Factors Affecting Storage System

Factors affecting storage systems:

l Items attributes in terms of:
- size,
- weight
- dimensions, ,
- fragility
- value
- throughput level
- nature of goods

Considering all these factors, the most suitable storage system can be decided upon, which will ensure security of goods whilst maintaining efficiency of warehouse operations.

l Costs/budgets

Certain storage systems can be quite costly, especially the automated systems. However, it is up to the company to weight out the pros and cons of the storage systems to be adopted, and identify the ROI to see if the storage system implemented is worthwhile.

l Inventory policy

Some companies prefer to keep safety stock to maintain its service level. Others may not believe in keeping safety stock, or has JIT in place. the storage systems used will be determined by quantity of inventory the company wishes to keep in the warehouse.

l Space constraints/considerations

Companies may face space constraints when storing their goods. Thus storage systems play a major role in ensuring effective cubic space utilisation.


With these considerations taken into account, a cost effective and efficient system can be implemented smoothly.