3PL Selective Racking – The Benefits of Building Up

With the Third-Party Logistics (3PL) industry becoming one of the fastest growing sectors in the supply chain since the beginning of the pandemic, it is important for supply chain managers to understand how beneficial optimizing their facility’s pallet racking storage system can be. Implementing the correct industrial storage system can result in maximized storage space, an efficient workflow, and overall improved business operations now and long into the future.

This client is a premium niche 3PL founded in 2006 that provides customized solutions for their growing network of customers. With services including Freight Management, Distribution Services, Warehousing Solutions to name only a few, they have proven themselves to be one of Canada’s fastest-growing companies, even being named on the Growth 500 list for multiple years. As their customer base has grown, so has their need for maximized storage capacity in their warehouse facilities.

Challenges Faced

This client needed help to expand and upgrade their current storage system. Prior to working with North American Steel, their warehouse facility in Milton, Ontario was not tailored to their business’ expanding needs. While the bulk storage system they initially had in place met their needs at the time, it could not keep up with the growing demands of the business. Their existing bulk storage system left the warehouse with a lot of unused storage space, resulting in a considerable amount of wasted time and operational inefficiency, which ultimately affected their bottom line. With the growth of their 3PL business, they now required over 5,000 individual pallet positions to meet the needs of their clients as well as allow for the continued growth of their business.

Solutions

Through working with North American Steel, the client learned that they had an opportunity to leverage the ceiling height of their warehouse to expand their storage vertically using a selective pallet racking system. They quickly learned the benefits of “building up and not out”, and understood that, with the help of North American Steel, they could significantly increase their amount of storage space without having to acquire an entirely new storage facility. With the rising cost and scarce availability of industrial storage space in Canada, maximizing existing unused storage space by building their storage system vertically made perfect business sense for the client. They required a large number of new pallet positions, as well as a complete reconfiguration and re-engineering for their storage system to utilize the available storage height. The project was a complete overhaul of their current storage system.

Client Testimonial

“We found North American steel to be easy to work with from the inception of the project. They were responsive to our unique needs and changes. The install crew was very knowledgeable and professional. The project started on the day they said it would and finished on time. Very professional team. I would recommend them to anyone looking at any racking projects.”

Results & Impact

The project involved disassembling their current warehouse bulk storage system, and the installation of a newly optimized pallet racking system. With a ceiling height clearance of 32’, North American Steel was able to engineer a pallet racking system with 27’ high frames, making use of as much vertical space as possible in this warehouse. Once completed, this pallet racking system allowed for a significant increase in maximum storage space, meeting the requirements of over 5,000 pallet racking positions, while the selectivity of the new racking system limited the amount of times products had to be touched, minimizing potential product damage and improving overall workflow efficiency.

This project was completed in late December 2021, allowing this 3PL client to start the year with an optimized warehouse pallet racking storage system that would meet their current storage needs, and allow for the continued growth of their business.

Are you looking to expand your warehouse pallet racking system or have a completely custom storage solution designed, engineered, and built for your business? The team at North American Steel would love to connect with you.