KPIs for Warehouse Management                         

  • Specific
  • Measurable
  • Achievable
  • Relevant and
  • Time based.

KPIs also need to reflect what is important to your customers and secondly what is important to your own company.

Finally you don’t want to be in a situation where it costs you more to collect and analyse the data than you are likely to save through efficiency better utilization and improved productivity.

Common Warehousing Mistakes

  • Holding Excess Inventory
  • Poor Housekeeping
  • Multiple Decentralized Systems
  • No Trace of Materials
  • Multiple Stock keeping units

Other Fundamental Issues Of Warehouse Operations

What is full utilization?

  • The optimum level of warehouse utilization, depending on the type of operation is a maximum of 86% for no real time operations and 90% for real time, dynamic operations. Beyond these levels productivity levels tend to decrease and safety becomes an issue.

Can it be optimized?

  • A figure of 100% is not good practice although with help of advanced technology implementation and good work design productivity to the high level can be achieved but at a cost!

What Manufacturer Says?

  • Having to wait for pallets to be removed from a location prior to putting away items is very unproductive, even more so if these incoming pallets remain on the loading bay or worse still in the racking aisles. This can also result in delayed orders, product damage and staff frustration.

How More Business Possible?

  • Warehouses should be temporary storage areas with products moving in and out of the warehouse as quickly as possible. The higher the stock turn the more efficient the warehouse.

Four strategies to eliminate warehouse inefficiencies

  • Strategy 1: Reinforce Accountability Through Established Processes

For example, if a packer finds an error made by a picker, instruct the packer to place the rejected item on a shelf and call the picker to find and replace the correct item. This inconvenience will help make accuracy top-of-mind for the worker in the future.

  • Strategy 2: Meticulously Document & Analyst Your Procedural Changes

Meticulously log any changes in training procedures, new workers hired or different crew schedules, new technology implemented that’s recently been implemented, or other changes within your warehouse and observe the difference.

  • Strategy 3: Implement Profit-Sharing and Emphasize Extended Education

Profit-sharing like incentives with extended education, managers can further improve operation.

  • Strategy 4: Have Leadership Walk the Floor

What if you had internal team members that were educated guide others and state – this is how it should be done.

Case Study

Highly Group is using LogixERP Warehouse Management System and Mobile app to manage multiple warehouse across country and easy flow of distribution.

Problems :

  • Manage return stocks in the system.
  • Monitor other warehouses
  • Delivery scheduling and assign stocks for delivery 
  • Manual manifest creation

Main features :

  • Tracking of every movement of materials from manufacturing plant to different warehouses.
  • Easy bar-code scanner integrated with mobile phone camera helps to remove errors and record historical data.
  • Different reporting formats simplified to manage SKU and Palletized stocks.
  • Customer proof of receiving can be instantly updated through mobile phone.

Summary

Warehouse management solution has been improvised in every half of one decades and always this led to new technology implementation. DHL and Amazon have launched robots to manage warehouse, In USA and other European countries ‘Photo bar code scanning’ technology automated warehouse in-out operation completely. In future days’ small warehouses will face survival challenges and big warehouses will be determined to remain counting on their service.

 

Automate your warehouse to improve business growth

Get Free Demo and know How 

View online demo