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Coign Consulting

5 Signs Your Warehouse Needs a Redesign Right Now

Posted On: October 21, 2026

Your warehouse won’t announce when it becomes inefficient. The signs show up in daily operations: longer pick walks, rising errors, space constraints, dock congestion, and missed SLAs.

By the time these issues are visible, you are already paying for them.  A regular warehouse performance review can help identify whether the problem lies with people, processes, technology, or the physical layout.

Here are five signs that your warehouse may need a redesign.

Sign 1: Your Pickers Are Walking More Than They're Picking

When pickers spend a significant part of their shift travelling between locations, productivity starts dropping. As a practical benchmark, picker travel should ideally stay within around 30–40% of total pick time.

 

A common cause behind this is poor SKU slotting, where fast-moving products end up scattered across the building instead of being positioned close to dispatch and matched to order patterns.

 

A warehouse layout redesign can fix this through ABC slotting, zone picking, or goods-to-person systems. With a good WMS software with location mapping and pick path routing enabled,  pick-location heatmaps and picks-per-hour data will show where travel time is being lost.

Sign 2: Your Error Rates Are Rising, and You're Blaming the Team

Not every picking error is a people problem. Your warehouse layout & process design can make accurate picking easy or hard.

When SKUs are stored next to each other with poorly lit pick faces, cluttered zones and unclear product identification, all of these can lead to operational errors. The fix is often better zone segregation, scan-to-pick, pick-to-light and stronger visual management across your warehouse.

Fewer errors mean more than better productivity. They mean fewer returns, re-picks, inventory discrepancies and customer complaints.

Sign 3: You Think You Need a Bigger Building (You Probably Don't)

Before moving to a larger facility, check how effectively you use the one you already have. A warehouse space utilisation review can help you figure out the unused vertical capacity, oversized aisles or storage systems that do not match the MHE being used.

Depending on your operations, a redesign may unlock significant extra storage capacity through narrow-aisle racking, additional storage levels, mezzanines or high-density systems.

The question isn’t simply, “How much space do we have?” It is “How much of our available cubic capacity are we actually using?”

Sign 4: Your Dock Is Always the Bottleneck

 If trucks regularly queue or receiving remains backlogged, the issue starts at the dock rather than inside the warehouse.

  • Track dock performance

Monitor truck turnaround time and average dock dwell time. When the dwell time is longer, it indicates slow unloading or handling rather than insufficient dock doors.

  • Improve dock infrastructure

Upgrade or add dock levellers within the existing structure. Where feasible, this will improve loading and unloading efficiency.

  • Reduce manual handling

Introduce conveyors or telescopic loaders to reduce handling time per truck.

  • Optimise staging and traffic flow

Review staging zones and inbound/outbound movement to minimise congestion and delays.

Sign 5: Your Incident Rate Is Creeping Up

Rising incidents and near-misses should trigger a warehouse review, not just additional training.

Narrow aisles, poorly defined pedestrian routes, forklift-pedestrian conflicts, and inadequate floor markings with poor lighting can create avoidable safety risks. A redesign can add dedicated walkways, appropriate aisle widths, bollard protection and better visibility.

Safety must also be considered alongside applicable statutory requirements and operational risk. A safer layout supports both compliance and more consistent warehouse performance.

How to Confirm It: A Quick Warehouse Audit Checklist

Before considering a complete warehouse redesign, use this quick checklist to understand whether your warehouse needs a redesign or not:

  • Are pickers spending excessive time travelling between locations?
  • Are order or inventory errors increasing?
  • Is significant vertical or cubic storage capacity still unused?
  • Are trucks regularly waiting at receiving or dispatch?
  • Are incidents or near-misses becoming more frequent?

Every “yes” points to a design gap, not just an execution gap. If you tick even one or two, the next step is a structured warehouse audit checklist.

Conclusion

These five signs share one root cause: the warehouse has not kept pace with the operation it was designed to support. Changes in SKU mix, order volumes, MHE, technology and customer expectations can make an old layout increasingly inefficient.

A warehouse performance review shows where space, processes and infrastructure are holding the operation back and where redesign can create measurable impact.

Think your warehouse has outgrown its layout? Find out before you spend on a bigger building. Book a warehouse performance review with Coign Consulting.

Frequently Asked Question

  • Warehouse layout design is the process of planning and designing the complete warehouse storage areas, aisles, picking zones, docks and material movement to improve space utilisation, safety and operational efficiency.
  • A warehouse audit checklist helps warehouse managers assess key areas of the warehouse such as picking efficiency, inventory accuracy, space utilisation, dock performance and workplace safety. It helps identify operational and layout gaps that may require corrective action or a warehouse redesign.
  • A warehouse performance review evaluates how effectively a warehouse uses its space, processes, equipment and technology. It helps identify bottlenecks, inefficiencies and improvement opportunities to support better productivity, accuracy and service levels.
  • Consider hiring a warehouse design and layout consultant when you face issues in the operations like increasing picking times, constrained storage capacity, persistent dock congestion, or more frequent safety incidents within the facility. A consultant can assess the existing layout and recommend practical improvements before you invest in additional space or major infrastructure changes.

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