INTERMEC’s case study “Unlocking the Hidden Costs in the Distribution Centre” examines the current views on distribution trends and challenges from senior supply chain and distribution centre managers across the UK, France, Germany and North America.
With many businesses still feeling the effects of the GFC, facing increased competition and being forced to operate on smaller and smaller profit margins, distribution managers are increasingly tasked with the seemingly impossible job of finding cost savings from existing operations.
To do this managers are learning that they have to leave no stone unturned in order to effectively evaluate current processes and technology to help identify areas for efficiency improvements.
Summary of Findings:
- Managers are seeking to improve operational efficiency by gaining back mere seconds from each workflow to improve overall time and cost savings. Having workers take fewer steps over the course of the day, eliminating battery changes mid shift or using one device for multiple purposes are all areas managers identified as key components to increase efficiency. It is also clear that technology investment will impact productivity when deployed effectively.
- Picking Accuracy is of growing importance to managers as visibility increases over the cost to the business through measures such as the Perfect Order Index. Managers Believe mis-picks to be an ongoing issue within the workplace and one that could be avoided through the new technology process.