Warehouse Startup Checklist [PDF]

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CHECK IT OUT Warehouse Start-Up Checklist This checklist is designed to provide reminders to help ensure that nothing is overlooked during the busy time before you open a new facility. We would never suggest that this is a complete list. We hope that each user will consider it as a starter and will add additional checkpoints to cover specific features of your own operation.



1. Personnel Administration † Is the application form used for hiring thorough and in compliance with Federal and local law? † Are adequate personnel available to carefully and thoroughly interview each job applicant? † Has a company doctor been selected to perform physical examinations for each new person hired? † Has a personnel manual been prepared to explain responsibilities, benefits, and personnel procedures? † Has a detailed training program been prepared for both warehousing and clerical personnel? † Who will supervise the training? Is an adequate cadre of experienced people available to train the new people in the new operation? † Are all supervisory personnel hired and already in place before hiring hourly people? † What checking procedures are available to detect problems with substance abuse, dishonesty, or credit problems of job applicants? 2. Receiving † Has a detailed procedure been prepared for receiving of freight? Is a manifest or other form designed to cover receiving? Will bar coding be used to identify received materials correctly? † What procedure will be used for shipments that arrive without manifests or without any advance notification of what is in the load? † What procedure is established to handle overages, shortage, and damage (OS&D)? Who will be responsible for checking OS&D reports? Who will be responsible for checking the accuracy of each receipt? † What procedure will be followed to document the time that each vehicle is held at the dock in order to approve or dispute carrier detention charges? † What procedure variations will be established for receipt of merchandise returned by customers? † How will receiving reports and other reports fro the receiving dock be routed through the warehouse office?



† If lot numbers are used, how will they be assigned at the receiving dock? † When products are palletized at the receiving dock, what pallet pattern will be used? What control will be exercised to be sure that all product is palletized according to the prescribed pattern? † How will storage location be determined when goods are received at the dock? † As merchandise is staged to be moved to storage, how will stacking limitations, stock rotation and other storage specifications be communicated? † If a locator system is used, what checks will be made to be sure that the product is actually stored where ordered? † Has an appointment procedure for inbound carriers been established? How will it be enforced? † Do all inventory procedures go as far as they could to prevent fraud or dishonesty in receiving? 3. Shipping † Has a detailed shipping procedure been prepared? † Will there be a priority system for handling of outbound orders? † What checking procedure will be established to insure accuracy in shipping? † Has an appointment procedure for outbound carriers been established? How will it be enforced? † What procedure will be followed for including a manifest or load plan with the outbound shipment? † Will these documents be sent with the freight or mailed separately? † Will special procedures be developed for shipping hazardous products, freezable merchandise, or other goods requiring special treatment in transit? † Do all inventory procedures go as far as they could to prevent fraud or dishonesty in shipping?



CHECK IT OUT 4. Materials Handling Operations † Will forklift trucks or other mobile equipment be owned or leased? † Are the specifications for this equipment appropriate for the new warehouse operation? † Will aisle turning radius be adequate? Are lift heights adequate? † Is each piece of mobile equipment properly identified, equipped with an hour meter, and covered by a thorough preventive maintenance procedure? † If used equipment will be acquired, is all of it in perfect operating condition? † Is there a training procedure to orient equipment operators on safety, preventive maintenance, and productive use of the equipment? † Is storage equipment adequate to save space, allow proper control, and to maximize cube utilization in the new building? † In storage equipment, what mix of pallet rack, drive-in rack, drive-through rack, flow rack, self supporting pallet rack, or other materials will be used? † Has all rack been carefully installed and lag bolted to the warehouse floor? † Is there a training procedure to protect against abuse of storage rack through careless handling? † Have the safety hazards for each piece of mobile and storage equipment been determined and properly communicated in personnel training procedures? † Are records adequate to record the age, maintenance cost and maintenance cost per year for each piece of equipment used in the warehouse? 5. Use of Space † Will one person be designated as a space planner? † What space planning procedures will be followed? † Which merchandise, if any, must be controlled on a first-in-first-out basis? † Has a detailed layout for the warehouse been prepared and checked? † Has the layout been reconciled with the types of storage and handling equipment that will be used? † Has the layout been reconciled with existing fire regulations, floor load limits, and safety procedures? † What procedures will be followed to enforce proper storage procedures, including maintenance



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of integrity of aisles, housekeeping, and stacking limitations? What procedures will be used to minimize space losses though honeycombing? Is the location, width and number of aisles adequate to allow effective storage and movement of all materials? Is adequate space provided for staging of inbound and outbound freight? Are storage pallets of uniform specification, in good repair, and in sufficient quantity to hold the planned inventory? Where will surplus pallets be stored? Is storage of surplus pallets in compliance with fire regulation? Will storage locations be random, fixed, or a combination of the two? Will a pick line be used for all or a portion of the inventory? Do you know how many units of product can be stored in your new warehouse? Will you have a means of determining the percent of capacity occupied at any given time?



6. Sanitation, Security and Safety † Has a detailed housekeeping procedure been prepared? † Do you know which stockkeeping units, if any, are subject to inspection by the Food and Drug Administration (FDA)? † If a portion of the product is FDA controlled, do you know FDA’s requirements for safe storage of this product? † Will one member of the warehouse staff be specifically assigned to sanitation maintenance? Will that individual also be responsible for safety and security? † Has a professional sanitation and pest control service been retained? † Have specific training procedures for sanitation maintenance been established? † Will an independent sanitation inspection service be retained? † Is there a specific safety and accident prevention training program? † Is there a procedure for checking the percentage of lost time accidents to total hours worked and comparing the safety record with other operations?



CHECK IT OUT † Have the safety hazards of all equipment been identified and made part of the training program? † Have all appropriate safety devices been acquired and put into place with proper training for their use? † Have any safety guards or other safety devices been deactivated for any reason? † Have you anticipated all the ways in which equipment or tools might be used in an unsafe manner? † Have refueling procedures been reviewed from the standpoint of safety? † Have all warehouse operations procedures been reviewed from the standpoint of safety? † Have all warehouse operations procedures been reviewed by insurance underwriting inspectors to check on fire safety? † Is a no smoking policy strictly enforced? If not, where are exceptions made? † Are hazardous materials segregated from other materials? † Who will be responsible for maintenance of loss prevention inspection reports and compliance with inspecting authorities?



† What specific procedures will be established to maintain or improve plant security? † Will random unloading and reloading of outbound shipments be performed? If so, how frequently will random checks be made?99 † Will check weighing procedures be established to prevent deliberate overloading of outbound vehicles or under-receiving of inbounds? † How and when will physical counting procedures be used to improve security and control? † What procedures will be used to control pilferage? † Do training procedures adequately warn every employee of the consequences of pilferage or theft? † Will undercover procedures be used to detect dishonesty? † What procedures will be used to prevent unauthorized people from entering into parking lots, grounds, or other outdoor property adjacent to the warehouse facility? † How will lighting be used to discourage unauthorized entry? † What kinds of alarms, watch services, or other procedures will be used to detect unauthorized entry?



This checklist is courtesy of Kenneth B. Ackerman Company, Warehousing Tips, copyright 2002. All rights reserved.