Blog

Planning the Logistics of Storage for New Businesses

large storage warehouse

Any business involved in the supply chain requires proper storage of its goods or equipment to provide services. When this logistic concern is improperly addressed, it can lead to a heavy loss of profits and client distrust. A lot of planning and preparation goes into each day of production. To ease the burden on employees and increase efficiency, business owners must consider some proponents that make the venture.

Cold, Wet, or Dry Storage

Entrepreneurs need to be aware of the requirements of their products or equipment. Poor storage can damage their investments and might even make them liable for improper handling if this negligence results in death or injury.

A recent example of this is the explosion in Beirut. It was caused by a company that stored fireworks in a storage facility that was inadequate to bear the heat of the area and insufficient to prevent the incident. This is why it is important to consult with engineers that are knowledgeable regarding the relationship between materials.

Depending on the product, business owners will have to provide an appropriate storage facility- whether the conditions required are cold, wet, or dry. The size of the area also needs to be accounted for, especially with the capital in mind. Furthermore, considering the value of company-owned vehicles, entrepreneurs should look into installing garage doors that can ensure the safety of their assets. This also needs to be included in the calculations for the area and capital requirements of the business.

For example, someone who plans to start a juice production plant will need a dry storage facility to ripen its fruits and a cold storage area to preserve the processed juice. They will also need an unloading and loading area for their trucks to drop off raw materials and collect finished products for delivery. A storage space that is too small for the production plant’s capacity will limit the venture’s profitability.

storage warehouse

Heuristic Paths

If business owners and industrial engineers can determine an efficient production line and delivery route, they will be a more cost and time-efficient option for their clients. This means that they need to design the flow of the process and production plant to minimize backtracking and maximizes the output per station.

Designing a heuristic path for a production line and delivery will decide the location of the storage facilities required by the business. It can also ensure efficient use of the company’s property as it provides the optimal position of all facilities within the area.

Think of it as an assembly line for a car manufacturer. Each part has to be placed before the next, so engineers need to consider the appropriate flow of the production to increase its speed and, hence, its output. At the same time, the fastest delivery route from the supplier to the customer will reduce transportation costs and allow the business to accommodate more clients.

Heuristic paths are not a novel idea. They are usually a rule of thumb when designating roads to make it easier for drivers to follow the rules. It can also help ensure the safety of those involved within the system. However, this method of planning takes time because it considers different possibilities that occur in varying situations, factoring in the steps needed to avoid mishaps and facilitate efficient movement.

Proximity

Similar to how heuristic paths determine the optimal flow of processes in a production line, the proximity of facilities is an important consideration in determining the location of the storage area. For instance, the waste management location should not be placed near a room that handles or stores food products. At the same time, if a storage facility is holding volatile or inflammable components, it should be kept far away from any location that might cause a fire or explosion.

The closeness of a workstation, office, or storage facility to each other can be qualitatively identified using a Muther’s grid. This is a way for engineers and business owners to lay out each location’s needs, risks, and opportunities and determine their ideal proximity to one another. Iterations of these layouts can then be calculated, allowing for a well-planned design for a factory.

Owning a new business means you will have to be responsible for all its assets and how they are handled. If anything goes wrong, you and your company could be held liable; depending on how your venture is registered. To avoid mishaps for the safety of your employees, keep a careful and watchful eye on the design of your establishment.

Share this post on:

Share on facebook
Share on twitter
Share on linkedin
Share on pinterest
Share on tumblr
Share on reddit
Scroll to Top