There is nothing worse than an inventory that is not properly managed. It leads to stock-outs or overcrowding even if there is the most advanced inventory management software on the market, with alarm thresholds set, statistics calculated or the most sophisticated inventory management possible. If the goods are not stored and properly labeled and arranged, the company cannot have good inventory management.
Choosing the right storage location
Adopting a PIM solution can be a wise choice for any type of business. PIM stands for Product Information Management. It is necessary to choose a storage location taking into account different criteria. It should be accessible, allowing precise management of deliveries to customers and purchases from suppliers, and its area should be appropriate to the size and quantity of the products. A geographical location as close as possible to the suppliers or customers is fundamental to minimize delivery times, as well as to discover the necessary manpower to intervene on the site. Several criteria are to be taken into account, notably the nature of the storage location. The backroom warehouse is mainly dedicated to the packaging of products and their storage while waiting for the shelves, or warehouse to manage all the logistic flows of the point(s) of sale.
The storage area
The warehouse or storage area must be organized in such a way as to ensure the safety of employees. Therefore the warehouse must have emergency exits and a circulation plan. It must also be well maintained, clean, and sanitary. Ensure that goods are in proper condition by defining a storage area for each type of item. Each order agent must be able to read the barcode to know the exact location of the article, otherwise, they may lose valuable time searching for the missing piece. Duties should be automated as much as possible to save time and avoid manual operations, which can be error-prone, time-consuming, and stressful for order pickers.
Label goods accurately
Merchandise must be properly labeled to identify exactly which products are free and where they are located. So when a product is supplied, in stock, or returned, it is necessary to scan the barcode for the management software to include the information. This also applies at the time of sale. It is quite enough if a series of items have been misidentified by the software with the wrong details, to cause the software to misunderstand the information. The storage area must also be strictly labeled and the label must be large enough, easy to read, and legible.