Optimization Of Warehouse Inventory Space Using Class Based Storage Method

Management of inventory in the warehouse is one of the key elements in supply chain management. Having an efficient warehouse inventory management system ensures that not only does it operate smoothly but also saves costs. Optimizing space for inventory is one of the major challenges faced by warehouse managers. Warehouse managers must ensure that their limited space is properly organized and utilized. FSN analysis technique, as a result, has become a useful tool for optimizing warehouse inventory space. The items are grouped according to their order patterns through FSN analysis technique. Within high turn over rate are fast moving items, whereas slow-moving items have low turnover rates. Unmoved items are those whose sale or use was not possible over some time duration. The FSN analysis technique helps them to identify slow moving and non-moving products that can either be disposed off or shifted elsewhere so as to make the warehouses more spacious by monitoring different types of goods’ demand behavior. In this project work, we critically evaluate how FSN analysis technique can be used to optimize storeroom stock levels in detail. Therefore, this study involved gathering stock data from a warehouse and categorizing stocks using FSN analysis method. This part provides a detailed examination of application FSN+analysis technique in enhancing storage facility stock optimization through which some inventory data was collected from warehousing process where inventories were classified under ABC:
The study shows significant improvement in warehouse inventory management as a result of implementation of these strategies, which enhanced space utilization and cost savings. The findings showed that warehouse managers used FSN analysis technique to identify 20%of items as slow-moving or non-moving, which occupied 40% of the warehouse space. According to this study, FSN analysis is a powerful v tool for optimizing inventory space in warehouses and improving their efficiency. Warehouse managers can categorize their inventory based on demand patterns to find out items with little movement so that they can come up with measures of proper utilizations of spaces.