According to The Green Market Report, the cannabis industry is expected to grow a whopping 32% over the next few years as more states welcome cannabis sales. In that same report, Colorado alone has generated about $2.28 billion in marijuana sales for 2020. In fact, as CNN notes the cannabis industry boomed during the pandemic; in 2020, sales hit $20 billion dollars nationwide and there are indications marijuana sales will surpass the craft beer industry.
This exciting data means that many cannabis facilities are looking to expand their warehouses! While expansion is a great and exciting step in your business, there will always be a few challenges that arise. That’s why it’s crucial to work with a company that is dedicated to serving your needs in order to help you overcome those struggles, as well as help keep your workplace safe, efficient, and growing as it should.
If you’re in the process of expanding your cannabis business, it may be a good time to evaluate your current operations and make the necessary changes and upgrades in order to scale successfully.
With this up-and-coming industry, it may be difficult to find the right staff. You may have trouble finding workers who even have experience in this newer industry. Going to other industries may prove challenging, especially enticing people to an industry that faces regulation changes. People are leaving the workforce for retirement and not enough workers are going to be able to fill those positions. Retaining your current employees and engaging them to find workers can help your staffing puzzle along with some other creative hiring ideas.
What cannabis companies have over other companies, though – other than ready cash-flow – is purpose that is appealing to a younger generation newly entering the workforce.
Retain your current employees and bring on passionate and eager new ones.
It’s not just about hiring people. Getting needed supplies is not easy these days due to supply chain issues. Even the cannabis industry is dependent on supplies that are harder to come by – masks, sleeves, aprons, bags, and containers. One solution – some suppliers also provide vendor-managed inventory (also known as safety stock) to keep costs low and ensure you have the supplies you need when you need them. These suppliers have a variety of options, helping you get needed materials to keep your business operating.
With supply-chain issues come rising costs. Spend Matters provides some statistics on unstable pricing for marijuana. By having stocking agreements in place, you can lock into pricing to prevent your business from shelling out money every time a supplier raises their rates. By keeping your costs lower, you can ensure your prices are lower, too, making you more competitive.
According to Supply Chain Manager, cannabis has the additional issue of infrastructure. Newer industries, such as the green industry, have trouble driving efficiency in the warehouse and distribution. During this pandemic having better warehouse procedures ensures you know the supplies you have, keeping costs low.
Back to hiring, sometimes hiring outside the industry can help you get a head start on ideas that could benefit your company. New employees may understand better ways of stocking, billing to ensure better record-keeping, and more.
Worker safety is critical for a few reasons – obviously, it keeps your employees safe, but also cuts down on worker compensation claims and OSHA fines. Safety also includes ergonomics, reducing worker issues, and ensuring they’re productive.
To ensure safety is enforced and maintained in the warehouse, you need a reputable supplier to provide the right equipment when you need it. Stocking agreements or vendor-managed inventory can ensure your workers have the correct gear. You also need a supplier who has a range of safety supplies to meet all the different workers you have.
The negative stigma around the cannabis industry may not be something you are dealing with as much in recent years but if you are, make sure you’re working with a company that listens to your needs and that you trust. Lane Supply Company has been in the business for over 60 years and prides itself on customer relationships.
One great way to take on these issues is by working with a dedicated industrial supply company like Lane. We help you meet all your supply needs in a timely manner. Lane offers products such as Tyvek aprons and shirt protection, Kimberly Clark alcohol wipes, and more to meet your cannabis production and safety needs.
Our goal is to help your company stay efficient and effective as we save you time and reduce costs.