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www.supplychainbrain.com/articles/40118-using-storage-type-analysis-and-warehouse-layout-to-ensure-a-smooth-transition-to-a-new-facility
A WORKER IN HI-VIS VEST AND HARDHAT WALKS DOWN A WAREHOUSE AISLE CONSULTING A TABLET COMPUTER

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Using Storage Type Analysis and Warehouse Layout to Ensure a Smooth Transition to a New Facility

August 15, 2024

Optimized storage capacity allowed Levata’s new warehouse to efficiently manage a wide range of SKUs, maximizing storage utilization, and giving the company room to grow. 

Levata, which offers data-capture, identification, and access control hardware and software, faced a significant challenge with its warehouse operations. The company’s products include barcode scanners, mobile computers, label printers, point-of-sale systems, identification cards, RFID equipment, and other related consumable products in the automatic identification and data capture (AIDC) industry.  

As Levata experienced rapid growth and diversification in its product offerings, the limitations of its existing warehouse became apparent. They knew it was time to construct a new facility, but the company’s diverse range of stock keeping units (SKUs) meant it needed more efficient storage solutions, and a layout optimized for the increasing volume and variety of products.  

To address these challenges, Levata embarked on a strategic initiative utilizing storage type analysis (STA) and warehouse layout. The goal was to design a new facility tailored to the specific needs of Levata that could manage inventory effectively, enable smooth order fulfillment, and accommodate future growth. This would involve integrating various storage solutions while prioritizing floor-level accessibility for picking efficiency. Levata assembled a team of warehouse design specialists, industrial engineers, and logistics experts from Alpine Supply Chain Solutions to lead the project. 

The work began with a comprehensive STA, where Levata's SKUs were analyzed based on dimensions, weight, demand patterns, and handling requirements. This analysis served as the foundation for designing tailored storage solutions that could accommodate the diverse range of products efficiently.  

The Warehouse Layout included a variety of specialized areas.

Bin locations. Strategically placing bin locations for smaller items allows for efficient organization and easy access for order picking.

Hand-stack areas. Allocating designated areas for items that may be manually stacked promotes flexibility in storage configurations.

Full pallet locations. Designing floor-level pallet locations for bulk storage ensures accessibility and ease of replenishment.

Operating space. Including sufficient open space for packing and shipping operations facilitates smooth material flow and order fulfillment.

Processing cage. Incorporating a small processing cage within the layout enables specialized handling of certain SKUs, ensuring segregation and efficient processing.

Office space. Designing the interior layout of the offices to accommodate Levata's hybrid employees yields both sufficient office space and flexibility for future needs. 

The STA and warehouse layout project delivered significant outcomes for Levata. The optimized storage capacity allowed the warehouse to efficiently manage a wide range of SKUs, maximizing storage utilization. Enhanced picking efficiency was achieved through floor-level accessibility and the implementation of cross aisles, reducing travel times and increasing overall operational efficiency. 

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Streamlined operations were facilitated by ample operating space for packing and shipping operations, contributing to seamless logistics and order fulfillment processes. The inclusion of a processing cage enabled efficient and segregated handling of specific SKUs, ensuring compliance with unique requirements. 

“Our Storage Type Analysis and Layout project transformed Levata’s warehouse efficiency, accommodating a wide range of SKUs,” says Dan Nettesheim, CEO of Levata. “The initiative has helped us determine that a 10% growth in volume until 2026 will fit within our facility, and provided absolute clarity on the value of the investment." 

Resource Links: 

https://www.levata.com/en-us/ 

https://alpinesupplychain.com/