Important Warehouse Operations Metrics & How to Use Them

If you’re not using key warehouse metrics to improve your business year-over-year, you’re missing out on a huge opportunity for increased efficiency and growth. Here are some important warehouse operations metrics and how to best use them to help your business thrive.

Average Warehouse Capacity Used

Whether you’re looking at it from a monthly or yearly window, actively working to increase your warehouse capacity can have a significant impact on your operations. In fact, according to a recent WERC Report, the industry-wide year-over-year trend shows an increase in the best-in-class measure for average warehouse capacity used. That means that, in a world where e-commerce continues to grow and thrive, space utilization is becoming an increasingly important marker for success.

While collecting data is the first step, using the data to implement the right kind of changes is key. If, for example, you notice that your average warehouse capacity is stagnant or lower than the best-in-class goal line, you still have work to do. Conducting a slotting analysis, for example, can help find the optimal storage space and location for each item. You can also minimize aisle width, better utilize vertical space, or try new pallet flow systems for denser storage.

On-Time Shipments

By measuring the percent of orders off the dock and in-transit at the planned time, you can identify how successfully your operation is running. As online ordering and e-commerce competition continues to grow, so does the need for improved customer relations. One of the most important factors for customers is whether their shipment arrives on time. Warehouses, fulfillment centers, and distribution centers can therefore greatly benefit from measuring and working to improve on-time shipment metrics. Any downward movement on on-time shipments is cause for concern and should be treated seriously.

Efficiency is essential to increasing on-time-shipments. Luckily, increasing efficiency is possible from many different angles. Buying a hydrogen fuel cell-powered lift truck, for example, cuts down on fueling time, while lithium-ion batteries require less charge time than lead acid batteries. You might also consider forklift and warehouse telemetry services, which help with data collection so you can maximize fleet efficiency. You might also want to utilize this resource about how to increase warehouse productivity more generally.

How Voss Equipment Can Help

At Voss Equipment in Chicago, we offer a wide variety of heavy equipment and services that can help improve your warehouse capacity and increase on-time shipments. In fact, our forklift fleet management services are the perfect first step for collecting better data so that you can better reach production goals and protect your bottom line. Whether it’s a new forklift with Yale Reliant technology, a new pallet rack system for increased storage, 24/7 forklift service and repair, or equipment rentals for the holiday rush, Voss Equipment can help your business thrive!