When considering general management in a small to medium-sized commercial enterprise, one of the typical considerations facing executive staff is the requirement to ‘wear many hats.’
Larger concerns mean that managerial tasks become more specialist, and the key departments – sales, accounts, marketing, and engineering – are overseen by departmental managers who are qualified in a specific business function.
For the smaller-scale operation, multiple departments may be overseen by one or more general managers. With increasing importance being placed on key performance indicators such as operating efficiency and environmental regulations, the management of warehousing and factory production floors is fast becoming a specialist area.
Here are some general guidelines for a general manager tasked with the oversight of a small warehouse.
The considerations of warehouse management
Unlike sales and accounts, the warehouse is not a ‘forward facing’ department. In other words, it operates behind the scenes and is generally not visible to the customer. It does, however, play a vital role in the supply of a product or service, and ultimately customer satisfaction.
Good warehouse management begins with assessing some broader key issues, and ensuring some fundamental factors are firmly in place.
Optimizing warehouse space
The warehouse can be a busy place. Dependent upon the type of industry, it also bears the potential to be messy or cluttered. Planning the layout of the warehouse is the first step. The warehouse can be broadly broken down into component areas – storage, product handling, outbound shipping, and goods reception being primary elements.
Optimal use of available space becomes important for two reasons:
- Reduction of operating overheads: Floor space can be expensive, and the warehouse environment is typically the main area where space management is critical.
- Inefficiencies in the layout of key component areas can ultimately result in increased turnaround times for fulfilling customer orders. Warehouse staff must be able to efficiently access things like inventory shelves and goods inbound/outbound areas.
Managing waste by-product
Dependent upon the type of industry, waste by-products can be significant, both in terms of their amount and their sheer volume. A good waste management plan needs to be considered – where are waste materials stored prior to disposal? Precious floor space can be taken up with “dead products” such as cardboard, plastic, and metal waste. This also has the further potential to limit staff movement around such obstacles, with a resultant decrease in order fulfillment times.
A good service provider can assist with expert advice on plant and equipment like recycling balers, factory waste storage units, and waste disposal.
Health and safety
Once again, of all the key departments involved in a commercial process, it is the warehouse that is fraught with the most worker health and safety concerns.
Employee downtime and financial costs of worker injuries and subsequent worker’s compensation claims can be significant, especially for a smaller scale business.
Considerations of meeting mandatory safety requirements – provision of things like first aid kits, PPE, fire extinguishers, safety signage, and emergency exit egress, must all be considered.
For more complex situations, a consultation or visit by an OHS professional should be considered, to ensure all bases are covered and all relevant health and safety requirements are met.
Summary
For the general manager, the effective oversight of a company warehouse is no small task. Begin with the basic considerations, and ensure regular checks in the form of a site inspection or audit are carried out to ensure the warehouse adheres to laid down work practices.
