Warehouses, like every part of the UK economy, experienced a major downturn when recession hit. Just as offices and shops lay empty all over the country, so it was that warehouses were also left lying idle or half-empty in many noses, what economists refer to euphemistically as “spare capacity”.
However, much has changed since then. The economy has grown, manufacturing has increased, more goods are being bought and sold, the supply chains are busier, and demand for warehouse space is naturally increased.
Meeting demand
When demand for new storage space rises, the solutions vary. In an economy coming out of a deep recession, that ‘spare capacity’ offers a simple solution, with space being easy to find.
However, once economic growth is well established, as it now is in Britain, the availability of space inevitably decreases.
Of course, one way forward would be to build more warehouses, but that takes time and may neglect the fact that the space already there is not being deployed efficiently, something that may not have been a problem five years ago but is now the economy is stronger.
How temporary structures can help
A swift way of tackling a capacity problem is to bring in some temporary structures. Whether these are dock shelters, industrial canopies or prefabs, the extra space provided can provide a very swift and flexible solution.
Being quick to assemble, it enables warehouse managers to respond rapidly to the changing needs of customers. If a lot more space is suddenly needed, such as for a large bulk order of components or raw materials, the swift introduction of temporary space can create room for this. And if the order is a one-off and nothing similar may be required for some time, the temporary structure can then be removed, in the full knowledge that such facilities could be brought in again the next time there is a need for extra space in a hurry.
Improving organisation
Sometimes, having a bit of extra space makes it easier to make room elsewhere. If a warehouse is full of small items but something very large needs to be stored in it, bringing in a small temporary space elsewhere makes sense. Then, some of those smaller items can be moved into the smaller facility to free up the large space in order to fit in the larger item.
The great thing about doing it this way is that the speed at which a temporary structure can be assembled means even a large new item can be stored at short notice, as there need not be a long wait for the space to be freed up.
Downsizing options
Nobody wants to think about the prospect of the economy suffering a new downturn, but we live in an uncertain world and the reality is that nobody knows what the future holds. After all, everything seemed to be going very well in 2007.
The key with using temporary space is that if there is a drop in demand, warehouse managers are not left with large, permanent areas of warehouses lying idle, except in the unlikely scenario of the next downturn being as severe as the 2008-09 recession.
Of course, it is to be hoped there will not be any bad economic turns for many years, but by using flexible space, warehouse managers need not have more room on their hands than is needed when there is an economic dip.
