- Proper training is essential. Training needs to be site and machine-specific. Regardless of a worker's prior experience at other sites and in working with other machinery, it is imperative a worker undergoes training before each new job.

- Warehouse machine workers need to get in the habit of checking the machinery before each task. Devising a pre-operational checklist is advised. Components such as wheels, tires, controls, and the pedals need critical attention.

- Each machine has a capacity that should not be exceeded. Operators need to know the limits of their machinery and not exceed them for any reason.

- Proper lighting can be underestimated. A warehouse needs to be well lit from ceiling to floor in order for workers to make efficient and safe decisions.

- Moving machinery should be affixed with audible alarms that alert others of forwards and backward motion. Mirrors are also encouraged, so machine workers can see what is behind them before moving machinery.

Monday, October 6, 2008

Safety Tips for Warehouse Workers

Your workers are important to you in many ways. During the hustle and bustle of business days, and through the worry of making extra dollars, we sometimes lose sight of important issues such as safety.

OSHA has suggested a number of safety tips for you to make workers aware of in order to keep them in good health. Consider the following tips.

- Be careful and think before acting at all times. If you are under a tight time schedule, then be especially careful. An employee is more prone to carelessness when they are rushing to get a job done.

- Treat your body right. Get plenty of rest, eat well, and drink fluids during working hours. Fatigue is not good for your workers or for your business.

- There is nothing macho about getting hurt. Warehouse workers may sometimes neglect to use equipment and resources that can help them do their job. Hoists, pulleys, dollies, and other helpful items should be readily available.

- Wear hardhats, gloves, belts, steel-tipped boots and other clothing that is relevant to warehouse work.

- Make sure all workers are properly trained in using all equipment. Let workers know that it is okay to ask questions. Training should be mandatory and workers should work with an experienced partner before using equipment alone.

- Hold fire and other emergency evacuation drills. The safety of personnel greatly increases during an accident when drills are regularly performed.

- Make sure workers take precautionary measures when working in extreme temperatures. Hot conditions call for clothing that allows the body to breathe and ingestion of a lot of liquids. Cold temperatures call for proper clothing and stretching of muscles to promote proper circulation.

- Make warehouse workers aware of the dangers of carbon monoxide. Install a detector, and let all personnel know of its odorless and colorless presence.

- Any worker that is working with or around hazardous chemicals needs to be well trained before performing any duties.

Sources

OSHA

Warehouse Packaging Information

Companies can sometimes lose sight of small matters. Usually, if products are produced on time and housed in the warehouse ready for shipping, things seem to be going according to plan; yet, this may not always be the case.

Efficient packaging of a product is an important process in regards to making sales. Consider the following information:

- Sometimes companies modify their products to make it better, or to give it a fresh look. It is important to test the effectiveness of packaging after a transformation has taken place. Even the most minute change can jeopardize the packaging.

- Damaged products affect personnel at many stages of the sales cycle. Customers may be dissatisfied, retail store owners have to question the efficiency of the warehouse and/or shippers, and the integrity of all the workers involved becomes questionable. Not to mention customers may expect a refund, and their level of commitment to your brand may be lowered.

- Companies need to seriously consider precautionary matters taken in regards to packing and shipping. Depending on particular products, their packages need to be structured for their individual shipping. Bigger products, such as TVs shipped across the nation, may require different packaging in comparison to shampoo bottles being shipped locally. Consider each product separately.

- "Void fill" is a term referring to materials used to fill spaces between products and their packaging. Using these materials is important in maintaining the integrity of the product and its packaging. Ask your warehousing service about the best void fill material for individual products.

Sources:

MultiChannel Merchant

Friday, October 3, 2008

Handling Heat Effectively in the Warehouse

Your warehouses may be in different geographic locations throughout the world. Depending on that region's climate, the conditions may lower employee productivity.

The following post provides some suggestions in regards to lowering the effects of heat and raising the production output of your warehouse.

- Installing air conditioning in your warehouse is optimal, but not always practical. Floor and ceiling fans can help combat the humidity in the air and the fatigue of workers.

- Any warehouse area with machinery or mechanisms that cause friction can be hotter than other areas. Focus on installing fans or vents in these concentrated areas.

- It is extremely important for workers to stay hydrated. It is suggested to keep water bottles available for workers or to give them access to multiple water coolers. The chance of heat stroke or exhaustion rises when water is not ingested frequently during hot weather and/or working conditions involving manual labor.

- Vinyl strip doors and curtains may not appear to be effective in climate control, but they are indeed. Install vinyl strips along dock doors and other partitions throughout your warehouse. The strips are great in keeping hot air outside while maintaining a cool climate inside of the warehouse.

Sources

Cisco-Eagle
 
javascript:void(0)