Warehouse Security: Tips For Storing Valuable Inventory

Warehouse Security: Tips For Storing Valuable Inventory

5 minute read

Warehouses typically have a lot of traffic throughout the day. With employees, delivery personnel, and visitors coming and going it can be hard to keep track of all of the activity. Because of this, warehouse security should be a priority for all storage and logistics businesses to protect inventory. 

Inventory shrinkage (or inventory loss) is when there is a lower number of products in stock than the number of products received according to the inventory list. This loss of inventory costs businesses billions of dollars each year and can be a large problem if not addressed early on. Among the top reasons for inventory shrinkage are damage to products and theft, but clerical errors also account for a smaller number of inventory discrepancies.

Improving warehouse security is an important part of running a successful warehousing business, and one of the best ways to prevent inventory shrinkage. Securing your inventory is especially important if you regularly stock high-value items. Here are 5 tips on how to increase security at your warehouse and prevent the loss of valuable inventory:

1. Invest in a Warehouse Security System

One of the best ways to secure your warehouse against theft is by installing a security system inside and out. Security systems may include cameras, alarm systems, and other surveillance devices. Security systems not only help prevent break-ins but also allow you to monitor against employee theft. 

2. Create Inventory Verification Systems with Multiple Checkpoints

Your first line in preventing inventory discrepancies should be to create a check system for receiving and storing inventory. Every time inventory is moved, there should be records of it verified by multiple employees. Having more than one person to sign off on important inventory management stages will reduce clerical errors and help curb fraud.

3. Train and Vet Employees

It is estimated that up to 42.7% of inventory shrinkage is due to employee theft. This makes employee vetting and training crucial procedures to prevent inventory shrinkage. Every new hire should go through a background check and complete training before starting. Once they start, employees should only have access to areas of the warehouse where they work. Sections containing valuable inventory should only be accessible to those that have the proper credentials.

4. Take Measures to Prevent Inventory Damage

Preventing damage is a crucial part of reducing inventory loss. There are several ways to protect your inventory against damage. One important way is to ensure that products are stored in proper conditions. Consider temperature, humidity levels, and any leaks and dirt that may accumulate in the storage area. All of these factors can contribute to damage, and make your inventory unsellable.

Installing rack back panels is another measure you can take to protect your inventory against damage. These durable wire mesh panels are installed onto the back of your existing pallet rack to prevent inventory from falling off. They not only protect your products but also your employees from accidents.

Bollards are used to create pathways for equipment such as forklifts and prevent them from crashing into stored items. This is another useful measure to protect inventory against damage.

5. Secure Your Inventory Where They are Stored

To prevent theft, your high-value inventory should be stored in secure conditions, only accessible by authorized personnel.

Rack supported cages are an easy way to secure products right where they are stored on the pallet rack. Rack supported cages consist of durable wire mesh panels that are installed directly onto the pallet rack. They are easy to install and very cost-effective. Panels can be purchased to cover 2, 3, or all 4 sides of the pallet rack depending on if it sits against a wall or other structures, or is located in an aisle with all 4 sides exposed. Locks can be installed on the gates to secure inventory when not in use.

96"W x 96"H, 2-Sided Rack Supported Cage for 48"D Uprights, Includes cage doors and 1 side panel with all hardware



Keep product safe with a Rack Supported, Wire Mesh Cage by SpaceGuard.  Includes 2 front panels to create doors, and 1 side panel Connects to 48"D Uprights 10-gauge wire welded in a 2” square mesh pattern and welded securely into a… read more

Security cages are another option that is effective at protecting inventory against theft. They are used to create a wire mesh partition without obstructing the view or air circulation. They are free-standing and can be used to section off any section with 2, 3, o 4-sided options. To learn more about the different uses of security cages, read our informative guide.

96"W x 96"D x 96"H, 4-Sided Wire Mesh Cage, Hinged Door



Keep product safe from theft with a new Ford Logan by SpaceGuard woven wire mesh partition.  10ga, UNI-MESHTM 1-/2? diamond pattern, triple crimped steel wire mesh Powdercoated gray for a resilient finish 3.7" sweep space allows for easy housekeeping Doors are designed to be… read more

Take Measures Before It’s Too Late

According to studies, a typical warehouse has around 0.46% inventory loss. Although this may not seem like a high number, it can quickly eat into your earnings and make your business less profitable. In comparison companies that are considered “best in class” have less than 0.005% loss. Another issue with inventory loss is that if it’s not controlled, the factors contributing to it tend to snowball and get worse over time.

American Storage and Logistics Has Your Warehouse Safety & Security Needs

American Storage and Logistics has been a leader in new, used, and refurbished warehouse equipment for over 50 years. Whether you’re looking for rack supported cages or rack back panels, American Storage and Logistics has your warehouse security and safety needs covered. Check out our website for our full inventory, in stock, and ready to be shipped. We offer same-day pickup or next-day delivery to Battle Creek, Grand Rapids, Lansing, and Kalamazoo areas.

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