Key Performance Indicators for Your Warehouse

If you’re in charge of running a warehouse, you’ve probably heard about key performance indicators. These measures are used to measure how well your warehouse is operating and can highlight problems. For instance, knowing your picking efficiency can help you fulfill customer orders faster and improve picking accuracy. The following are some of the key performance indicators you should measure. Receiving efficiency measures how many goods you receive per hour from your warehouse operator. Higher scores mean better receiving efficiency, while lower ones indicate problems that need to be resolved.


A warehouse is a large, dedicated area that stores goods for sale or for distribution. The goods you store in warehouses can be raw materials, components, finished products, and anything in between. Manufacturers use warehouses to store finished goods, and retailers use them to replenish empty shelves. With technology, warehouses can be more efficient, as they can help you organize and track all of the goods in your warehouse. The following are some examples of different types of warehouses.

Order selecting is a vital process. You’ll want to assign pickers to specific zones of SKUs. This way, you can ensure that perishable items reach customers before they expire. First expired, first-out picking is an additional option to consider. It’s also a good idea to use zone picking, because it allows for products to be shipped first before their sell-by dates. Finally, remember that you should keep track of your inventory so it is easy to spot potential problems.

The definition of a warehouse is not always clear. In some cases, it can be a confusing jargon. However, the two are basically synonymous. In general, a warehouse is a place where goods are stored with the intention of being sold. This means that most warehouses are fast-paced and high-volume. With these advantages, a warehouse is an important part of any business. When you need to find a warehouse that will suit your needs, take a look at these examples. You may also be surprised to find that the concept of a warehouse is actually very simple.

A centrally-located warehouse is advantageous for businesses because it can be more easily reached by a wider range of regions. It also means that shipping times and distances will be shorter, as compared to other warehouses. As your business expands, you will have more logistics to consider. It’s imperative to choose the best locations for your warehouse. You should also keep in mind the needs of all your customers, including your retail store, your wholesaler, and your end customers.

When determining the right layout for your warehouse, consider the volume of your products. High-demand products should be stored in lower storage racks near the primary aisles. This will minimize the distance and time needed to move those products. On the other hand, low-demand products can be placed in higher-rise storage racks, farther from the primary aisles. Once you’ve determined the right placement, the next step is to design your warehouse. And, when you have your design in place, remember to follow local and federal building codes.