Five More Ways to Reduce Costs in Your Warehouse

Reducing costs in the current financial climate is a constant challenge for warehouse operators.

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Identifying needs and potential improvements involves an analysis of layout, space, staff productivity freight analysis and systems. The required outcomes should include lowering costs per order, increasing storage capacity by improving inbound and outbound freight, thus impacting turnaround, and improving customer service.

So where can we begin?


The first port of call should be a look at your regular costs. This will involve a look through your own order book and a look at your suppliers’ invoices. By regularly changing suppliers, or at least challenging them to bid again for your contract, you will be more likely to keep costs at their current levels and may even see a saving.

Racking is a key component in any warehouse and is important in maximising space. This an area where a change of supplier may be vital. Industrial Shelving in Ireland has a market leader in

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When checking the efficiency of your storage space, the impact of technology is an area to be assessed. Recent years have seen developments not only in software for tracking goods but also in machinery used within the industry. All of the tasks in a warehouse carry their own costs, and ageing machinery can be costly to operate. Capital investment where possible can be a money-saver, particularly on the technological side of operations.

Continuous Assessment

An ROI analysis could involve looking at the costs and benefits of automation. Using the wrong handling equipment can lead to inefficiencies and increased costs. Continuously assessing your investment requirements can reduce costs, as can reducing waste in inventory and wasted time moving old inventory. Advice on latest trends can be found via the industry trade body, the Chartered Institute of Logistics and Transport.

Energy Saving

Some of the simplest solutions are the most obvious. If you do not want to be the last person leaving the building, turning out the lights for good, then check your energy bills. Switching suppliers will almost certainly save money if you have not done so in recent years. Also check how you are lighting the space. Energy-saving bulbs and timers will cut costs.

Listen to Employees

Workers’ suggestions can reveal cost-saving ideas, so be prepared to listen.