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Warehouse Slotting Optimisation
By ensuring that the right products are stored in the right place, picking and putaway activities can be optimised to improve productivity and reduce costs. Incorrect or inefficient warehouse slotting processes can lead to waste through unnecessary travel time, unproductive activities or waiting time.
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Warehouse product slotting
By understanding the parameters of your warehouse operation, and modelling to generate heatmaps of the existing warehouse layout, we can visibly demonstrate where your existing slotting can be improved. We then create alternative slotting layouts and optimise these by overlaying reports and knowledge of operational constraints.
We will analyse the potential productivity improvement of improved warehouse slotting options on your different activities. By optimising your warehouse slotting we can help to lower warehousing operations costs and increase efficiency.
What is warehouse slotting?
Warehouse slotting refers to the strategic placement of inventory within a warehouse to optimise storage space, improve picking efficiency, and enhance overall operational performance. It involves analysing product characteristics, demand patterns, storage requirements and handling requirements to determine the most suitable location for each item.
By placing fast-moving items closer to shipping areas and organising products based on size, weight, and turnover rates, warehouse slotting aims to minimise travel time, reduce labour costs, reduce product damage and streamline order fulfilment processes. This systematic approach ensures that warehouses operate efficiently, maximising storage capacity while facilitating faster and more accurate inventory management.
Process & considerations
The Hatmill approach to warehouse slotting optimisation
As experts with years of experience, we’ll help you implement effective warehouse slotting strategies. Every warehouse is unique and your slotting plan will be purpose-built for yours.We can streamline your operation from the top down and improve your business efficiency. Here’s how we do it:
Data collection & analysis
We’ll begin by gathering data on product dimensions, weights, demand frequency, and current slotting practices. Data will then be analysed to identify inefficiencies and understand the patterns of your warehouse operations.
Heatmapping
We’ll then create heatmaps of your warehouse layout to visualise areas with high traffic and congestion. This helps in identifying zones that require optimisation to reduce travel time and improve flow.
Slotting strategy development
A slotting strategy will then be developed based on product velocity (fast, medium, slow movers), compatibility (products often picked together), and ergonomic considerations. This ensures optimal placement of items for efficient picking and replenishment.
Simulation & modelling
We’ll use software tools to simulate different slotting scenarios and models. This helps in predicting the impact of changes on productivity and costs, allowing for data-driven decision-making.
Implementation
We’ll then plan the reorganisation of your warehouse according to the optimised slotting strategy. This step will include physically moving products to their new locations and updating the Warehouse Management System (WMS) to reflect the changes. We’ll work with you to ensure these changes are implemented without causing disruption.
Continuous improvement & monitoring
We’ll ensure performance is regularly monitored against key performance indicators (KPIs). Continuous analysis and adjustments ensure sustained efficiency and address any emerging issues promptly.
“Throughout our time working with Hatmill, I have remained impressed with the organisation, focus and tenacity of the team, and they have been instrumental in helping our organisation reach some critical decision points. The team are engaging, personable and a pleasure to work with.”
– Phil Wright, Head of Logistics, Greggs
A combination of experience and technology
Our team has vast expertise in warehouse slotting optimisation and we apply all that we know to match your exact requirements. Understanding your business, industry, and customers, we use specific software tools to help you get the most from your warehouse.
Simplify and streamline your warehouse
As well as warehouse automation and creating the perfect warehouse layout, simplifying your slotting strategies is crucial to business success. Helping your staff work in a less complicated way and increasing efficiency across the board, warehouse slotting optimisation enables you to grow and meet customer demand.
FAQs
What should you know?
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What is macro and micro warehouse slotting?
Macro warehouse slotting is the optimisation of your overall warehouse layout. Micro slotting refers to how individual products are stored, such as the warehouse area or specific shelf or rack.
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Why is warehouse slotting optimisation important?
Warehouse slotting is crucial because it optimises the placement of products within a warehouse, improving efficiency in picking, packing, and overall inventory management. Proper slotting reduces travel time, minimises labour costs, and enhances workflow by strategically positioning high-demand items in easily accessible locations. This leads to faster order fulfilment, reduced handling errors, and increased productivity, ultimately contributing to better customer satisfaction and cost-effectiveness in warehouse operations.
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