What are the Ways to Audit the Warehouse?

If you operate and manage a warehouse by your own, it can be an overwhelming task. From inventory to material management, there are several pieces to overlook. Hence, to curtail the stress, one could look forward to doing warehouse auditing in San Diego; it is a predominant task for running a successful supply chain and business. Irrespective of the size of the warehouse, audits are generally time-consuming, but in the long run, it increases efficiency and saves money. In this write-up, you will learn how to audit a warehouse.

What is a warehouse audit?

A warehouse audit is a broad term for conducting an auditing part of a warehouse. Given below are the different types of audits:

  • Inventory audits
  • Policies and procedures audits
  • OSHA audits
  • Shipping and logistics audits
  • Accounting audits

Given below are the ways to audit your warehouse:

  1. Define the needs of the audit

The foremost task you must determine is what is required to be audited. For instance, for a public company, it is the inventory valuation for disclosing financial data, while for a private company, it is the efficiency of the warehouse operations. However, if you are running an ecommerce business, your audits will likely focus on increasing warehouse efficiency. Besides this, if you are new, you will be learning the best warehouse management approaches.

  1. Count physical inventory

Ensure that you have an inventory system for accurate inventory counts that match the quantities in your inventory solutions software. Hence, with proper inventory tracking and forms, you will be able to track problems and track them instantly.

  1. Keep an eye on operations

Observe order fulfillment, warehouse inventory processes, warehouse employees, warehouse quality control, and other parameters such as safety compliance and maximum efficiency.

  1. Talk to workers

Employees who are generally involved in the regular operations of the warehouse most likely know inaccuracies and inefficiencies. Use this opportunity to speak to the workers, find out what can be improved, and find other helpful information about the warehouse. Talk to the workers of all warehouse sections to get valuable feedback about each area.

  1. Analyze inventory data

The warehouse mainly uses software to manage operations, such as a warehouse management system. Use this opportunity to reckon the inventory records to check for fraud and waste, validate transactions, and more.

  1. Evaluate audit results

Once the audit data is collected, you can use methods for modification within your warehouse space. With the collected data, warehouse managers can recommend modifications to increase productivity and efficiency.

  1. Repeat when needed

Make sure to perform warehouse audits at regular intervals to keep your operation up to mark. Depending on the size of your warehouse, audits should be performed on a weekly or quarterly basis.

Hence, these are ways to audit your warehouse for San Diego cross-docking. Besides this, you can take a two-phased approach, i.e., phase one is for assessment by fixing the major issues found by the team, and phase two is the implementation phase by fixing the issues with input from key stakeholders.