Pyrops WMS

Active Pick Areas and Reserve Storage in Warehousing, Challenges

In the world of modern warehousing, the strategic layout and organization of storage areas play a pivotal role in optimizing operations and improving efficiency. Two key concepts that contribute significantly to this optimization are Active Pick Areas (also known as Pick Faces) and Reserve/Buffer Storage Areas. These distinct storage structures are designed to cater to different operational needs, ensuring a seamless flow of goods and minimizing delays.

Active Pick Area / Pick Faces

An Active Pick Area, often referred to as Pick Faces, is a dedicated section of a warehouse specifically designated for the storage of high-demand, fast-moving goods. This area is strategically located near order picking stations to minimize travel time and maximize the efficiency of the picking process. Items stored in the Active Pick Area are easily accessible, reducing the need for extensive movement within the warehouse.

Why is it needed?

The implementation of an Active Pick Area speeds up order fulfillment by reducing the distance and time required to retrieve frequently ordered products. This not only enhances overall operational efficiency but also improves order accuracy and customer satisfaction.

Suited Operations

Active Pick Areas are best suited for warehouses with a high volume of orders containing common products. Industries such as e-commerce, retail, and distribution centers benefit greatly from this setup, where rapid order fulfillment is crucial.

Reserve/Buffer Storage Area

A Reserve or Buffer Storage Area is a separate zone within the warehouse where excess inventory is stored. Items stored in this area are not intended for immediate picking but serve as a replenishment source for the Active Pick Area. Reserve Storage helps maintain a continuous supply of goods for order picking without overloading the pick area.

Why is it needed?

Reserve/Buffer Storage serves as a backup supply for the Active Pick Area. It prevents stockouts by enabling quick replenishment without interrupting the picking process. This storage strategy ensures that the pick area remains well-stocked and that order fulfillment remains consistent.

Suited Operations

Industries dealing with seasonal fluctuations, varying demand patterns, and products with irregular sales cycles find Reserve Storage particularly advantageous. Manufacturing facilities and industries with customized or made-to-order products can also benefit from this storage arrangement.

Balancing Efficiency and Storage

The synergy between Active Pick Areas and Reserve/Buffer Storage Areas is crucial for maintaining a harmonious balance between operational efficiency and effective inventory management. By strategically placing high-demand items in the Active Pick Area and utilizing the Reserve Storage for excess stock, warehouses can ensure streamlined picking processes while preventing congestion and disorganization.

Setting up a warehouse with an Active Pick Area and Reserve Storage Area offers several advantages, but there are also practical challenges that need to be addressed to ensure the success of this storage strategy. Some of the on-ground challenges include:

Inventory Management Complexity: Managing inventory across two distinct storage areas requires careful coordination. Warehouse managers need robust inventory management systems to track stock levels accurately and ensure seamless replenishment between the Active Pick Area and the Reserve Storage.

Replenishment Timing: Timely replenishment from the Reserve Storage to the Active Pick Area is critical. Delays or inaccuracies in replenishment can lead to stock outs in the pick area, affecting order fulfillment and customer satisfaction.

Stock out Risk: While the Reserve Storage is designed to prevent stock outs, miscalculations or unexpected spikes in demand can still lead to temporary shortages in the Active Pick Area. Balancing the right quantity of stock in each area is a continuous challenge.

Picking Process Efficiency: The success of the Active Pick Area depends on efficient order picking. Inaccurate placement or organization of products in this area can lead to longer pick times and decreased productivity.

Warehouse Layout Optimization: Designing the layout to accommodate both storage areas requires careful planning. Warehouse space should be allocated optimally to ensure efficient movement of goods and minimize travel distances for picking staff.

Staff Training: Warehouse staff must be trained to navigate between the Active Pick Area and the Reserve Storage while following established procedures for picking and replenishment. Adequate training is essential to avoid confusion and errors.

Technology Integration: Implementing technology solutions for inventory tracking, order management, and replenishment coordination is crucial. Integrating these systems seamlessly can be complex and requires careful integration planning.

Order Variability: Warehouses serving diverse customers may encounter challenges in managing varying order sizes and requirements. Adapting to fluctuations in demand while maintaining efficient operations is a balancing act.

To overcome these challenges, warehouses must invest in robust technology solutions, develop effective inventory management strategies, provide ongoing staff training, and continuously monitor and adjust their processes.

In conclusion, the integration of Active Pick Areas and Reserve/Buffer Storage Areas offers a strategic approach to warehouse organization that enhances efficiency, minimizes picking times, and improves inventory management. While Active Pick Areas cater to rapid order fulfillment, Reserve Storage provides a safety net for maintaining optimal stock levels. When implemented according to the specific needs of different industries, these storage strategies can significantly elevate warehousing operations, making them adaptable to evolving demands and ensuring customer satisfaction.