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5 Ways in Which Proper Warehouse Management System is Helpful to Retailers with Limited Floor Space

Floor space utilization becomes very crucial and hectic to people who run businesses in warehouses with limited floor space. This is basically due to ever increasing demand for warehouses space which has attracted an increase in the price rates of warehouses rent. With the above challenge, it becomes important for business owners to find out the best ways of utilizing warehouse space.

This therefore makes it attractive and best decision for business owners to embrace warehouse management system to properly manage their warehouses. This kind of warehouse management will help to solve the problems associated with limited floor space among retailers.

What is warehouse management system?

Warehouse management system refers to the process of ordering, storing and selling off the company’s inventory. All companies will always prefer to have their inventory delivered on time, stored for the shortest time possible depending how many customers turn up to the retailers’ stores to purchase the products.

5 benefits of proper warehouse management system to retailers with limited floor space:

1. Inventory visibility

Warehouses that have this kind of system in place makes it possible for their employees to find any product in their premises in a short time with little search. It becomes so easy for one to locate any item that the retailers customer would like to buy at any moment.

Serving customers in the shortest time possible is always regarded and perceived as quality service based on the customer’s perception. This makes every business setup conscious on how long it takes them to serve a single customer. There is also a possibility that the customer could change his or her mind as regards to his or her order.

2. Inventory accessibility

With proper management of inventory in warehouses, there is an advantage of easy accessibility of products in the warehouse. This is because of the fact that inventory is properly arranged and demarcated based on how the system in place decides to make it. With the challenge of the warehouse having limited floor compared to the plans and activities of the business owners, it becomes necessary to use system that can allow maximum utilization of such a premise.

The possibility of easy accessibility of inventory in the warehouse makes it convenient for the business to operate in premises with limited floor without facing the challenge of locating and getting out any product.

3. Inventory ordering

This kind of management enables the warehouses managers to know the quantity of inventory they need to get and when. Since the retailer is already operating on a limited warehouse floor, it becomes important the they know the best time they can order for their products.

The stakeholders should make sure that they get to know the best days in which they can order for their products. This helps them to avoid any delays in the delivery of their orders which can possibly affect them by running out of stock for certain products.

4. Inventory flow

The advantage of this kind of system is that it enables the retailers to know the products that have got shorter inventory life cycle and those that have longer inventory life cycle. This therefore helps retailers to determine which products should take the bigger percentage of their inventory and those that should take the smaller percentage.

This therefore implies it helps the retailers to know the required quantity of what they need to sell for a given period of time and the quantity required to sustain demand for that particular period of time.


Proper warehouse management system is very important for retailers who operate in premises with limited floor that requires maximum utilization. The system makes it easy for the retailers to run their businesses conveniently with the possibility of avoiding certain challenges that could along the problem of limited floor space. Therefore it is a good idea for retailers operating on limited floor space to embrace this kind of system to minimize or even don away with the challenges of limited floor space.

Interest in getting savvy tips for improving your business efficiency?

I am a student at Bina Nusantara University in the faculty of Business. I am pursuing a bachelor's degree in Business Management and Marketing. My Date and Place of birth is 22-04-1995 and Mbale City respectively. And lastly my country of origin is Uganda.


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