Footwear Warehousing: 5 Facts About Improving Efficiency

For 83% of warehouse managers’ their top priority is to lower operations costs. This is not unusual when you consider the massive shift occurring from brick & mortar retail to e-commerce.  The footwear industry is a prime example.  No longer is going to the mall for a pair of shoes a consumer’s first choice.  Many consumers now prefer shopping from the comfort of their home or the convenience of a mobile device.

Online shopping, e-commerce platforms and mobile technology have created a new consumer. Shopping when and where they like, shipping to when and where they need, and having more options than ever before is what they expect. These new elements of omni-channel fulfillment have forced footwear companies to respond with their existing infrastructure to evolve. Here are 5 facts and trends about how warehouse efficiency is growing.

1. Warehouse Management System (WMS) Upgrade: Between 2018 and 2024.  The warehouse management system market is expected to grow by over 14%.
2. Automation: Higher velocity and more pressing demands can all be handled with automation technology.  Tools like pick-to-light, RFID, and pick-to-voice can improve productivity between 30 and 50%.
3. Increase in Supply Chain Visibility: A survey done by Supply Chain Insights reported that within 13 months of acquiring supply chain visibility solutions, 70% of companies achieved a return on their investment.
4. Incentive Pay: With a large portion of warehouse staff having pick and pack responsibilities, an effective bonus or incentive plan can have a tremendous impact to productivity.
5. Optimizing Warehouse Space: A top priority for warehouses is optimizing space.  In 2018, 76% of distribution centers had planned some sort of expansion, this is up from 71% in 2017.

The changing landscape that is reshaping the footwear industry will only continue to become more complex and competitive.  However, with efficient practices and effective processes in place, these new demands can all be met while keeping costs manageable.  Barrett Distribution Centers specializes in supply chain and warehouse management for footwear companies.