Warehouse management process in logistics

Effective warehouse management in logistics helps strictly control inventory, optimize storage space, and ensure the flow of goods runs smoothly. Conversely, a loose process can lead to loss, waste, and reduce the reputation of the business. This article will delve into the importance of warehouse management in logistics and help you better understand a standard process, helping to improve labor efficiency.

Why is warehouse management in logistics important?

Warehouse management plays a core role in logistics operations for the following reasons:

Cost savings

An optimal warehouse management process helps minimize operating costs, storage costs, and labor costs. By arranging scientifically, businesses can maximize warehouse space and minimize time spent searching for and importing/exporting goods.

Increase order processing speed

With an effective warehouse management process, finding and packing products takes place quickly, helping to shorten delivery times and increase customer satisfaction.

Inventory control

Warehouse management helps businesses accurately grasp inventory quantities, avoiding excess inventory causing capital waste or shortages leading to lost business opportunities.

Improve service quality

By strictly controlling the import and export process, warehouse management helps ensure products reach customers in the right quantity, quality, and time.

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Detailed warehouse management process

A standard warehouse management process in logistics includes the following steps:

Step 1: Receiving goods

This is the first step in the process, including receiving and checking goods from suppliers.

• Checking documents: Compare information on the delivery note with the purchase order to ensure accuracy in quantity and type.
• Checking quality: Check the condition of packaging and whether products are damaged or moldy.
• Recording information: Enter goods data into the warehouse management system (WMS) or books, including item code, quantity, entry date, etc.

Step 2: Arrangement and storage

After receiving, goods need to be arranged in suitable locations in the warehouse.

• Classifying goods: Classify goods according to characteristics (fragile goods, heavy goods, goods requiring cold storage), according to import/export frequency (best-selling goods placed in easy-to-pick locations), or according to item codes.
• Using specialized equipment: Use hand pallet trucks, electric forklifts, or conveyors to move goods to storage locations. Naltako provides these devices to make the moving process easier and safer.
• Scientific arrangement: Apply arrangement methods such as FIFO (First In – First Out), LIFO (Last In – First Out) depending on the characteristics of the product to optimize space and avoid long-term inventory.

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Step 3: Picking and packing

When there is an order, warehouse staff will perform picking and packing.

• Creating a warehouse release note: The system will automatically generate a release note based on the order. This note specifies the location, quantity, and type of goods to be picked.
• Picking goods: Employees use support equipment to pick goods from shelves. These devices not only help pick goods quickly but also ensure safety.
• Packing: Goods are checked one last time, then carefully packed to ensure safety during transportation.

Step 4: Exporting and transportation

This is the final step in the warehouse management process in logistics.

• Preparing export documents: Record export information into the system and prepare necessary documents (invoices, delivery notes).
• Checking and loading onto the vehicle: Goods are checked once again before being loaded onto the transport vehicle.
• Updating status: Update the status of the order in the system so that customers and related departments can track it.

>>> Building a professional inventory management system in logistics

Conclusion

An effective warehouse management process in logistics not only helps businesses save costs and optimize space but is also a key factor in improving service quality and reputation in the market. Applying the right process, combined with modern warehouse equipment, will help your business operate smoothly and achieve a sustainable competitive advantage.

If you are looking for solutions and equipment to support warehouse management, contact Naltako immediately for in-depth advice and to choose the products best suited to your needs.