Warehouse Operations Simplified

Warehouse management

Storage Systems & Types
Knowledge Series

Storage Systems & Types

The term “Storage” refers to the physical act of storing the materials or stock in a warehouse, on pallets, shelves, racks, boxes, bins etc. with the objective of retrieving them later for issue or dispatch to the customer or internally. Warehouses have secured spaces where inventory is stored before shipping it out to the end customers. A warehouse gives better control over the inventory and ensures that customers receive on-time delivery of products, ultimately leading to higher profits. Warehouses may employ either one or a combination of different types of warehouse storage systems. Depending on the system’s efficiency, warehouses can greatly improve the order fulfillment and picking processes. An organized storage system is also the key to promoting a safer workplace environment. It helps in avoiding any potential hazards that may endanger warehouse employees as they handle heavy machinery and move about the warehouse. What is a warehouse storage system? A warehouse storage system is a set of physical structures used to store goods in an organized and efficient manner. It helps businesses optimize their space, improve inventory management, and streamline order fulfillment. Warehouse storage systems come in a variety of types, each with its own advantages and disadvantages. Warehouse storage solutions play a crucial role in the success of any business that handles physical goods. They provide a structured and organized approach to storing inventory, ensuring that products are easily accessible, protected from damage, and efficiently managed. Objectives of Storage The main objectives of storage are: Warehouse Storage Methods Warehouse storage methods are the strategies and techniques used to organize, store, and manage inventory within a warehouse facility. Effective warehouse storage methods are crucial for optimizing space utilization, enhancing inventory management, and streamlining order fulfillment processes. Loose Storage can be in silos, in piles, on the floor or in the yard. Binned Storage A bin is a receptacle in which materials are kept. Block Stacking The materials, usually in containers are stacked on top of one another till a maximum safe height. Shelving Materials are stored on shelves. Racking This is often used to store palletized goods. One pallet is stored on the stacking side of the rack. If forklifts are used racks can go up to 30 feet and if overhead stacker cranes are used, racks can even go up to 60 feet. Types of warehouse Storage Equipments Warehouse storage equipment is an essential component of any warehouse operation, enabling efficient storage, organization, and retrieval of inventory. The type of equipment used depends on the specific needs of the warehouse, such as the type of products being stored, the volume of inventory, and the desired level of automation. Some of the types of warehouse storage equipment generally used are – Concrete Pigeonholes These are used for bulk storage of heavy items, particularly in the receiving section. This method is used for storing paper items, bulky packages etc. The pigeonhole sizes may vary from 2’x2’x2’ to 4’x4’x4’. Wooden Shelves These can be built to various sizes. They are normally cheap and light in weight. However, they are not durable. Steel Shelves (Closed or Open) These are widely used, can be built to any required dimension and are durable. There is complete flexibility, interchangeability and adaptability. Steel Cupboards These are used for keeping expensive or attractive materials. Steel Bins A bin is a compartment or pigeonhole that is fitted with a bin front. Different sizes are available and are used for storing hardware items, ball bearings, metal parts etc. Bins give protection to materials from dust and dirt. Slotted Angle Shelves Some racks have slotted angles. The angles have holes all along their length, and the shelves can be fixed at any point desired, truly providing flexibility to the gap between two shelves. The cross members can be changed to a different position. Flexibility and durability are the characteristics of these types of shelves. Boltless Shelves This is a slight variation of slotted angle shelves. Here, instead of holes that enable two bars to be bolted together, there are pockets into which a short bolt can slide into the upper bar. Such shelves are used generally for heavy parts and can be erected to a tall height. Light duty cantilever shelving Shelving is supported on steel cantilever arms, which pass through central steel uprights. Shelf levels are adjustable. Long span adjustable shelving These are designed to meet span requirements exceeding 900mm and load up to 500kg per shelf. Mobile storage bins The racks or bins themselves are made to move. Usually, the bins move upon fixed rails. In some cases, bins are capable of free movement. One end of the rack is mounted on wheels and the opposite end is on stands. The end with the stands is hooked to a forklift truck. Tote Pans These are unit containers. They not only provide an improved storage factor, but also facilitate counting, dispensing, handling, checking and issue. Warehouse Racking Warehouse racking is a type of storage system used to organize and store goods within a warehouse facility. It is a crucial component of warehouse operations, as it enables efficient storage, organization, and retrieval of inventory. Warehouse racking systems come in various types and configurations to suit different product types, storage capacity requirements, and warehouse layouts design. Warehouse storage racks are essential components in optimizing warehouse space and facilitating efficient inventory management. Racking Racks are of two types – racks for string raw materials such as sheets, bars, sections, or rolls of materials; and racks for storing unit storage equipment, including pallets, tore pans etc. Roll-through Racking Racks are filled with rollers on which the goods rest. The goods enter through one face of the rack and then exit from the opposite side, which is inclined with respect to the stacking face. Drive-through Racking Goods are stored in depth in high racks up to 30 feet and the forklift can go through the racks and pick up pallets from where they are stored at heights. Mobile Racking Racks are mounted on rollers and are moved to make

Knowledge Series

Comingling Inventory Holding

The concept of commingling inventory in multi-tenant warehousing has gained traction as a cost-effective and efficient solution for third-party logistics (3PL) providers. Commingling, or mixing, inventory from different clients within the same storage space, allows for better space utilization and operational flexibility. However, while this approach offers significant advantages, it also presents several challenges and regulatory hurdles, particularly in regions like India. Understanding Commingling of Inventory Commingling inventory involves storing products from multiple clients together in the same warehouse location, as opposed to segregating each client’s inventory into distinct, designated areas. This method can reduce storage costs, enhance space utilization, and streamline warehouse operations, making it an attractive option for 3PL companies managing large and diverse inventories. Challenges Faced by 3PL Companies Despite its advantages, adopting a commingled inventory model is not without its challenges. 3PL companies must navigate several operational and strategic hurdles to successfully implement this approach. Healthcare and Pharmaceuticals: One of the primary concerns with commingled inventory is maintaining accurate records. Ensuring that each item is correctly attributed to its respective client is crucial. Advanced Warehouse Management Systems (WMS) with robust barcode scanning and RFID technology are essential to avoid errors in inventory tracking. Product Compatibility and Safety: Not all products can be safely stored together. Perishable goods, hazardous materials, and items with specific storage requirements (like temperature control) must be carefully managed to prevent cross-contamination and ensure compliance with safety standards. Client Trust and Transparency: Clients may be wary of commingling due to fears of inventory loss, damage, or misallocation. Building and maintaining trust through transparent processes, regular audits, and clear communication is vital. Ensuring clients that their products are managed with the utmost care and accuracy is essential for gaining and retaining their business. Complexity in Order Fulfillment: Commingled inventory can complicate the order fulfillment process. Picking, packing, and shipping items from different clients within the same space require meticulous attention to detail and efficient processes to avoid errors and delays. Complexity in Order Fulfillment: Commingled inventory can complicate the order fulfillment process. Picking, packing, and shipping items from different clients within the same space require meticulous attention to detail and efficient processes to avoid errors and delays. Customization and Client-Specific Requirements: Different clients may have unique handling and storage requirements. Meeting these needs within a commingled environment can be challenging, necessitating flexible WMS capabilities and adaptable operational procedures. Availability of space when needed: While commingled inventory holding in multi-client warehousing optimizes space, it puts a high onus on space planning per client. If planning is poor, it may result in space being unavailable for a particular client the day its needed to manage a temporary peak. Regulatory Constraints in India In addition to operational challenges, 3PL companies in India must also contend with various regulatory constraints that impact the adoption of commingled warehousing. Goods and Services Tax (GST) Compliance: Under India’s GST regime, maintaining accurate records of inventory for tax purposes is crucial. Commingling inventory can complicate the segregation of taxable items, potentially leading to compliance issues and penalties. Food Safety and Standards Authority of India (FSSAI) Regulations: For 3PL providers handling food products, adhering to FSSAI guidelines is mandatory. These regulations often require strict segregation of different food categories to prevent cross-contamination, making commingling a challenging proposition. Legal Liability and Accountability: In India, 3PL companies must ensure that their warehousing practices comply with legal requirements regarding accountability and liability for lost or damaged goods. Clear contractual agreements and robust insurance coverage are essential to mitigate risks associated with commingled inventory. Customs and Excise Regulations: For companies dealing with imported goods, customs and excise regulations require precise tracking and documentation of inventory. Commingling can complicate the adherence to these regulations, potentially leading to delays and fines. Picking Mistakes to Avoid in Warehouse Management System Avoid common pitfalls to simplify operations and develop your warehouse management system. Read our blog today! Learn More Conclusion While commingling inventory in multi-tenant warehousing offers numerous benefits for 3PL companies, it also presents significant challenges and regulatory constraints. Accurate inventory tracking, client trust, product compatibility, and regulatory compliance are critical factors that must be addressed to successfully implement this model. In India, navigating the complexities of GST compliance, FSSAI regulations, and customs requirements further complicates the adoption of commingled warehousing. For 3PL companies considering this approach, investing in advanced WMS technology, establishing clear and transparent processes, and ensuring robust contractual agreements are essential steps toward overcoming these challenges. By carefully balancing the advantages of commingled inventory with the necessary operational and regulatory safeguards, 3PL providers can enhance their efficiency and competitiveness in the evolving supply chain landscape.

License Plate
Knowledge Series

License Plate

Manual or outdated processes often slow warehouse operations. With evolving technology and a significant shift towards automation, warehouse operators are constantly assessing what additions to implement for increased efficiency. One such process to consider automating is how you scan and track inventory – using license plates. Inventory license plating plays a crucial role in the identification process to mark a pallet or group of materials and products. Warehouse automation is revolutionizing inventory management through the utilization of warehouse license plates (LPNs) within warehouse management systems (WMS).Warehouse automation is revolutionizing inventory management through the utilization of warehouse license plates (LPNs) within warehouse management systems (WMS). A primary benefit of LPN WMS is its ability to move entire pallets or groups of materials without individually scanning each item. This streamlines inventory management, reducing the risk of errors and improving efficiency. WMS LPN systems provide workers with a single scan to track and access critical data, easing the burden of manual data entry and error-prone processes. What is a License Plate? License plating is a barcode reader system that groups together any set of materials or products and marks it with a unique number known as a License Plate Number (LPN). The identifier, called a License Plate Number (LPN), is assigned to a pallet, truck, product set, etc. Moreover, the LPN number can also be assigned to the whole shipment or partial shipment depending on how one wants to receive or deliver the products. The LPN is tracked via barcode or RFID onto an LPN label for a quick, easy scan. As a result, the scan provides all information included in the LPN. Additionally, a single license plate can contain multiple data points, such as: What is lpn in the warehouse? Optimizing efficiency is paramount to ensuring smooth order fulfillment in any warehousing operations. The integration of technology plays a pivotal role in achieving this goal, and Warehouse License Plate Numbers (LPN) have emerged as a cornerstone in this pursuit. LPN warehouses have revolutionized the way inventory is scanned and tracked, introducing a level of precision and accuracy that was previously unattainable. The synergy of LPN barcode scanners and LPN in Warehouse Management Systems (WMS) ensures a seamless and accurate identification process. LPN barcode scanners enable operators to quickly and easily capture LPN data, while LPN in WMS provides a centralized repository for this information. This integrated approach allows for precise marking of pallets and efficient management of materials throughout the warehouse, streamlining operations and enhancing overall productivity. How does License plating help businesses? License plate numbers (LPN’s) help in distinguishing each item for better lot management and traceability, and they also reduce the number of scans required to enter during a transaction. More specifically, license plating can help your businesses be more efficient in multiple ways. Firstly, it enables streamlined inventory management, allowing for easier tracking of items throughout the supply chain. Secondly, it facilitates faster order fulfillment as products can be grouped together and processed as a single unit. Additionally, license plating enhances accuracy in shipping and receiving processes, reducing the risk of errors and minimizing potential delays.  Moreover WMS LPN, it simplifies warehouse operations, making it easier for workers to locate, pick, and pack items. Furthermore, license plating promotes better data visibility and analysis, enabling businesses to make informed decisions and optimize their logistics strategies. Overall, implementing a license plating system in  a warehouse management system can significantly improve your operational efficiency and enhance your overall supply chain management. Role of License plate numbers (LPN) in warehouse Inbound Operations Role of LPN in Outbound operations The LPN Process can be used for internal transfers between the plants or different warehouses. Advantages of using LPN WMS Read More: Barcode scanning an overview

VAS In Warehouse
Knowledge Series

VAS In Warehouse

Value-added services (VAS) in logistics play a crucial role in enhancing customer satisfaction for businesses. They have become an indispensable tool for providing comprehensive benefits. In supply chain management (SCM), warehouse value-added services hold significant importance. These services offer numerous advantages to businesses, such as enhancing efficiency and quality, addressing storage needs, and freeing up time for business expansion. A value-added service (VAS service) extends beyond the typical warehousing scope, encompassing additional services that a warehouse or third-party logistics (3PL) provider can offer to clients, surpassing the standard storage and shipping services. Value addition includes kitting, bundling, re-branding, customization, re-packaging, and work order processing (where components are put together to create a new item). These services are customizable to the client’s needs whether shipping retail goods, perishable cargo or high-tech devices to streamline logistics & reduce costs. Why do you need them? How do VAS help businesses’ supply chains & logistics? Forward-thinking companies leverage their supply chain to gain a competitive edge and market share. Entrepreneurs now widely adopt supply chain excellence as a vital business strategy. To stay ahead and outperform competitors, businesses must revamp traditional supply chains. This presents an opportunity for specialists to propose VAS solutions, driving accelerated supply chain innovation. Increased price wars and competition Outsourcing Complex & shortened Product lifecycles Types of VAS Cross Docking Transloading Palletizing Kitting Returns processing Labelling Repacking Postponement services Sorting & Inspection Benefits of VAS Flexibility Quality Ease of integration Closing Thoughts

Knowledge Series

Understanding Different Inventory Types in Warehousing

In modern warehousing, inventory isn’t just about boxes on racks — it’s about the type of inventory and the specific controls needed to manage each efficiently. Each inventory type comes with its own set of handling, tracking, and compliance requirements. Here’s a quick breakdown of the most common types and how they are typically managed: 1. Regular Inventory What it is:Standard inventory with no special controls — commonly used in general merchandise, retail, or industrial supplies.Handling Peculiarities: 2. Batch-Controlled Inventory What it is:Inventory tied to specific batches or lots produced or received together. Common in pharma, food, and chemicals.Handling Peculiarities: 3. Expiry-Controlled Inventory What it is:Inventory with a defined expiration date, beyond which it becomes unsellable or unsafe. Handling Peculiarities: 4. Serial-Controlled Inventory What it is:Each item is uniquely identified by a serial number. Tracking happens at the individual unit level. Handling Peculiarities: 5. Condition-Controlled Inventory What it is:Inventory stored or handled under specific environmental conditions like temperature, humidity, etc. Handling Peculiarities: 6. Returns & Reverse Inventory What it is:Returned or rejected inventory awaiting inspection, refurbishment, restocking, or disposal. Handling Peculiarities: 7. Quality Hold / Quarantine Inventory What it is:Inventory under inspection or pending approval before it’s made available for sale or production. Handling Peculiarities: 7. Quality Hold / Quarantine Inventory What it is:Inventory under inspection or pending approval before it’s made available for sale or production. Handling Peculiarities: Inventory Allocation / Reservations Covers inventory that is: Picking Mistakes to Avoid in Warehouse Management System Avoid common pitfalls to simplify operations and develop your warehouse management system. Read our blog today! Learn More Conclusion Understanding the nuances of different inventory types is critical for optimizing warehouse operations, ensuring regulatory compliance, and enhancing overall supply chain efficiency. Whether managing batch-controlled pharmaceuticals, serial-tracked electronics, or condition-sensitive perishables, each type requires tailored handling and system capabilities. By aligning inventory strategies with the specific characteristics of each category, businesses can achieve greater accuracy, traceability, and responsiveness — all essential for staying competitive in today’s fast-paced market.

KPIs for Warehouse
Knowledge Series

KPIs for Warehouse

A warehouse runs smoothly when it handles incoming and outgoing goods, manages inventory well, and keeps operational costs low. Warehouse Key Performance Indicators (KPIs) help measure performance, find areas to improve, and make smart decisions. This article breaks down crucial Warehouse Management KPIs, organizing them into sections for inbound, outbound, and inventory management. In this article, we will discuss the various KPIs to monitor for warehouse operations and categorize them into inbound, outbound, and inventory management sections. What Are Warehouse KPIs? Warehouse key performance indicators mainly focus on the efficiency of receiving and shipping inventory, along with the accuracy and speed of these operations. These metrics provide a clear overview for management, showcasing the warehouse’s performance trends and indicating whether progress is aligned with broader organizational objectives. Key Performance Indicators (KPIs) for warehouses offer comprehensive insights into inventory status and overall warehouse performance. However, with numerous warehouse operations, manually tracking everything becomes challenging. Warehouse management systems play a crucial role in identifying specific KPIs that require close monitoring, ensuring efficient measurement of productivity and effectiveness. Benefits of Warehouse Management KPIs Tips on KPIs For Warehouse Selecting the right KPIs: Monitoring and analyzing KPIs: Taking action based on KPI insights: Best Practices For Warehouse Key Performance Indicators Inbound KPIs Receiving efficiency: Measures the time taken to unload, inspect, and put away incoming shipments. Dock-to-stock time: Measures the time taken from when a shipment arrives at the dock to when it is put away in its designated location. Put-away accuracy: Measures the number of items put away correctly in their designated location, without any discrepancies or errors. Receiving accuracy: Measures the number of items received correctly, without any discrepancies or errors. Order fill rate: Measures the percentage of orders that are accurately filled on the first attempt. Outbound KPIs Order picking accuracy: Measures the percentage of orders that are accurately picked and shipped to customers. Order cycle time: Measures the time taken from when an order is received to when it is shipped to the customer. Order lead time: Measures the time taken from when an order is placed to when it is delivered to the customer. Shipping accuracy: Measures the number of items shipped accurately, without any discrepancies or errors. Order delivery performance: Measures the percentage of orders that are delivered on time. Inventory Management KPIs Inventory accuracy: Measures the percentage of inventory that is accurately accounted for in the warehouse. Stockout rate: Measures the percentage of times that items are out of stock when a customer places an order. Carrying cost of inventory: Measures the cost of holding inventory in the warehouse, including storage, insurance, and handling costs. Inventory turnover: Measures how often inventory is sold and replaced over a given period of time. Obsolete inventory: Measures the percentage of inventory that has not been sold within a given period of time. Suitability of KPIs for Different Scale of Operations The KPIs that are suitable for warehouse operations depend on the scale of the operation. For small-scale operations, KPIs such as dock-to-stock time, order fill rate, and order picking accuracy are important to ensure that shipments are received and sent out efficiently and accurately. For medium-sized operations, KPIs such as inventory accuracy, stockout rate, and inventory turnover become more important as inventory management becomes a critical factor in maintaining profitability. For large-scale operations, KPIs such as order cycle time, order lead time, and carrying cost of inventory become more important as operational costs increase and efficient management of inbound and outbound flows becomes critical. Conclusion KPIs provide a valuable way to measure warehouse performance and identify areas for improvement. The KPIs to monitor for warehouse operations can be categorized into inbound, outbound, and inventory management sections. The suitability of these KPIs for different scales of operations depends on the specific needs of the operation. By monitoring and optimizing these KPIs, warehouse operations can achieve improved efficiency, profitability, and customer satisfaction.

Knowledge Series

Negative Inventory in Warehousing Systems

Effective inventory management is crucial for any warehouse, ensuring adequate stocks of raw materials, accessories, equipment, and finished products. However, improper inventory management can lead to negative inventory, a condition where inventory levels drop below zero, causing significant issues for warehousing operations. What is Negative Inventory? Negative inventory means that your inventory records show less than zero stock for an item. While it is impossible to physically have less than zero of an item, negative inventory appears in your system due to errors or poor inventory management practices. This issue can disrupt operations, delay deliveries, and lead to dissatisfied customers. Causes of Negative Inventory Impacts of Negative Inventory Negative inventory can severely impact warehouse operations: Preventing Negative Inventory Proactive measures are essential to prevent negative inventory: Picking Mistakes to Avoid in Warehouse Management System Avoid common pitfalls to simplify operations and develop your warehouse management system. Read our blog today! Learn More Conclusion Managing negative inventory effectively is crucial for maintaining smooth warehouse operations and ensuring customer satisfaction. Implementing robust WMS systems, identifying and addressing problem areas, and conducting regular audits can help prevent negative inventory. By taking proactive measures, warehouses can maintain accurate inventory records, reduce costs, and enhance overall efficiency. Ready to improve your inventory management? Schedule a demo with our WMS solution to see how it can help you avoid negative inventory and boost your operational efficiency.

Knowledge Series

Freedom from Expiry Losses: How WMS Protects Your Margins and Your Brand

Expiry losses don’t just eat into profits—they silently erode customer trust and brand reputation. Whether you’re in FMCG, pharmaceuticals, or food & beverage, the clock is always ticking on your inventory. This Independence Month, let’s talk about achieving true azaadi from expiry-related losses. The Hidden Cost of Expiry Losses Why Expiry Losses Happen How a WMS Delivers Freedom from Expiry Losses Example A large dairy distribution center implemented WMS with FEFO logic. Within 3 months, they reduced expiry write-offs by 72%, turning what used to be a ₹20 lakh quarterly loss into additional profits. Don’t let your margins expire. With the right WMS, every day is a day closer to azaadi from waste. Learn More Conclusion Expiry losses may feel inevitable, but with the right systems in place, they’re entirely preventable. A modern WMS doesn’t just safeguard your inventory—it safeguards your profits, your brand reputation, and your customer trust. By embracing batch tracking, FEFO automation, and proactive expiry alerts, businesses can transform what was once a recurring loss into a competitive advantage. This Independence Month, take a step towards true freedom—freedom from waste, freedom from shrinking margins, and freedom to grow with confidence. Take the first step towards azaadi from expiry losses. Connect with us to see how a smart WMS can protect your margins and your brand.

Knowledge Series

Warehouse Capacity Planning: The Blueprint for Scalable and Efficient Operations

Capacity planning is one of the most critical aspects of warehouse management. Done well, it ensures that space, manpower, material handling equipment (MHEs), and storage systems are aligned with business demand. Good planning prevents bottlenecks, reduces costs, and improves service levels. 1. Key Planning Points 2. Input Parameters to Consider 3. Steps for Effective Capacity Planning Set your warehouse goals with seamless planning with us. Learn More 4. Infographic Concept Imagine four interconnected circles labeled: These circles are linked to input parameters like Inventory Holding, Product Types, and Demand Patterns. At the center is “Warehouse Efficiency”, showing that balanced planning across all four leads to optimal operations. Conclusion Warehouse capacity planning is not a one-time activity, it’s an ongoing discipline. By aligning resources with both steady demand and peak surges, businesses can: In short, a well-planned warehouse today is your best insurance against tomorrow’s unpredictability.

Knowledge Series

Step-by-Step Manual for Multi-Warehouse Capacity Planning & Design

Managing multiple warehouses efficiently isn’t just about space—it’s about strategy. Are your facilities designed to scale with demand or slowing your growth? 1. Define goals & constraints 2. Gather baseline data 3. Segment & assign roles 4. Forecast & model variability Set a robust strategy for your mutli-warehouses with Pyrops WMS. Learn More 5. Design network & policies 6. Space & layout planning 7. Manpower & MHE planning 8. Technology stack 9. Processes & SOPs 10. Simulation & costing 11. Implementation & change management 12. Governance & scaling When to call in experts Words of Caution Breadcrumb: get help early If you have multiple warehouses, high SKU complexity, or aggressive SLAs, arrange a professional warehouse-capacity and network review now — it pays back in avoided disruption and faster growth.

Pyrops® WMS is a warehouse management software designed, developed, and implemented by Precision Pyramid Private Limited.

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