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Inventory management is an efficient process that significantly increases the profitability of your warehouse. It is critical to ensure that the material flow process runs smoothly by selecting the appropriate storage facility. And this becomes possible by assessing your material handling needs and selecting the function-appropriate pallet rack.
Before redesigning a warehouse, you need to contemplate on the space organization and utility. Pallet racks can provide you with a convenient way to store your inventory effectively. Installing pallet racks will also help you in conducting smooth operations and ensuring the safety of your employees.
But before you proceed to buy pallet racks, you need to ask these questions in the first place:
What is the area of your space?
Most of the warehouses have a definite amount of space, and you have to manage the inventory within the given space. The pallet racking system helps in utilizing the vertical space by placing a large number of pallets. Hence, the space area has to be considered before buying a pallet rack facility.
Managing the space without facing a space crunch will help in avoiding inventory damage. Plus, it will be easier to access the aisles while moving the inventory from one rack to the other.
What kind of inventory is to be stored?
You have to take into account the weight of your inventory before selecting the pallet rack. The weight of your inventory is directly proportional to the area or size of the racks you choose. A clarity in weight and size of the stock and racks respectively will help you in selecting the suitable pallet rack system.
If you have different products weighing differently, then you can go for a pallet rack that can easily adjust to your storage needs.
What is your inventory valuation?
The smooth functioning of inventory distribution is crucial to any business. Analyzing your inventory valuation and selecting the pallet racks will prove profitable. The methods that are practiced for inventory valuation are FIFO (first-in, first-out) and LIFO (last-in, first-out).
If you store perishable items, you are likely to function on a FIFO basis. And durable products are operated on a LIFO basis. Hence, the design of the pallet racks will have a huge influence on your warehouse operations.
What are your inventory replenishment practices?
The purpose of inventory replenishment is to keep the product movement on. If your requirement is high-density storage, then you may need a tall elevated pallet rack. Also, while moving the inventory, if you need forklifts, conveyors, or pallet jacks, then you have to consider racks that can accommodate these pieces of equipment.
Replenishment activities like picking and placing of products need to happen cautiously, or mismanagement of inventory may take place.
Is it a durable option?
It is evident that warehouse management is not an easy task, and hence a convenient pallet rack system is a sound solution. But, buying a pallet rack that is cost-effective and durable in the long run is of prime importance.
It is not wrong to look for affordable options, but rack systems should provide easy accessibility while moving the storage. Hence, safety and durability will go hand-in-hand if the right pallet rack system is chosen. Such a system helps you maintain the warehouse functions, choose the right pallet rack system, and manage the flow of inventory.
