How to Squeeze 30% More Space from Your Crammed Warehouse
You know the scene:
Forklifts edging around cluttered aisles. Operators dodging pallets stacked too high. Hoping no one trips over the “temporary” storage fix that’s now permanent.
Amid more stock-keeping units (SKUs), faster turnarounds, and unpredictable demands, you do what you can: wedge in another shelf, reshuffle zones, and rent overflow storage. You are papering over the cracks, but the seams are tearing.
What should be your next move?
Space problems plague warehouses across the manufacturing and logistics world. So, in this Verdusco Automation article, we explore:
The warehouse automation solution has proven to solve bottlenecks behind space inefficiencies.
Automation integration services as the backbone of a well-executed automation strategy.
Buckle up!
Reclaim Your Lost Space without Million-dollar Expansions or Tearing Down Walls
A cramped warehouse isn’t just inconvenient. It’s a state where chokes in productivity and safety endangerment collide to slowly bleed your profits dry.
The key to turning the operational headaches of an “overflowed” warehouse into competitive advantages is Autonomous Mobile Robots (AMRs).
Let’s show you how to transform wasted space and inefficient flow with AMRs. No expansion, no chaos. Just optimized, tuned-in floors built to boost performance and ignite growth.
How Autonomous Mobile Robots Free Up Lost Space
Imagine a warehouse that’s 54,000 ft², staffed by 10 workers. Each earns $20/hour and works 2,000 hours per year. Despite being a competent team, 35% of their time (~700 hours/year per worker) is spent on low-value movement. That’s a staggering 7,000 hours/year wasted.
Moreover, erratic pick rates are constant. The cause? Forklifts and decades-old trolleys are in the way, obstructing transit.
Enter warehouse automation.
In the form of AMRs, here’s how it helps you thrive:
Figure 1. Space-saving opportunities brought by autonomous mobile robots (source: Verdusco Automation).
What Is the Financial Advantage of Adopting AMRs?
Beyond reclaiming 30% of the space, warehouse operators gain higher productivity, significant cost savings, and enhanced safety.
Once the workforce is liberated from the strain of repetitive, non-value-added tasks, the warehouse transforms from a bottleneck into a strategic asset, ready to face future demands with resilience.
See the financial incentives from our previous example:
➔ Scenario 1: Higher Storage & Throughput
Reclaimed space: 16,000 ft².
Additional pallets incorporated: 1,200.
Each pallet holds $1,000 worth of goods.
Faster inventory turns (2x/year) = $2.4 million/year in increased inventory capacity.
➔ Scenario 2: Rental Market Equivalent
Urban warehouse rent: $10–$20/ft²/year.
16,000 ft² x $15 average = $240,000/year saved by not leasing additional space.
➔ Scenario 3: Optimized Operational Cost
AMRs cut manual material handling. Redirect those hours toward picking, packing, QC, or equipment monitoring. Or, reduce temp labor altogether. Even reclaiming half the wasted time (3,500 hours x $20/hour) leads to $70,000/year in productivity gains.
Energy-wise, less reliance on forklifts brings savings of around $15k–$30k/year.
Damage reduction from fewer collisions enables 2–5% less
product loss, offering $50k–$200k/year in savings.
Total potential gains: Over $2.5 million/year.
Actual numbers depend on your specific operation, but the trend is clear: automation pays for itself.
Make Every Inch Count with Tailored Automation Integration Services
“The real voyage of discovery consists not in seeking new landscapes, but in having new eyes.” – Marcel Proust.
Automation lets you reimagine your warehouse from the ground up.
Still, navigating the world of warehouse automation can feel daunting, especially for small and mid-sized champions wary of complexity and cost.
This is where Verdusco Automation comes in.
We help you think strategically and craft automation integration services that are laser-focused on your challenges and goals.
For warehouse space optimization, we offer 3 core services that help you get there:
CabraMove AMR Deployment & Integration: Redefine internal transport with flexible, scalable robotic mobility.
Smart Conveyor & Modular Packing Systems: Streamline processes while saving square footage.
Industrial Automation Design: Control your new systems intelligently and in real time.
Contact Verdusco Automation today!
We’ll help you see where the space and the value are hiding.
