How to give every shelf in your warehouse an address.

Why locations matter

If only the person who put an item away knows where it went, every pick depends on that person. Give every storage spot a location code, and anyone on your team can find stock. Your inventory system can then tell them where to look.

Pick a naming scheme and keep it

A common scheme reads from the largest area down to the smallest:

• +Zone, such as A for the main floor
• +Aisle, such as 03
• +Rack or bay, such as 02
• +Shelf level, such as C
• +Bin position, such as 04

That gives a location like A-03-02-C-04. Pad numbers to a fixed width, writing 03 instead of 3, so your locations sort in walking order. A small stockroom may only need aisle, shelf and bin.

Label each location

Put a label on each shelf or bin with the location code in large print and as a barcode. When your team scans the location during put-away and picking, they confirm they're at the right spot.

Decide where things go

• +Put your fastest-moving products closest to your packing area.
• +Keep heavy products on lower shelves.
• +Store one product per bin where you can. Mixed bins lead to mis-picks.
• +Leave some locations empty for new products and overflow.

Set up locations before you move stock

Create the locations in your inventory system first. Then move stock and record each move as you go. If you move stock first and plan to update the system later, you'll spend weeks hunting for it.