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Key Strategies to Improve Warehouse Space Efficiency

Warehouses are costly for companies to operate. The cost of the building, labour and inventory of a warehouse can be a significant amount. Hence, most companies would like to improve on their warehouse space efficiency, be it by streamlining the placement and picking of goods, reducing the time of goods being stored in the warehouse, or automating as much as possible to reduce labour costs while improving the accuracy of the warehousing activities.

This can improve the maximize the space utilization and efficiency of the warehouse at the same time, ensuring that it is possible to store as many items as possible in the most optimum space.

Lean Inventory

“Lean” refers to a systematic approach to enhancing value in a company’s inventory by identifying and eliminating waste of materials, effort and time through continuous improvement in pursuit of perfection.

Building and maintaining a lean inventory management revolves around six main attributes: These are:

1. Demand Management:

Providing inventory when requested by the customer. For effective demand management, companies need to plan their sales and operations, check the inventory management practices, demand signal and demand collaboration.


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Jonathan Goh Seng Kim, DLSM
Jonathan Goh has substantive years of experiences in the field of warehousing and shipping, specifically in the sector of technology programmable devices. He is a member of the Singapore Institute of Purchasing and Materials Management (SIPMM). Jonathan completed the Diploma in Logistics and Supply Management (DLSM) course in March 2018 at SIPMM Institute.
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