To calculate the ROI in your warehouse, you first need to add up all the costs of running it (e.g., taxes, utilities, and maintenance). Then, when you want to make a change to how you run your warehouse, such as adding warehouse management software or changing your shelving units, simply add up the costs you estimate you’ll incur by making those changes and weigh them against the benefits you expect to enjoy.
By keeping things measurable and only making changes that have profit potential, you can be more successful than if you don’t track costs and other data in the warehouse. Ignorance is not bliss in business.
Last week Fishbowl CMO Kirk Tanner talked about serial number tracking. Come back for another informative episode of Fishbowl’s Whiteboard Wednesday next week right here on the Fishbowl Blog.
Robert Lockard is a copywriter with Fishbowl. He writes for several blogs about inventory management, manufacturing, QuickBooks, and small business. Fishbowl is the #1-requested manufacturing and warehouse management software for QuickBooks users. Robert enjoys running, reading, writing, spending time with his wife and children, and watching movies.