Build the address from general to specific
A useful sequence is zone, rack, level and position. The required detail depends on the warehouse. A small storeroom does not need the same address structure as a hall with several sectors.
Consistency matters more than code length. Each element should mean the same thing in the system, on the physical label and in conversations between employees.
Check readability where people work
An address needs to be readable from the operator's working position. Check visibility with the rack occupied and make sure neighbouring addresses are distinguishable. Similar characters are easy to confuse under time pressure.
For scanning, selecting the right label matters too. Several obsolete labels next to each other can cause trouble even if each scans correctly.
Renaming a location does not move its stock
During reorganisation, establish whether only the label changes or whether goods physically move as well. These are different events with different effects on movement history and current picking.
A practical test for the warehouse manager is to ask someone unfamiliar with the layout to find several products. If they need directions from colleagues, the addressing needs attention. WMS locations become useful when employees can reliably connect each address with a physical place.