Author
Arusha Dasrath
Date published
June 4, 2025
Categories
Strategy &
Risuna Manganyi,
Group Materials Manager
Minopex
Key Challenges in Modern Warehousing Manganyi highlighted that warehouses face mounting pressure to deliver constantly, with less time and waste, while adapting to digitalization, global transformation, sustainability imperatives, and increased risk exposure. Common challenges include:
• Inventory Inaccuracies: Leading to inefficiencies and delays.
• High Operational Costs: Due to factors like energy consumption, theft, and active labour.
• Security Breaches and Theft: A significant concern, especially in certain operating environments.
• Inadequate Documentation and Governance: Resulting in high risk and recurring issues with inventory inconsistencies, potentially costing companies billions.
• Limited Capacity: Both in terms of managing vast amounts of information and retaining skilled personnel.
• Legacy Systems and Lack of Integration: Leading to confusion when different systems do not communicate effectively.
Strategic Solutions for Enhanced Performance
To address these barriers, Manganyi outlined several strategic solutions for transforming warehouse performance:
Audit Enhancement and Loss Control
Emphasizing thorough auditing of inventory counts and investigating losses beyond simple miscounts to identify root causes.
Advanced Technology Adoption
Leveraging IoT, AI, automation, and robotics for systematic information capture and data analysis. While technology can scale down human intervention, it's crucial that humans verify physical availability. However, the African context requires careful consideration of infrastructure readiness for such advanced technologies.
Warehouse Management Systems (WMS)
Implementing robust systems for efficiency, visibility, and transparency, directly impacting the bottom line by providing accurate profit and loss tracking.
Sustainable Energy and Efficient Operations
Adopting cleaner energy solutions and optimizing operations for cost savings and environmental benefits.
Security Modernization
Implementing advanced security measures like digital tracking devices to monitor goods in transit within the warehouse.
Addressing Documentation Gaps
Developing proper archiving strategies and determining how long information should be kept to mitigate reoccurring issues.
Strategic Action Plan
• Short Term: Immediate recounts in high-loss areas for improved accuracy (e.g., 99% accuracy target), restricting system access to prevent collusion, and daily cycle counting.
• Medium Term: Regularly updating Standard Operating Procedures (SOPs) to adapt to changing landscapes, implementing automation, and initiating refresher training for staff, especially those with extensive practical experience but limited formal education.
• Long Term: Integrating predictive loss capabilities into upgraded systems for a visionary approach to warehouse operations and expected output.
• Just-in-Time Problem Resolution: Emphasizing that errors in warehousing, especially in sectors like retail, cannot be postponed as they directly impact customer satisfaction and profitability.
The Role of 3PLs/4PLs and African Contextualization
Manganyi also touched upon the role of third-party logistics (3PLs) and fourth-party logistics (4PLs) in achieving sustainability goals. While they can aggregate volumes for better efficiency and potentially reduce carbon emissions, challenges exist around trust for high-value items and ensuring smaller clients receive adequate prioritization. She critically assessed the readiness of the African context for adopting highly advanced global technologies, questioning the sustainability of such investments when basic infrastructure like consistent electricity and water supply remains a challenge.