SHORTAGE OF WAREHOUSE SPACE? DEAL WITH IT LIKE THIS CANADA!
June 08, 2021
You’ve hit a speedbump. Business is revving up nicely in Canada, but your warehouse or distribution centre can’t keep up with the demand.
Should you expand into a bigger warehouse? Possibly. Will space be easy to find? Probably not. Industrial space is in short supply.
See why industrial space is at a premium, and discover 2 effective ways to keep the goods moving.
Read more…
Blame it on COVID
Why not? Any losses in 2020 were posted into the COVID account.
Yes but, industrial space shortage?
Sure. 2020 turned established consumer demand on its head.
1) Pandemic-specific goods – they all need warehouse space
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A huge spike in the need for hospital beds, personal protection equipment, ventilators, masks, gloves, sanitizers – a whole new demand created overnight.
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Work-from-home items: computers, screens, desks, lighting, home office reno’s.
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IT business boomed as we raced to keep in touch business-wise, socially and in education. And don’t forgot home entertainment!
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Homes became very lived in. So, more do it yourself projects (tools and materials) as a stuck at home population made their houses and yards fun places to be.
2) E-commerce and click+collect
Online selling was gaining ground before COVID. As everyone scrambled to avoid contamination by the nasty little virus, internet selling emerged as the safe answer to our consumer needs.
Distribution centres are overflowing.
More warehousing needed!
3) Fear of shortages
Real or imagined we didn’t want to be caught short again. Stockpiling happened.
Some companies moved from Just-in-time ordering to Just-in-case. More square feet needed.
4) And the best reason – the Economy is Rebounding!
According to BMO Blue book, there’s a wave of pent-up demand coming our way.
The Canadian economy is expected to grow by 5% – largely reversing the 5.4% decline seen in 2020. The forecast is for output to be at pre-COVID levels by the end of the year.
With some sectors already buzzing, chances are that our pre-COVID output will be left in the dust.
Which all adds up to “We need space!”
2 ways to Optimize your Warehouse
1) Look up!
That’s right. Most warehouses could add storage capacity at height – using standard pallet racking systems.
Pallet racking can be added:
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Over the top of dock doors.
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Above forklift and pedestrian passageways. A reputable company can help you do this safely.
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In areas with low-height shelving. What’s to stop you from installing pallet racking right up to the ceiling?
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Wherever the space between the racking and the ceiling is wasted. For example, if you have 16’ high racking in a building with a clear height of 24’ or higher, you’re wasting vertical storage space that you’re already paying for!
2) Keep it moving with an effective floor plan
Theoretically an efficient warehouse handles receiving, storing, order-picking, packing and shipping like a well-oiled machine.
But what happens when a more interesting year (read 2020/2021) comes along?
If you sailed through 20/21 with efficiency and ease – good for you! But if your warehouse got disrupted and you struggled to stay organized, you’re certainly not alone.
Operations can turn into a mess. Stock, picked orders and inbound freight jostle for space, and end up clogging up your available space. We find that many companies with this operational log-jam actually have unused space right in their warehouse.
The solution might be right above your head, or, you may need help in reconfiguring your warehouse.
Either way, give us a call, or go to our website, and take a look at our projects and design services.
We’re easy to reach.
Call our toll-free number – 1-800-465-3695
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