When you think about supply chain inventory management, your mind probably goes to ordering strategies or demand forecasting. But the storage conditions of your warehouse are a major factor that deserves more attention. Warehouse and inventory management are vital to providing an environment conducive to proper storage conditions
Factors like temperature control, humidity levels, and storage organization can be the difference between inventory arriving at its destination on time and intact, or at the landfill.
Below, learn more about how the storage conditions of your space impact warehouse and inventory management, and how to identify a third-party warehouse that can keep your inventory in top shape before shipping.
What Is Warehouse And Inventory Management?
Warehouse and Inventory management is the art of ordering and storing goods to ensure you have what your business needs, available when you need it. Done right, it prevents both over-stocking, where you risk items going to waste, and under-stocking, when you risk shipping delays or sell-outs.
It’s a constant balancing act of having just enough, never too much or too little.
How Storage Conditions Play A Role in Warehouse And Inventory Management
Good warehouse and inventory management is about more than just keeping enough goods on hand. The conditions of your storage space allow you to meet your order fulfillment goals.
Unorganized spaces can cause you to ship the wrong items or lose track of inventory levels. And storage environments that are too hot or cold can impact your inventory’s product quality and shelf life
Every year, businesses across the globe lose an estimated $163 million in wasted or damaged inventory. Small and medium-sized businesses feel these losses even deeper. So, when your profit margins are on the line, you can’t afford to store your inventory in a space without proper inventory control.
How Good Warehouse And Inventory Management Protects Your Business
The easiest way to ensure your inventory is stored under proper conditions is to partner with a third-party warehouse. You don’t need to worry about allotting the space on-site or managing the conditions, which are a major investment in time and funds. Your warehousing partner is already doing it for you.
Organization and Racking
Don’t underestimate the power of organization for your business. Most warehouses use vertical, racked storage systems to get the most out of their floor space. Not only does this improve their own layouts, it also ensures that all your inventory stays organized and accessible.
Your pickers won’t waste valuable time hunting for the right items to fulfill an order, which can get shipments on the road faster. Plus, the warehouse management system (WMS) can automatically provide updates on inventory levels, so you know when to reorder.
Proper Warehouse Temperature and Humidity Standards
Third-party warehouses don’t just try to keep their spaces at optimal storage temperatures: The law requires them to.
For employee safety, OSHA recommends that all warehouses in the US keep their temperatures between 68 and 76 degrees, with a relative humidity rate of 20 to 60%. These temperature control standards serve the dual purpose of keeping sensitive inventory from languishing in the heat or freezing in the cold, and can prevent spoilage from high humidity buildup.
Of course, refrigerated freight needs special storage. But non-perishables can benefit from being stored in a standard commercial warehouse, rather than a non-climate-controlled storage container or garage.
Good Ventilation & Airflow
Stagnant air is an invitation for mildew, mold, and mustiness, which can ruin your inventory and cost thousands of dollars in replacements. But warehouses have to meet certain ventilation standards to keep the air flowing in their storage spaces.
Most warehouses aim for a goal of 3 to 6 air changes per hour (ACH). AKA, the number of times the air in a room gets replenished in an hour. Good ventilation significantly lowers your chances of inventory in long-term storage developing mold or mildew problems.
Pest Control
The last thing you want is for moths or mice to make a meal out of your precious inventory. Proper warehouse storage conditions naturally deter pests with clean, clutter-free storage areas.
Warehouses that conduct arrival inspections on new shipments should also spot any sign of rodents, which keeps any unwanted invaders from coming into contact with your goods.
Tighter Security
You might not have the resources to hire on-staff security officers or keep valuable inventory monitored 24/7. But a third-party warehouse with multiple clients also has more funds to spend on security.
Beyond the network of cameras and security staff, storing in a warehouse means more staff moving in and out, and more eyes watching for suspicious activity. Plus, warehousing partners also carry insurance, giving you a backup plan in case your inventory ever goes unaccounted for.
Lighting Conditions
Even the amount of light your items are exposed to can impact their shelf lives. UV light from the sun can degrade perishable items, fade the colors on furniture and artwork, or even melt materials like plastics in intense lights.
Storing inventory inside crates or palettes inside warehouses keep them from being exposed to unnecessary sunlight, which can give them a longer shelf life. Warehouse lighting requirements provide enough light for employees to safely see what they’re doing, without exposing your inventory to potentially damaging UV levels.
What to Look for in a Warehousing Partner
When vetting warehouse partners to improve your warehouse and inventory management, look for the following green flags:
- Built-in Climate Control: Warehouses in hot locations should have air conditioning or fans, while those in cooler states should have heating systems for the winter.
- Reliable warehouse inventory procedures: Incoming and outbound shipments should undergo inspections to ensure all your items are accounted for, and in good condition for storage.
- Centralized locations: Look for a warehouse located near your business partners or service area. The faster your shipments can get on the road, the better.
- Good reviews: Look for warehouses with a reliable customer base and years of experience in the industry. When other businesses trust a warehouse to do the job, you can feel better trusting them with your inventory.
Work with A Rhode Island Third-Party Warehouse
Looking to work with a warehouse in the New England area? You can rely on N&D Transportation.
Our Rhode Island warehouse has 12 acres of space near the interstate and our own fleet of owned equipment, so your shipments can get on the road at a moment’s notice.
Our warehouse space is racked, heated, and outfitted with a warehouse management system, so your inventory will be safe and in optimal conditions, so your business can keep running without a hitch. Contact us today to learn how making us your storage partner can improve your warehouse and inventory management.
