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Tuesday, September 30, 2025 at 4:55 PM

How To Conduct an Efficient Warehouse Layout Audit

Learn how to perform a warehouse layout audit in four steps. Boost efficiency, improve safety, and reduce operational costs with our expert guide.
The layout of one corner of a warehouse where workers are moving products. One person is pulling a pallet of boxes.

A warehouse’s layout is an important component of an efficient workspace. When warehouses fail to utilize space efficiently, problems often arise throughout the day. Warehouse managers can fix layout problems, from shipping delays to safety hazards, with an audit to adjust the space and streamline work.

Conducting a warehouse layout audit can help pinpoint areas for improvement, enhance safety, and maximize efficiency in the workplace. The goal of these audits is to transform operations with a layout that supports productivity and growth.

Step 1: Collect and Analyze Data

Before making any physical changes, you need a solid foundation of data. Start by gathering information on your current operations to establish a performance baseline. Look over the order picking accuracy and inventory turnover rate to see how quickly and efficiently items are currently being moved around and out of the warehouse.

Warehouse managers should also check the percentage of warehouse storage capacity being used effectively and the distance employees must travel between picking locations. If not much storage space is used, and employees have to walk far for simple tasks, this can be a sign of a poor warehouse layout.

Step 2: Map the Current Layout

With your data in hand, create a detailed visual map of your existing warehouse layout. This map should include the following key areas and features:

  • Receiving and shipping docks
  • Storage systems for racking and shelving
  • Picking and packing stations
  • Quality control areas
  • Equipment storage and charging stations
  • Aisles and employee walkways

Use this map to trace the flow of goods and people. Follow the journey of a product from its arrival at the receiving dock to its departure. This exercise will visually expose inefficiencies, such as excessive travel paths, congested aisles, or poorly placed workstations that disrupt workflow.

Step 3: Evaluate and Identify Areas for Improvement

Once managers have completed the data analysis on the current layout map, they can pinpoint specific problems. Forklift operators, pickers, and packers have firsthand experience with daily operational challenges, enabling them to contribute to finding practical solutions.

Some common layout problems include poor product placement, inefficient flow, and safety hazards. All these factors combined make it difficult for the team to work effectively and stay safe during the workday. Now, facilities can take the next steps to fix these problems.

Step 4: Design and Implement New Layout

Based on the evaluation, warehouse managers develop a revised layout design that addresses the identified problems. Model different scenarios to determine the most effective configuration. Consider implementing lean principles, such as 5S methodology, to organize workspaces for maximum efficiency and safety.

Managers should create a detailed implementation plan with a clear timeline. To minimize operational disruptions, it is best to schedule changes during off-peak hours or in phases. Clear communication about the reasons for the changes is vital, and companies should provide training on new procedures. This ensures a smooth transition and encourages buy-in from all employees.

Now that the facility has conducted a warehouse layout audit, everyone can work more efficiently. By taking these steps, any business can improve its current layout and make the most of its space. An optimized warehouse is a critical asset for staying competitive and meeting customer demands effectively.


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