As a new addition to the world of material handling, I have a unique insight into what makes a warehouse run like a well oiled machine. Enjoy my journey as I share my new experiences, successes and overcome many challenges as a material handling professional.

Tuesday, May 10, 2016

Running Out of Room? No Problem.

A common problem in my North Orange County territory is space. Companies are growing, running out of room, and need more building space. The problem is, North Orange County is currently 97% occupied. The other problem is, it is EXPENSIVE to move. Signing a new lease in this expensive market, moving all your product to a new facility, paying for new racks, dock and door equipment, business cards, and all the other pains of moving are just not something a lot of companies have budgeted for, nor something they want to handle.

Last year, I finally came across a project that gave me a great understanding of what Raymond Handling Solutions can do for their clients. For their privacy sake, we will call them Company S. Company S actually owns 4 buildings right in a row. They were running out of room in their warehouse. They manufacture their product, and their other properties had big expensive machines in them that they just couldn't justify moving. So, I, along with their consultant, had to put together a plan to increase their pallet positions in their current warehouse.

At first look, the change was easy. They were using sit-down propane lifts which require wide aisles (around 12-14 ft) and they had rack scattered throughout their facility. We often run into this issue because racking is not always the first thing companies plan. In order to create an efficient space with maximized pallet positions, it takes planning. You could tell Company S put in racking as needed, and in turn only utilized half of the warehouse's space.

The other issue was their picking process. They primarily piece picked, which means they just need a box or two, not a full pallet to fill orders. So they were taking a lift, bringing the whole pallet down, taking a box off the top, and putting the whole pallet back up. They were handing the pallet 2x-3x as much as they had to because they did not have the right equipment.

 Pallets in the middle of aisles
 Huge Aisle Size and Horizontal and Vertical Racking
 
 
So, we needed to narrow the aisles and get them new, more efficient equipment. With a swing reach and order picker, we were able to reduce their aisles to 72". We increased their pallet positions from 1200 to 2800 in their existing facility. I added wire guidance to their floors so their operators were able to comfortably maneuver in such narrow aisles. Now, when they put pallets away, they use P&D (Pick and Delivery) Locations, where a sit-down forklift stages the pallet and the swing reach can be dedicated to putting pallets away in the aisles.
 
Learning the new equipment was a challenge to the operators. Company S purchased 1 swing reach and 3 order pickers. They operators were not believers in the new system, insisting they needed more than once piece of equipment to put pallets away with. They did not realize the amount of unnecessary handling they were doing. Once they saw that an order picker could help them pick orders faster, they understood why only one piece of equipment was needed for pallet handling.  I go in every now and then to see them, and it is amazing how comfortable they are with the equipment compared to when they started.
 
It was amazing to watch this project grow into the warehouse it is today. The consultant they had working for them had a great vision and really helped me understand the business I was in. Not only did Company S not have to move, but now they have a gorgeous warehouse that they can bring clients to and show off their efficiencies.
 
 
Much Cleaner look
 
Narrow Aisles with Wire Guidance
 
Still putting away pallets, with plenty of room to spare!