SUCCESS STORIES
A global medical technology manufacturer operating a high-volume distribution facility was experiencing growing pressure to improve warehouse productivity and space utilization as order volumes increased. The facility handled a complex SKU mix that included both batch-controlled and serial-controlled inventory, creating operational challenges within the picking process. As growth continued, leadership recognized that the existing slotting strategy and storage configuration were no longer optimized for efficiency. The organization partnered with Alpine Supply Chain Solutions to conduct a Storage Type Analysis (STA) and slotting optimization project to improve rack utilization, streamline picking workflows, and reduce labor costs associated with inefficient travel throughout
The warehouse struggled with inefficient slotting practices that increased picker travel, inconsistent replenishment, and underutilized storage space. Batch-controlled inventory was stored throughout the facility without a standardized structure, while serial-controlled items added further complexity to storage decisions. As order volumes grew, the organization needed a more efficient slotting strategy to improve productivity and support future growth.
Alpine Supply Chain Solutions conducted a Storage Type Analysis to determine the optimal storage configurations and develop a structured slotting strategy tailored to the client’s inventory profile. The team established standardized rules for batch- and serial-controlled SKUs, optimized forward pick locations, and evaluated six different slotting scenarios to identify the most effective approach. The final design improved pick paths, replenishment workflows, and overall warehouse organization while maximizing storage utilization.
The optimized slotting strategy is projected to generate $300,000–$600,000 in annual picking labor savings by reducing travel distance and improving picker productivity. Even after accounting for additional replenishment labor, the company expects net annual savings of $150,000–$450,000. The redesigned warehouse layout also provides a scalable foundation for continued growth, with more efficient storage utilization and streamlined warehouse operations.
