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Warehouse Best Practices for Rising Star
Independent Distributors ($85 Million and Under)
Sam Flannery, Vice President, Marketing
The Warehouse
• The Warehouse has been the last area considered in cost management
• It is your highest single cost factor
• It can represent 58-60% or more of your cost of doing
business
The Responsibilities of the 21st Century Warehouse
• The Safety of the Work Place • The Development of Warehouse Personnel • Accuracy in All Functions • The Establishment and Communication of
Reasonable Expectations in Job Performance • The Attainment of Productivity Standards • The On-Time Completion of All Warehouse
Functions • Cost Management
The Science of Warehousing
• Development of Methods:
-Structure, Process & Discipline!
-Productivity and Work Measurement
-Thru Put - More Cases moved with fewer Employees
- Inventory Management
-Space and Equipment Utilization
-Safety and Sanitation
-Which results in Improved Customer Service
Start with the base issues…
• Rack/Slot #’s - 10-101-1 not 101011
• Proper Slot & Pick Sequence
• Organized, easily understood Selection Labels
• How to Build a Proper Pallet
• Training at All Levels
• Eliminate Checker/Auditors
• Reduce Staff Hours
Let’s Deal with Productivity Issues
•More with the same or fewer people•Receive Product Faster•Put Away Product Faster•Replenish Product Faster•Faster and More Accurate Selection •Eliminate un-necessary tasks
•Take advantage of your Capital expenditures!•Improved Thru-Put•How do we do this? TECHNOLOGY!
INBOUNDINBOUNDTECHNOLOGYTECHNOLOGY
Receive Faster and More Accurately!
•Utilize RF/Bar Code Reading & Voice technology
•real time--eliminate all data entry!
•Create Ways to Receive Faster
•Reading item barcode brings up PO line, tie in generic bar-coded License Plate, confirm count, ready to put away. It’s that fast and simple.
•Record and Track all dates; receiving, expiration, manufacture, and specific customer requirement dates.
•Super PO for DOT type, multiple PO, orders & multi truck receiving.
Get product off the dock faster, eliminate the major bottleneck at most warehouses.
Put Away Faster!
•Handle multiple put-aways at the same time and in the most efficient slot sequence.
•Directed Put Away, User-Directed Put Away or any combination of both.
•Faster Put Away – From 10-12 per hour up to 35 per hour
When you know where it’s at
you can go get it!
Faster More Productive Replenishment!
•Eliminate Head in the air & Fire drill Syndrome
•Priority Replenishments based upon Average Sales
•Priority Replenishments based upon Actual Demand
•JIT Let downs during selection
•If all of that fails, have process – “Runner’s Program”
OUTBOUNDOUTBOUNDTECHNOLOGYTECHNOLOGY
Selection Issues
Decrease Selection Errors by Order of 10!Typical 1 or more per 1,000. Go to 1-12,000 cases picked
•Make Selectors Productive Faster•5-10% faster pick (20/60/20 effect)
•Training from weeks to days
•Catch Weights are no longer a problem!
Guide Selectors on Each Pass
Eliminate the burden on Loaders with barcode load confirmation
Selection Issues
•Improve Driver Performance w/ Detail Truck Map
•Reduce Customer Calls Regarding Problems (by 1 for 12 ratio)
…Resulting in a Dramatic increase in
Customer Service and Improved Sales!
We Do This by Utilizing RF & Voice Technology!
•Select using a variety of selection methods
•labels, pick ticket, RF or Voice
•Define the selection method by route
•Each Route/Truck can have unique pallet build
•Provide Driver Pallet Map with Customer/Item detail for faster, more accurate delivery
•Track Employee Productivity with EPM Module
•RF Bulk Pick
•Utilize Fail Safe Runners Program
•User, Item and Customer Item specific Voice Commands
WHY VOICE?
•Create focused, directed work/task environment – fork lifts and horns!
•Increase Productivity with true hands free tool.
•Decrease training time from weeks to days with User Directed Voice Commands.
•Eliminate item and customer/item specific errors w/custom voice commands.
•If you can create a text file you can create a Voice Command – creativity is limitless.
•Eliminate Catch Weight inaccuracy and productivity loss.
What Does This Mean for You?
•Increased receiving accuracy •Insure code dating accuracy and FIFO Rotation.•Improved put away productivity from average of 7-9 per hour to 14-20 per hour on virtual put away and up to 35 per hour directed put away .•Faster replenishments - by over 100%.•Improved replenishment accuracy both from the correct overflow slot and to the correct pick slot.•TruckBuilder selection improves selection accuracy, saves loader time, improves delivery accuracy and makes delivery easier. •Practically eliminate error! (1 or more per 1,000 to 1 per 12,000)
BOTTOM LINE - IMPROVED CUSTOMER SERVICE LEVELS
- INCREASED PRODUCTIVITY
- LOWER COSTS
Detail Driver Pallet MapTruck Builder – Pallet Maps
TruckBuilder provides a detailed pallet map showing the Summary of what is on each pallet.
Truck Builder provides a detailed list of each item on a pallet.
Customer Orders on Trailer.
Selection Label Template
Thank You!
Dakota Series WAREHOUSE MANAGEMENT SYSTEM FOR FOOD DISTRIBUTION
Sales 302-436-3230
www.bfcsoftware.com
