Optimization of Productivity in Logistics Centers: The Untapped Potential
Efficient logistics centers are key to success in global trade. However, many logistics centers are not operating at optimal productivity levels. Upon closer inspection, there are productivity potentials in many processes that the logistics center operators are often unaware of. Below, we present success factors for efficient operations in the logistics center and offer you a way to discover if your warehouse holds untapped potential.
Are you aware of the performances in your warehouse?
The productivity of a logistics center depends on various factors, including picking rates, packing efficiency, and the percentage of employees not directly involved in customer service-related tasks (e.g., clearing, error resolution, inventory, etc.). If you lack clear insights here, you might have untapped potential in your warehouse.
Key questions for assessing potential in your warehouse:
Warehousing: Does your Warehouse Management System (WMS) have an efficient strategy that allocates storage spaces based on specific criteria and optimizes storage?
Shipment Planning: Does your WMS efficiently plan each shipment and facilitate organized assembly in the outbound process?
Replenishment: Does your WMS identify replenishment needs and ensure the right goods are available at the right time and place?
Picking: Does your WMS offer various picking methods, always selecting the most efficient, and can it manage various transportation means? Does it pick multiple orders simultaneously? Does it optimize the order sequence regarding the overall system’s workload?
Route Optimization: Does your WMS minimize travel distances by cleverly consolidating orders rather than just lining them up?
Packing: Does your WMS plan packages efficiently and optimize workflows? Are selection of packaging volume- and cost-effective? Will a high packing performance be achieved?
Error Handling: Does your WMS focus on uninterrupted operations and efficiently track and process errors?
If you’ve noticed deviations in these areas, there likely exists potential for productivity optimization in your warehouse.
Contact us for a non-binding potential analysis:
IDIH Solutions
Risto Pfalz
CEO
M: +49 1622151500
risto.pfalz@idih.de
Seize the opportunity to elevate your logistics center to the next level of efficiency and productivity. Our experts at IDIH Solutions are ready to analyze and optimize your performance processes. Don’t let untapped potential remain dormant any longer; stay competitive in the world of logistics
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