Reducing warehouse costs is a priority for every business owner, and that can be made possible with the use of temporary warehouse structures.
Reducing costs and saving money is the ultimate goal of every business owner, regardless of the business. The less you spend means you will end up with a greater profit in the end. And, what a great way to kick off a new fiscal year, right?
By finding ways to tweak the way you do business, you will find ways to make these changes. Let’s take a look at 5 ways to reduce your warehouse costs. Put in the time and effort to implement these now, and reap the rewards later.
1. Re-think Your Employees’ Value and Training
Employees really are the backbone of any business. They keep things moving, despite the ebb and flow, so that the company can continue to grow and thrive. That is, of course, as long as employee morale is up. Taking the time to offer incentives for performance or making them feel valued by asking for their opinion is a good place to start. As is treating them with respect. When employees feel appreciated they tend to work more efficiently – and productivity increases. This will reduce your warehouse costs.
When it comes to employees, don’t stop there. Rethink the way you train them. Currently, there is a good chance you will likely train your employees to work on the job they were hired to do. But consider this – every area of your warehouse relies on each department to complete its task before it moves on to the next. So, what happens when one area is backed up and the employees scheduled to work have called in sick? What if there is no one to fill the role? This can lead to employees in other areas waiting around with nothing to do due to the halt in the workflow.
Cross-training your employees to fill in other areas when needed can allow you to make the most of your workforce. You will not only always have someone to work where and when needed, but your business won’t be as greatly susceptible to workforce woes. In turn, you will reduce your costs.
2. Take Advantage of Technology
Technology is there for you to take advantage of – especially because there is a good chance your competitor has. And, you know you want to stay at the same level – or higher – than those in the industry. Perhaps in the past, you have scoffed at the idea of spending thousands of dollars on an inventory software system, for instance. After all, how can you reduce your costs if you are paying big bucks for technological investments?
The truth is when you invest in a warehouse management system, inventory trackers, and so forth you are putting out funds initially, but you will get them back – and then some – thanks to better accuracy, clear inventory management, and a reduction in waste.
3. Invest in Optimal Warehouse Space
The space you use for your warehouse matters. Sure, you can set up shop in any old vacant building, but it is not going to be ideal for what you need to cushion your bottom line. The optimal warehouse space will include the following:
- The ability to create your own layout with a wide-open space. You want to streamline your services and this can only be done when you have control over your warehouse layout.
- Control over your building’s design – allowing you to engage in cross-docking to save time and money. But you have to have the right setup to make it happen.
- Safe, secure, and durable storage. You need to protect everything underneath its roof so it has to be a trusted warehouse solution.
So, where do you find such a space? In a clearspan warehouse tent. These temporary structures allow you everything you need to reduce your warehouse costs by creating the most efficient space. They are easily customized to meet your size requirements – and they can grow with your business, too. Plus, they can be constructed in the most logistically convenient location possible.
When it comes to reducing warehouse costs, it all starts with having the right warehouse from the get-go.
4. Reduce Your Energy Costs
Most warehouses don’t come with windows. And, if they do, they don’t offer sufficient lighting throughout the entire warehouse space. As a result, there is always a need for lighting. Yes, LED lighting options are energy efficient and beneficial, but you are still paying for them every month. What if you could reduce your energy costs by not having to use lighting throughout the daytime shifts? It may seem like a minor difference, but when you are referring to paying for lighting for an entire warehouse, this can greatly add up.
With clearspan temporary structures you can reduce your warehouse costs by relying on the sun for natural light. The fabric roof allows the light through, reducing the need for daytime lighting. This cost reduction can seriously add up over time. Again, it goes back to having the right warehouse building.
5. Continuously Try to Improve
Finally, you never want to be content in your methods. You may have processes that are working for your warehouse right now. You may even feel as though you are doing business in a more cost-effective way than ever before. But the moment you stop trying to find new ways to improve and reduce your warehouse costs, you lose.
Every industry is always evolving and technology is always advancing. To get ahead of the competition you have to tighten your ship. You need to have tools in place that will allow you to have a concrete measurement of your success and failures. Continuously trying to find ways to be better than you were yesterday is going to save you money in the long run.
Closing Thoughts
Running a business isn’t all about money. But, when it comes down to it, if you don’t have any money, then you’ve got no business. Finding smart ways to cut costs is one of the best things you can do. When it comes to your warehouse space, starting off on the right foot – with the most ideal warehouse space is the best step you can take. And that means having a clearspan temporary structure.
