Recovering 29% of warehouse space in 8 weeks
We changed the storage system and introduced ABC inventory analysis. The company avoided renting a second warehouse.
In 8 weeks, we saved Metal-Tech Sp. z o.o. from entering a costly lease for a second hall. We demonstrated that 29.4% of the current area was being wasted due to poor item arrangement and old stock. Instead of paying rent, the company regained space for a new laser cutting line.
The challenge
Metal-Tech Sp. z o.o. from near Myślenice was breaking order records, but the 1240 m2 hall was bursting at the seams. Materials were lying in aisles, and warehouse workers lost an average of 14 minutes searching for one pack of profiles. The president, Mariusz, was already planning to sign a lease for a neighboring facility for 14,500 PLN net per month. The problem was that no one knew exactly what was sitting on the racks. Stocks had been frozen since September 2022, and forklift drivers drove chaotically because the heaviest pallets were furthest from the docks.
Our approach
We started work with hard data. We analyzed 423 stock items from the last 14 months of the plant's operation. Facts on the table: we did a full ABC analysis of stocks to check what actually rotates and what only collects dust. Our team of three consultants entered the floor in the second week of January. For 5 days, we observed every forklift movement. We calculated that driving routes were 210 meters too long for every loading. We decided to change the rack layout without buying new equipment.
The solution
We introduced a dynamic storage system for commodity group A. The most frequently used steel elements were moved closest to the dispatch zone. We shifted the main racks by 45 centimeters, which allowed us to create an additional storage aisle. We implemented simple, colored sector markings and kanban cards. Thanks to this, the warehouse worker sees the stock status without going to the computer. We also removed 14 tons of scrap and items that no one had ordered for two years. This freed up space for 47 new pallet positions in the most important part of the hall.
Results
Metal-Tech Sp. z o.o. gave up renting an additional hall, which gave 174,000 PLN in savings per year. We regained 29.4% of space in 8 weeks.
Timeline
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Week 1-2ABC stock analysis and audit of 423 stock items.
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Week 3-5Physical reorganization of racks and cleaning of dead stock.
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Week 6Implementation of kanban system and color coding.
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Week 7-8Efficiency testing and training of 12 warehouse workers.
"We were one step away from signing an expensive lease. Filary Biznesu Consulting showed us that the problem wasn't lack of space, but a mess in the processes. We regained the hall without building a new one."