A system for locating goods stored in modular hanging units in a storage area. Ordered goods are placed in storage units at a central filling center. The filled storage units are shipped to local storage areas where they are coupled to hook units to form modular hanging units that are then stored on rails in a storage structure. The identifications of the goods and the hanger addresses for the modular hanging units are stored on a local computer database. When a user wants to pick up stored goods, the user inputs the identification or order information for the goods and the computer will search the inventory to locate the goods in a specific stored modular hanger. The modular hanger will be illuminated to facilitate locating the goods.