Optimizing Warehouse Operations
Nexus team analysis aids specialty chemical company
Looking to improve efficiency and its capabilities, a global specialty chemical company asked Nexus to optimize the operations of an existing warehouse. The client’s existing warehouse was designed to operate as a FIFO (first in, first out) system, but was not currently using the FIFO system. Working with Nexus, the client was seeking ideas to re-design the warehouse so the client could have the capability to store their finished goods along with raw materials without expanding their existing facility. Operating more efficiently will help the client reduce labor costs, improve storage capabilities and improve customer service.
Challenge
The client wanted to better utilize its existing warehouse, while reducing labor costs, improving inventory management and maintaining excellent customer service.
Solution
Nexus analyzed the client’s operations and developed a current state map of the warehouse. From that map, Nexus was able to develop two future conceptual layouts of the warehouse that optimize the existing finished good warehouse while best meeting the client’s capacity objectives.
Results
Client’s process was improved dramatically offering “pick to ship” efficiencies through improved design of storage space and process evaluation and recommendations. Nexus was able to integrate the existing order processing software and improve the processes through new equipment sourcing and not having to expand the current warehouse footprint. This solution was very agreeable to the client and resulted in numerous plant efficiencies.
Industry
Manufacturing
Location
USA
Services
- Project Management & Services
- Process Development
- AutoCAD Design
- Laser Scanning
Results
- Improve access to all products to minimize ‘touches’
- Increase the total storage space
- Improve access to shorten time from ‘pick to ship’ to minimize cancellations
- Maintain flammable and corrosive material area
- Retain capability to handle raw materials efficiently
- Integrate with existing pick process
- Minimize required capital investment.
