You Say You Need A Bigger Warehouse?

If you think you need a bigger warehouse, you are not alone. Seventy-one-percent of warehouse operators responding to an April 2014 Motorola Solutions survey have  their sights set on expanding warehouse operations. Thirty-five-percents of respondents say they want either more warehouse space or more loctions, while 38 percent want to expand the size of their existing warehouses.

Why the need for bigger warehouse and/or more space? First, the economy is picking up in some sectors. Manufacturing activity increased in March and April 2014, trucking companies are reporting a noticeable uptick in demand, consumer confidence is improving ( and that means spending), and car sales are up.

Second,the retail shift to e-commerce engenders need for monster warehouses, and more than a few one-mollion-square-foot behemont projects are currently underway in the United States. But even if you are not an e-commerce Godzilla, your customers are likely just as impatients and demanding.More transactions and market growth mean you need more warehouse space. Add the growing number of SKUs in many sectors, demand from finance folks for faster inventory turns, and better reverse logistics performance, and they you are.


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