Since the start of the year 2023, I, on behalf of CentEx Cargo/STG Logistics, have been transitioning from providing ‘LCL Export Service’ to individual customers to putting the finishing touches on an infrastructure that focuses on warehousing, packaging, and inventory.
The ‘About Us’ section of this blog should give readers an inside look of the vision I had for CentEx Cargo/STG Logistics from the outset. The ability to conceptualize an adequate logistics infrastructure has always been my top priority. This infrastructure had to be accompanied with having the right people and the right tools to meet the needs of business-to-business customers. I can unequivocally say that we, as a company, have successfully moved from providing ‘LCL Export Service’ to individual customers to being in the warehousing business that also entails packaging and inventory. Now that we are where we need to be; what are some of the obligations that we have going forward?
Our first obligation at CentEx Cargo/STG Logistics is to maximize our warehouse space and to make sure the ceilings of our infrastructure are high enough to store customers’ products. Second, it is recommended that our warehouse employees store the oldest products in the front section of each warehouse to assure proper rotation. Products from the inventory department are designated by stock-keeping units (SKU). SKUs contain product numbers, product type, and product descriptions. Our warehouse bays store vertically, keeping like products together and providing room for pallet jacks, forklifts, and Hi-Los to operate. Our continued mission statement is to have one of the most efficient logistics infrastructures in the United States.
The 80/20 rule is common practice in most warehouses. It requires that 20% of the warehouse hold items that constitute 80% of all customer orders. This rule saves warehouse employees time and thereby increases their productivity. Warehouse employees know exactly where 80% of all the products are stored. This crucial piece of information, in turn, facilitates the flow of stock to loading docks where designated truckers are waiting and ready to transport these products to their final destination. FIFO (first in, first out) is also helpful for properly selecting the rotating stock and making sure orders get to customers.
Lastly, I’d like to cover a couple of methods for product inventory and theft prevention on shipping docks. Every warehouse uses some type of inventory control software. That software is capable of tracking the exact number of different types of products. Quantities are an important feature, for they tell manufacturers when they have enough stock to meet orders. Moreover, inventory control is essential to ensure product accuracy. BAR CODE technology is used by warehouse employees to track all inventory. This technology allows them to determine the origin, location, and destination of the products we store. When you move thousands of goods in any warehouse, I strongly suggest that a manager uses ‘RADIO FREQUENCY IDENTIFICATION (RFID). This technology utilizes radio waves to gather information about products and raw materials. It can read from many feet away. Those readers are mounted on warehouse ceilings or walls to scan any items passing by. Manual inventory is still necessary. Some companies conduct physical inventory monthly while others do it every quarter. Human eyes can compliment BAR CODE and RADIO FREQUENCY IDENTIFICATION (RFID) and then make recommendations to IT for their improvement.
How to prevent theft: Leaders of organizations, warehouse managers, and coordinators are responsible for theft prevention. Dishonest people are always looking for opportunities to steal. Shipping docks often provide those opportunities. Products that are temporarily stored on docks tend to be unwatched, and thieves take advantage of that lack of monitoring. They can steal individual products and even take entire pallets of products. High valued products are typically targeted by those thieves. One sure way to stop the urge to steal by some of your co-workers is to give an honest shipping manager a ‘fishbowl office’ with windows that allow unrestricted viewing of all dock happenings. Another way is to restrict shipping dock access. Grant access to Authorized Personnel Only. Doors to shipping docks should be locked with codes, keys, and swipe cards. Time stamps and names are documented every time an employee unlocks a door to a loading dock. A third method of preventing theft involves the use of cameras. Cameras are placed at strategic points so that every inch of the dock is under surveillance 24/7.
A few sections of warehouse operations were intentionally left out for fear of losing a reader’s attention and further discussing other services and your suggestions. Feel free to leave a comment at the bottom of this blog post. 📫
CentEx Cargo/STG Logistics 