With a capacity shortfall hitting the UK, those responsible for warehouse management must look to their IT departments for a smarter approach in 2016. Here’s how warehouse logistics software can help to solve the capacity problem.
The warehousing problem
A study by the United Kingdom Warehousing Association (UKWA) warns that the UK faces both a critical lack of suitable warehouse capacity, and poor development of the space it does have.
According to UKWA, there is a current vacancy rate of only 7.5%, and around half of this is for bespoke ‘build to suit’ units that meet specialist requirements and therefore cannot be used by all companies.
UKWA CEO Peter Ward called on policymakers “to acknowledge the importance of the logistics industry and to deliver policy which allows for the growth of the space required for our industry to continue delivering.”
Kevin Mofid, head of industrial research at Savills, said: “The availability of modern and fit-for-purpose warehouse space has the potential to be a real pinch point for the logistics industry in the coming years.”
New builds not enough
Similarly, surveyor JLL released a report for the third quarter of 2015, which shows no end in sight to the shortage of UK warehousing floor space. Despite a speculative warehouse building spree, the supply of new warehouse space is only enough to last until next June, according to the research.
“The availability of new space has been on a downward trend for the last six years,” Jon Sleeman, Logistics research director, explained in SHD Logistics. With warehouse space running out, logistics managers need another strategy.
How logistics software could help
If warehouse space is going to be limited in the future, it must be utilised in a smarter and more cost-effective way. Warehouse processes need to be as efficient as possible, freeing up time for users and minimising the risk of errors.
This means it’s the perfect opportunity to ditch outdated manual methods of organisation, and allow the IT team to step up and deliver a cutting-edge logistics software solution - one that can transform and grow your business without the need for more warehouse capacity.
Logistics software such as Warehouse Management Systems (WMS) can streamline complex processes across warehouse operations, increasing visibility, driving efficiency and improving customer service. They can even be built to handle multi-warehouse, multi-site and multi-owner logistics operations.
By providing an end-to-end solution to plan, monitor and optimise operations from initial receipt of stock to final delivery, you can ensure your warehouse space is managed in the most effective way possible.
Our logistics management software
At OBS Logistics we know what’s possible, because we’ve helped companies like yours work faster, smarter and more successfully. Our industry-leading warehouse, transport and logistics software has a global customer base, including third-party logistics providers (3PLs), transport companies and hauliers, as well as wholesale distribution firms and leading retailers.
CALIDUS Total Logistics integrates WMS and transport management systems to deliver full supply chain visibility. It also includes electronic proof of delivery, logistics tracking software and CALIDUS Mobile, a mobile dashboard for monitoring KPIs.