5 Reasons to Invest in
Slotting Software

Changing global environments and disruption continue to drive companies to invest in technology to keep pace with increasing consumer demands. When deciding where to invest, supply chain leaders must consider a roadmap that will elevate operations and satisfy return on investment (ROI) needs.

Proven, mature technologies, like slotting software, serve as a great first step toward a digital transformation, providing a framework for data integrity improvements, increased visibility and operational efficiencies. Upgrading from legacy knowledge or manual spreadsheet tools to dedicated slotting optimization software results in highly optimized solutions, supporting cost savings through increased order fulfillment, reduced replenishments, improved space utilization, increased labor retention and customer satisfaction.

5 Reasons to Invest in Slotting Software

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1.  Speed to Solution

• Simulate and slot multiple scenarios more efficiently and effectively than manual solutions, like spreadsheets
• Quickly profile product to proper rack types and designate SKUs to slots based on defined goals, rules and constraints
• Stand-alone software – integration into warehouse management system (WMS) not required

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2.  Flexibility to Adjust

• Make quick adjustments to slotting strategies in response to promotions and seasonality
• Automatically allocate empty space
• Adjust for product grouping for items often ordered together
• Change pick path strategies for greater productivity
• Simulate different rack types and layout configurations

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3.  ROI Visibility

• Access reports including key performance indicators (KPIs), zone movement and balancing, and return on investment (ROI) calculations for moves
• View the warehouse layout, travel network, location types and product allocations via digital twin produced in FORTNA<br>OptiSlot DC™
• Produce heatmaps based on product velocity or color code based on other item attributes

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4. Simplifying Complexity

• Address SKU proliferation, seasonal items, promo items and obsolete products
• Simultaneously accomplish multiple goals such, as sequencing density, height, weight, product group and velocity to balance competing priorities
• Include all necessary restrictions (e.g., weight restrictions, hazardous considerations, like-item separation, etc.)
• Consider replenishment frequency by allocating items to multiple locations, allowing for multiple facings, a function not easily done with manual processes

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5. Optimal Reporting and Work Plans

• Develop a sound business case for physical product relocation by comparing actual order data in the operation’s current state with an optimized slotting scenario and quantifying the expected gain in KPIs prior to physical product relocation
• Generate a work plan and moves list rooted in minimizing handling requirements and associated labor costs
• Prioritize predetermined and exclusive move sets to deliver maximum value while integrating within the current operation
• Produce consistent and measurable results that consider the holistic distribution environment

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Investment in the right slotting optimization software offers a framework to combine distribution stakeholders’ knowledge and expertise to implement best practices, providing the organization with a useful and repeatable format for solution sustainability.

* FORTNA is recognized as Optricity in this Gartner 2022 report. FORTNA acquired Optricity in February 2022.

¹https://www.mmh.com/article/warehouse_dc_operations_survey_2022_recalibrating_operations_and_spend