Friday, October 23, 2020
These days, thanks to the increase in ecommerce purchases, a lot of warehouses are considering purchasing a second facility. On paper it makes perfect sense! You’re dealing with a greater volume of packages than ever before, you’re probably running out of space for some of your most important items, and frankly it might be nice to just have a little more breathing room sometimes. That said, we’ve noticed that a lot of warehouse managers tend to…jump the gun when it comes to getting a second facility. Industry reports show that warehouse real estate and secondary locations are at an all time high, leading to something of a bubble in real estate property – but what if these purchases could be avoided? With a little careful planning and rearranging, you might actually be able to squeeze a little more life out of your current warehouse without having to move.
Making More Space In Your Warehouse (So You Don’t Need To Buy A Second One)The majority of all secondary warehouse purchases can be boiled down to one of two major reasons: either you’re running out of space in your current one, or you need to be able to better serve a different geographic area by offering a closer distribution center. While you can only do so much about the geography issues, buying a second warehouse to make more space should only be a last-ditch effort after you’ve exhausted your potential for making new space in your current warehouse. Ask yourself the following questions to see what your next step should be:
After you ask yourself these questions, you’ll have a better idea of whether or not you need to get a second warehouse – or if maybe you can just make your first one work better. |