Re-Warehousing: Beyond Just Moving Boxes

By Rosita Johnson

Re-warehousing is more than just moving materials from one place to another. It is a strategic process that can reduce operational costs, improve inventory control, and enhance overall warehouse efficiency. At ASCI, we view re-warehousing as an opportunity to strengthen the entire supply chain. Whether we are consolidating facilities in remote environments like Alaska’s North Slope or adjusting warehouse layouts for mission readiness on the government contracts, our teams apply ISO-certified processes, skilled personnel, and detailed planning to ensure smooth and safe transitions. Our approach is rooted in real-world experience, guided by documented Standard Operating Procedures (SOPs) such as our Material Care and Preservation protocol, sustainability initiatives including our Environmental Policy, and streamlined inventory management systems, all with a focus on delivering measurable results.

What Re-Warehousing Really Involves

Re-warehousing typically involves relocating materials within or between storage facilities to achieve better alignment with operational needs. Reasons might include facility consolidation, layout optimization, inventory reclassification, or changes in demand. But successful re-warehousing takes more than just a crew and equipment. It requires careful planning, real-time inventory tracking, verification at every step, and timely communication across teams.

Every re-warehousing project begins with preparation. Before the first item is moved, we perform complete cycle counts to validate inventory accuracy. This includes not just the inventory itself, but also documenting the existing facility layout and storage bin locations. We also identify non-inventory assets such as office equipment, shelving, computers, and material handling equipment (MHE) that may also be relocated. These details ensure the move is comprehensive and nothing is left behind or overlooked.

Managing Customer Communication and Blackout Periods

A critical part of any re-warehousing plan is proactive communication. We notify our customers in advance of any temporary service interruptions during what we call the “blackout period”: the time during which inventory is in transit and temporarily inaccessible. We work closely with our customers to define blackout windows, update service expectations, and ensure critical materials are either issued in advance or staged for immediate access post-move. This transparency reduces operational disruptions and builds trust during complex transitions.

Once materials are relocated, we conduct post-move cycle counts to verify inventory placement, update new bin locations in the warehouse management system, and confirm that everything from tools and parts to office equipment and furniture has been successfully transferred and is fully operational in the new space.

Re-Warehousing

Real-World Experience in Harsh Environments

One of our most complex and rewarding re-warehousing projects was conducted for a customer in Alaska on the North Slope. Between 2016 and 2020, we led a warehouse consolidation effort that reduced total storage space from 213,000 to 144,000 square feet, resulting in a more than 30 percent reduction in facility footprint. This project involved the physical relocation of over 84,000 part numbers and required tight coordination, inventory validation, and careful execution in harsh weather conditions.

The challenge went beyond physical movement. The North Slope presented logistical difficulties due to extreme weather, shifting ground, and high operational costs. Our team addressed these challenges by conducting detailed pre- and post-move cycle counts, updating bin locations in the inventory system, and ensuring that every item, from spare parts to office equipment, was accounted for and protected. We also took the opportunity to optimize how materials were stored, placing high-volume items in more accessible areas and segregating sensitive or hazardous materials according to regulatory requirements

Space Optimization and Storage Configuration

A key benefit of re-warehousing is the ability to reconfigure warehouse layouts for greater efficiency and safety. We regularly apply this principle in our government and commercial contracts. During our work for the Alaska oil & gas customer, we not only moved materials but also reorganized them to support faster picking and improved accessibility. Items with higher turnover were placed in front-line locations, while less frequently used stock was stored in deeper zones.

Our facilities include designated areas for general storage, hazardous materials, high-value items, and climate-controlled inventory. We follow the requirements outlined in our Material Care and Preservation policy to ensure that all items are stored in a manner that prevents deterioration, supports regulatory compliance, and maintains inventory integrity throughout its storage life.

Lessons Applied Across Federal Operations

We bring these same re-warehousing principles to our federal contracts. For example, under our federal government contract in Anchorage, we manage over 600 items across a 10,000 square foot facility. While the scope differs from our commercial oilfield projects, the goals are the same: accurate tracking, safe storage, and efficient material handling. We use layout reviews and demand data to make targeted storage adjustments, and when re-warehousing is needed, we follow the same disciplined approach used on larger projects.

Why Planning Ahead Matters in Re-Warehousing Projects

Re-warehousing success hinges on detailed preparation and a clear project plan. Without a structured approach, even a well-staffed move can result in inventory discrepancies, missed assets, or service delays. At ASCI, we view each re-warehousing effort as a project that must be scoped, staged, and carefully coordinated. This begins with assessing the full scope of what's moving, not just inventory, but non-inventory items like shelving, computers, printers, and material handling equipment. We develop detailed plans that document current and future layouts, define bin locations, assign responsibilities, and outline timelines for each stage of the transition.

Equally important is communicating with stakeholders and customers. By proactively notifying them about the blackout period when inventory may not be accessible, we help avoid confusion and disruptions. We also identify mission-critical materials that may need to be issued or staged in advance. After the move, we validate success through post-move cycle counts, system updates, and full functional checks to ensure everything is operational. With the right planning, re-warehousing becomes more than a logistical exercise. It becomes an opportunity to improve how space is used, reduce overhead, and deliver better service to the people who rely on us.

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