During the process of purchasing and setting up a warehouse the location is probably the hardest and most impactful choice. The regions you are planning to serve are a big part of the decision making progress, but there is more. The factory should be easy attainable for transport, big enough for the goods, have potential to expand etcetera. In this topic you can find some important steps to consider during the selection process of a warehouse.
Availability of skilled labor
To run a warehouse you need skilled employees who are willing to work in your warehouse. This explains why there aren’t many warehouses in areas with a very thin population. The perfect locations can be found in high-density residential areas that have a balanced mix of the skills you might need in the warehouse. Cities with universities and businesses that are related to your discipline are a good starting point for the search of a suitable location for your warehouse.
Zoning plan and degree of usage
There are a lot of external factors that influence your daily operations. It is important to map all these rules and regulations beforehand. Every province or town has its own rules about emission, light pollution and noise levels. A lot of provinces and towns will be unsuitable which will make the selection process easier. One thing you should not forget is the growth of the production of your warehouse. The warehouse should still be within the regulations at her maximum production.
Proximity of transport
Which type of transport will be used most for the transportation of your goods? What are the costs of the different transports? These are all factors that should be taken into consideration in search for the perfect location for your warehouse. Goods that are provided via air and road ask for a location near an airport and a big highway. If a big percentage of the goods are transported via the sea it would be unhandy to locate a warehouse far away from the harbors. Take the proximity of your markets into account and you can start puzzling. With the rising prices of truck shipping and the fluctuating gas price it is recommended to take a look at the different (upcoming) ways of transportation.