Space optimization is critical.
Download the full report to learn what warehouse and fulfillment executives are saying and doing to address space challenges.
Download the full report to learn what warehouse and fulfillment executives are saying and doing to address space challenges.
We've gathered the thoughts, opinions, and experiences of 300+ senior leaders and decision makers — from CEOs and COOs to order fulfillment and logistics directors — to gauge how they’re approaching the next 12 months. Space utilization is top of mind!
92% of respondents said space utilization is either extremely important or very important to their organization in the next 12 months.
The past three years has seen a huge volatility in supply chain demand, with container shortages and a variety of unforeseen events. It's not surprising that executives are concerned with space optimization. Space has now become the battleground where warehouse professionals are looking to gain a competitive advantage and improve efficiency.
Three key areas were identified as ways to approach space utilization:
1) Think beyond the warehouse
2) Focus on scenario planning
3) Plan for space utilization
Understanding the whole supply chain is key to optimizing warehouse space. Our survey shows that capacity planning is often reactive rather than proactive. In addition, with social, economic, and environmental disruption becoming more common, warehouse operatives need to start preparing for the unexpected. Lastly, with many businesses moving to population centers where space is at a premium, AS/RS solutions can solve the space challenge.
As you can see in this chart from the State of the Market Report, space utilization hasn’t hit critical levels … yet. Only 4% say their warehouse is 95-100% utilized, with 57% at 75% of utilization.
However, this chart doesn’t tell the whole story. There are factors such as measurement, communication, capacity, and capability that are missed or misunderstood.
You need true visibility into the space you have at your disposal in order to optimize.
This is one of the five key learnings from our benchmark survey, download the full report to read more on Reducing Costs, ESG Initiatives, AS/RS Necessity and Balancing the Macro & Micro.