How you to find a lean and lucrative warehouse location?
There are several factors that logistic managers and business owners must deal with. Of these, one of the things that they hate the most is the idle inventory. No business organization – small, mid sized or big is ever happy with anything idle or stagnant. Movement, therefore is one of the most universal missions for all business organizations irrespective of the shape and sizes. It tends to encompass just about every variation of change. True, expansion as well as upward financial growth happens to be the most desirable movement in any business model however the tactical turns and lateral moves are also given due importance.
To be able to achieve desirable directional shifts, one must begin with the successful implementation of the effective changes and strategies. For improving the movement of the inventory and the goods, a proper analysis of the current storage strategy is needed. Many a times, after successful review, several business organizations understand that commercial warehouses are really responsible for the success in terms of storage. Further, in the long run, owning a storage facility or leasing of the stated magnitude is equivalent to asset acquisition.
Commercial warehouses too have gained substantial attention in the past few years. These well structured storages are said to be beneficial for all companies irrespective of the industries or the niches that they belong to. Besides, capable of being used for a number of functions and purposes, they can store just about every type of inventory.
Before you plan to effectively incorporate the commercial warehouse in to your business operations, there are certain factors that need to be given due consideration. One, such factor is – How to pick the most lucrative and lean location for your warehouse?
Opting for a location for Productivity
The central reason why the location of a warehouse plays a pivotal role in warehouse management is because possessing quality and adequate storage facilities ought to be the primary goal of every business. To be able to pick the most lucrative and lean location for your business you must answer the following questions.
- Are the boats needed for export of the goods?
- Is the economy good or stable in the chosen city?
- Are the goods picked up from a warehouse facility?
- Are the tax policies too rigid in the designated city?
- What is the approximate distance the drivers need to travel for distribution of the inventory?
- How many states are easily accessible from the chosen location?
- Is the government stringent in the chosen city?
- How far is the rental or the leasing company located from the storage facility?
- Is the city where the warehouse building situated very congested?
- Are the goods delivered to a warehouse facility?
- Are heavy weight trucks going to access the building of the warehouse?
- Will my chosen location adapt to the expansion needs of my business?
Once you are successfully able to answer these questions, it shouldn’t be hard for you to find the most lucrative and lean location for your warehouse. Now, besides location there are several other considerations that may affect your decision of the ideal warehouse location. Here we have covered some of these.
Additional Considerations for choosing the most ideal location of a warehouse
- Cost: The cost of the warehouse that you buy or avail on lease must well justify the locational advantages it offers.
- Labor: The mixed skill sets labor must be easily available near the location of your warehouse. Importing of the warehouse can be one costly affair.
- Flexibility: The chosen location must be flexible enough to cater to the changing or the evolving needs.
- Accessible: The warehouse must be easily accessible by every means of transport.
- Ceiling: The height of the ceiling must be able to accommodate the commodities that will be stored in the warehouse.
Acquisition of the warehouse space is definitely not a quick fix business solution. It does require a substantial amount of time, patience and research. Besides, the location you also need to consider several short term and long terms costs, lease terms, goodwill and reputation of the warehousing company and customization options. Hopefully, these points of consideration will help you in finding the most lucrative and lean location for your warehouse.
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