5 Ways Colour-Coding Bins & Totes Can Streamline Your Inventory Management

In today's rapid supply chain world, warehouse productivity is more important than ever before. Companies are managing more SKUs, shipping faster, and working with leaner staffs. Under these conditions, a slight gain in speed and accuracy can have a gigantic effect on productivity.

One tried-and-true yet frequently underappreciated solution is color-coding totes and bins. By implementing an easy visual system, warehouses are able to revolutionize how products are stored, picked, and traced. Whether you utilize corrugated plastic bins, stackable bins, plastic totes and bins, or big plastic totes and bins, color-coding imposes discipline on the pandemonium of contemporary inventory control.

In this article, we’ll explore five ways colour-coding can help your business streamline operations, reduce mistakes, and save money.

Faster Picking & Reduced Error Rates

One of the most time-consuming activities in warehouse operations is picking. Workers often spend minutes scanning labels or re-checking SKU codes to ensure accuracy. This delay not only slows down the workflow but also increases the risk of errors.

With the addition of colour-coded stackable picking bins or plastic totes and bins, you give employees an immediate visual signal. Rather than reading each label, they can instantly see what bin to pick by colour.

• Example: Use blue bins for quick-moving parts, green bins for accessories, and red bins for priority orders.
• A picker immediately knows what to pick, saving seconds (and often minutes) on each order.
• Research indicates that colour-coded picking systems have the capability to decrease mis-picks by as much as 30%.

This means that for businesses with high-volume orders, this equates to quicker fulfillment and more satisfied customers.

Improved Inventory Tracking & Cycle Counts

Counting inventory can be a nightmare for warehouse managers, particularly when items are held in containers that look very alike. Colour-coding makes counting easier by separating distinct groups of products visually.

• Color-coded corrugated plastic bins are assigned for high-value, low-value, or seasonal products.
• Large plastic totes and plastic bins allow for simple separation of heavy items such as equipment, textiles, or spare parts.
• Staff are able to easily recognize fragile or perishable products using colour-coded corrugated packaging boxes.

Once the time comes for cycle counts or audits, employees are able to find the correct section immediately. Not only does this mitigate counting fatigue, but it also contributes to accuracy in reporting.

Enhanced Organizing & Workflow Zoning

Warehouses live on organization, and colour-coding provides an effortless means to keep it in place. By correlating bin color with workflow areas, companies can design a coherent system that has products constantly flowing from one process to another.

For example:

• Yellow bins = incoming goods
• Blue bins = quality control
• Green bins = ready-to-ship
• Red bins = returns or damaged goods

This approach allows employees to understand exactly where to put or get something without repeated verbal cues. Utilizing stackable bins and totes that match these workflow hues avoids aisle clogging and minimizes bottlenecks.

Firms such as Warehouse Mate usually advise this route to first-time clients who are implementing their warehouse systems. The effects manifest themselves within weeks: fewer lost items, more streamlined processes, and less wasted time.

Better Safety & Compliance

Safety is a critical issue for companies dealing with chemicals, pharmaceuticals, or food. Colour-coding bins is an important factor in minimizing risks and compliance standards.

• Bright yellow or red plastic totes and bins may indicate hazardous or fragile goods.
• Food storage warehouses generally use corrugated plastic bins in various colors to keep allergen-containing items isolated from regular stock.
• Colour segregation provides assurance that hazardous products are never placed alongside normal products, minimizing the risk of cross-contamination or mishaps.

Visual precautions are particularly effective for new workers who are not yet aware of codes and labels. With color-coding, hazards are immediately apparent.

Cost Savings & Operational Efficiency

Although spending money on colour-coded bins and totes might seem like an extra cost at first, the return in the long run usually covers the expense.

Here’s how:

• Lower training costs: Colour systems are straightforward, so new employees can learn workflows quickly.
• Fewer mis-picks: Fewer mistakes translate into fewer returns, fewer replacements, and more satisfied customers.
• Durability: Corrugated plastic bins and stack containers are much more rugged than cardboard. They can take heavy usage, are water-resistant, and last for years without requiring replacement.

One Australian distributor replaced plain cardboard cartons with colour-coded stackable picking bins and reported a 25% decrease in picking time and a 40% decrease in training new employees. The cost savings were substantial over a year.

Implementing a Colour-Coding System: Best Practices

In order to maximize colour-coding, it's best to use some best practices:

1. Keep it simple: Use 4–6 colours. More than that will confuse staff.
2. Match bins with purpose: Utilize stackable picking bins for little pieces and big plastic totes and bins for big things.
3. Add labels: Colours are best when used with clear labels or barcodes.
4. Standardise materials: Uniform corrugated plastic bins or corrugated packaging boxes make stacking safer and more efficient.
5. Integrate with WMS software: Coordinate your colour system in your warehouse management software for improved tracking.

Businesses such as Warehouse Mate specialize in offering customized storage solutions, which include colour-coded bins and totes that cater to particular industry requirements.

Pros, Cons & Pitfalls to Avoid

Advantages:

• Easy visual structure
• Accelerated workflows
• Reductions in errors
• Regulatory compliance support in governed industries

Pitfalls to watch for:

• Complicating the system with an unnecessary number of colours
• Fading colours in low light conditions (use UV-protected materials)
• Accessibility difficulties for colour-blind personnel (always accompany colours by labels))

Case Example

A medium-sized electronics distributor in Sydney was experiencing mis-picks and increasing labor costs. They implemented a colour-coded system with corrugated plastic bins and stackable bins:

• Blue bins for cables and accessories
• Yellow bins for high-demand products
• Red bins for delicate electronics

Within three months, it dropped its error rate from 6% to 2%. Picking time per order decreased by 25%, and onboarding of staff became much quicker. Not only did this make the customer more satisfied, but it saved the company thousands of dollars in a year's worth of labor.

Conclusion

Colour-coding totes and bins isn't an aesthetic choice; it's an intelligent choice. It's the key to building a wiser, safer, and more effective warehouse. From quicker picking to improved compliance and direct cost savings, the advantages are evident. Regardless of your use of corrugated plastic bins, stackable picking bins, or big plastic totes and bins, colour-coding can change everything and position your business for long-term success.

Want to Optimise Your Warehouse?

Here at Warehouse Mate, we offer premium-quality storage products that are specifically engineered to suit the requirements of contemporary businesses. From corrugated plastic containers to stackable pick bins and heavy-duty plastic totes and bins, our products are constructed for strength, efficiency, and safety.

Get in touch with us today for a consultation and learn how colour-coded storage solutions can level your warehouse efficiency to new heights.

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