3 Things to Know About Warehouse Storage Racks and the Honeycombing Effect

Designing Warehouse Storage Racks to Minimize the Honeycombing Effect

Warehouse managers balance a lot all at once. One of the more precarious pairings is between inventory storage and handling efficiencies. On the one hand, the goal is to maximize space usage, i.e., position pallets and cases to effectively cube out (minimize unused space) the warehouse. On the other hand, you want well-organized inventory and easy, quick access to reduce the speed and number of touches (times a worker has to move that item). One of the challenges that make this balance so hard to achieve is called the honeycombing effect.

The honeycombing effect is what happens when you’ve created an orderly, single SKU storage area (remember –to minimize touches), but you end up with empty storage spots because of a lack of inventory to fill them. Now, it’s not assumed that a warehouse will be 100% full 100% of the time; however, it’s valuable to focus inventory storage design on achieving as small of a potential for honeycombing as possible. Here are a few ideas to help you do just that. 

Maxing out the Hive & Pez…?

First, let’s consider where you are vulnerable, i.e., what can go wrong in your efforts to maximize cube space while storing inventory efficiently?

• Building – the facility may be too large for the amount of inventory.
• Brainpower  (WMS)- your inventory management team may over or under forecast customer demand.
• Efficient Slotting – the pallet racking and stock positioning may need a fresh look.
• Warehouse Labor Costs – stock replenishment may lag behind picking activities. 

Think of honeycombing as a Pez dispenser. You fill the whole lane up nice and tight, and as you take each piece out, you leave a space at the bottom that needs to be refilled to maximize the space.

If each pallet or case lane is like our Pez dispenser, and we leave 3 or 4 of the 12 potential spots empty, our honeycomb loss of capacity is around 25% – 30% — yikes. With storage space at a premium and the cost for space also at a premium, that’s a costly miss. Let’s look at ways to minimize that cost.

1. Review your warehouse layout to identify underutilized pallet racking and storage areas.
2. Perform a slotting assessment to right-size your storage racks to inventory specs and position inventory in fast-, medium-, and slower-turn zones. Inventory slotting is not a one-off. It should be reviewed every 3 to 6 months, depending on warehouse activity.
3. Consider warehouse storage racks that optimize both floor and vertical space. Note, however, that specialized forklift equipment may be needed to access tall units and/or narrow aisles.
4. High-density solutions for small parts storage and fulfillment.
5. FIFO package and pallet flow to maximize storage of fast-moving SKUs.

Finding the Sweet Spot

The Warehouse Optimizers, Inc (WOI) team has been helping customers configure warehouse space for over two decades. We have industry experts that assess your operation and provide the storage and handling solutions to optimize your space given the inventory specs, workforce, and equipment. We are a leading trusted source in the Southwest region for a reason — our customers trust us because we deliver on our promises.

Contact our team for a free consultation to understand how we can help you achieve your warehousing optimization goals. 

Our goal is 100% customer satisfaction with every WOI project. When you work with WOI, we guarantee to:

1. Listen to your needs
2. Execute your project with special attention to your unique application
3. Stick to project timelines
4. Ensure a safe environment
5. Pay close attention to the detail  of the finished product

That’s the WOI  5-Step Total Satisfaction Experience™ 

To reach an WOI representative today, call (865) 540-4004. We proudly serve customers throughout the Southeast, including KENTUCKY, TENNESSEE, NORTH CAROLINA, ALABAMA, AND FLORIDA.