Optimizing your product distribution sure is challenging, isn’t it?

You have so many options and approaches to choose from. And it takes time to figure out what works and what doesn’t for your specific warehouse.

And of course, during the process, mistakes are bound to happen. It’s part of getting better at what you do.

To minimize some of those mistakes, learn from the most common ones many companies make:

1. No Forward Location Set Up

What products get ordered most commonly? Those go in a forward location near your shipping and receiving dock to minimize employee trips and steps.

This, rather than placing all of that inventory in one area of your warehouse.

Then, the safety stock for that popular inventory gets placed in a more remote location of your warehouse…or at an offsite location.

When you need more, you bring it all over to your forward location in one fell swoop.

2. No Separate “Dead Stock” Location

It would be nice if you sold all your inventory exactly as planned. But sometimes, product recalls, market shifts, customer returns, and forgetfulness happen.

Most SMBs just let their dead stock commingle in with their live inventory. Smart ones create a separate location so they have all their dead stock in one place.

Dead stock left mixed in just sits around, taking up space, causing confusion, and wasting money. It may also accidentally get shipped to customers.

A special dead stock location reminds you needs liquidating and to strategize for the efficient liquidation of the inventory.

3. Incorrect Technology Application

Remember, new software tools are implemented to create more profitability for your company or more convenience for your customer.

At first, they’re fun. Like a toy. It’s fun to get to know these tools and what they can do. However, some businesses make the mistake of focusing too much on the tools themselves. They forget to optimize their whole warehouse via signage, labels, and efficient movement.

Yes, you should invest in software tools. But, make sure they’re implemented in a way that drives the greatest value for your company and customers.

4. Using Paper Processes

Paper is out-of-date.

Make that your personal mantra.

There is no reason to use it anymore for your own internal processes. Paper packing slips in customer orders are expected and fine.

The primary cost of paper is not the financial expense, but the time it takes to manage. Everything you need done on paper can be done electronically. And it saves you an almost absurd amount of time to do everything online.

Paper also gets lost. Handwriting can be unclear and confusing to read.

The switch to digital may take some time. But it saves you so much more time and is exponentially more convenient in the long run.

Plus, you can also promote your paperless workplace as environmentally friendly to your own employees and customers.

So those are just some warehousing mistakes.

Which rings the most true and will become your top priority?