Business Management

Five Ways to Run a Leaner Warehouse

January 4, 2023 | By Cantaloupe, Inc.

Five Ways to Run a Leaner Warehouse

Bringing down operational costs is one of the best ways you can improve margins. And the best opportunity to do that? Through more efficient warehouse management. 

So, what’s the secret to running a well-oiled machine? 

Here are five ways that you can take your warehouse to the next level. 

1. Work with suppliers to deliver stock just in time 

How much stock you hold at any point in your warehouse directly impacts your overhead costs. Large quantities of stock can add up, causing disorganization and risking expiration.  

You can bring down the inventory levels in your warehouse by streamlining your supply process. By working with your suppliers to receive stocks  up to three days before the actual delivery date, you guarantee that stock won’t pile up. 

However, don’t forget to consider how much safety stock you’ll need to maintain in the instance there may be shipping delays, or if you need more stock than originally planned. 

2. Utilise demand forecasts to create dynamic purchase orders  

Don’t play a guessing game when it comes to purchasing stock. 

Create dynamic purchase orders by linking your demand forecasts to the order quantities placed with suppliers. This ensures that current sales trends are reflected in the orders you place and protects you from inventory imbalances that could occur if you stick to manual ordering.  

The right technology will help you predict demand more accurately and only order what you need. 

3. Use visual cues to make things run more efficiently 

Having an organised warehouse makes all the difference when receiving and delivering products to your vending machine and micro market locations. 

Visual cues can assist your warehouse staff on timeline actions and efficiency. For example, use yellow tape on cartons for products with a shorter shelf life. This will help you reduce product write-offs that happen due to expired goods. Visual management in the facility enables team members to see, know and act as a group. 

4. Change up your warehouse layout 

Using warehouse space efficiently creates a leaner warehouse, improves inventory visibility, and keeps things organised for your staff. For example, you can improve picking productivity by storing fast-moving inventory in the front of the warehouse.  

Additionally, switching up your warehouse layout can reduce storage times by more than 25% and picking times by 30%. Space optimisation makes it easier for your warehouse staff to move around and grab what they need, resulting in greater productivity and a more efficient warehouse overall. 

5. Adopt a warehouse management system 

Clear visibility and accurate information about existing inventory in the warehouse impacts order preparation and delivery. Proper inventory management ensures you get the right product to the right machine at the right time. And it optimises the way you receive and send out product — which results in reduced inventory requirements.  

In fact, most operators see a reduction of 40% to 60% of inventory required when they utilise a warehouse management system. Ready to make yours more efficient with the right software? 


Cantaloupe, Inc.

Cantaloupe, Inc. is a digital payments and software services company that provides end-to-end technology solutions for the self-service economy.

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