Optimising Warehouse Operations for an Australian Retailer

Challenges faced

An Australian retailer faced significant operational challenges due to a cramped and inefficient warehouse setup. With stock split across multiple locations and productivity suffering, a strategic overhaul was essential. Our team supported the retailer through a comprehensive warehouse transition, racking redesign, and supplier engagement process.

• Inadequate Warehouse Capacity

  The existing facility was too small and congested, limiting growth and efficiency.

• Low Productivity

  Poor layout and restricted space slowed down operations and hindered team performance.

• Frequent Stock-Outs

  Inventory management issues reduced visibility and control, leading to recurring stock shortages.

• Fragmented Logistics

  Stock split across multiple warehouses complicated replenishment, logistics, and overall visibility.

The warehouse transformation

With Orchard Retail Group support, our client executed a full warehouse transition with the following key actions:

• Facility Upgrade

  Secured a larger, fit-for-purpose warehouse to consolidate operations.

• Inventory Consolidation

  Centralised all stock into the new facility to simplify management and improve visibility.

• System Enhancements

  Upgraded inventory systems for accurate tracking and streamlined replenishment.

• Supplier Alignment

  Partnered with suppliers to ensure continuity and stock availability during the transition.

• Racking Redesign

  Introduced mezzanine picking areas, off-ground stock storage, and clearly defined zones for teams and MHE (Material Handling Equipment).

• Process Flow Optimisation

  Implemented shift separation and redesigned layouts to reduce congestion and boost efficiency.

Results

• 200%

  Productivity increase

  Optimised layout and process flow more than doubled picking efficiency.

• Fewer Stockouts

  Improved visibility and control reduced out-of-stock occurrences.

• Smarter Design & Ergonomics

  Online picking setups, ergonomic workbenches, and refined layouts created safer, more efficient workflows.

• Stronger Team Environment

  Better space utilisation and smoother processes fostered a safer, happier workplace.

Conclusion

This project highlights the transformative impact of a well-planned warehouse transition and racking redesign.

Through a thorough review of the retailer’s operations, we identified key pain points — from space constraints and inventory fragmentation to workflow inefficiencies — and addressed them with targeted, practical solutions.

Our approach focused on understanding the business’s unique requirements and creating a layout that supported current operations while enabling future growth. The integration of ergonomic workstations, online picking setups, and clearly defined zones for teams and equipment delivered a safer, more productive environment. Supplier engagement also played a critical role in ensuring continuity and readiness throughout the transition.

The success of this project lies in its holistic execution — combining strategic planning, operational design, and stakeholder collaboration. The result is a streamlined warehouse operation with greater productivity, fewer stockouts, and a safer, more empowered team. This case sets a strong precedent for how thoughtful design and planning can unlock significant value in retail logistics.

More case studies

• Optimising Sales & Operations Planning for a National Retailer

  A right-sized S&OP implementation that cut lead time to market by 30% and lifted stock availability and fill rates by 15%.

  Read the case study →

• All case studies

  See how we turn retail challenges into growth stories across planning, warehousing and international expansion.

  Back to the overview →