Posted by Thelma Marshall, VP of Solutions, September 1, 2020

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One of the biggest challenges throughout many supply chain industries is improving efficiency and productivity. The basic argument would be that it costs more to produce more, but in some cases that is simply not true.  

Less than 30% of warehouses in the U.S. are efficient. Is your facility one of them? 

To improve warehouse operational efficiency your business must first identify the current strategies that are costing your business time and money. Once you know what needs to change it is easier to determine solutions. 

Where is efficiency lost and how can this be remedied simply and effectively? First look at where the greatest waste of time and resources occurs in your facility.  

Time lost investigating complicated data. 

Investigating KPI deficiencies and complicated data potentially steals 1-2 hours of a manager’s time each day. This includes running lengthy reports, filtering relevant data, and making the connection to problematic KPIs.

Step 1.

Use an effective time-management telematic platform that monitors KPIs and quickly tells you where attention is needed. Reports should be customized to tell you only what you need to know. Using this tool you can:  

  • Identify potential trends 
  • discover specific challenges that are nearing a “red zone” and need immediate attention
  • determine who or what is behind each issue
  • create a strategy and specific actions needed to address each issue

Reactive versus proactive management. 

The key word is effective management is prevention. Essentially, fixing a problem usually takes much more time than acting to prevent the problem from occurring. Time is better spent working toward continuous improvement of KPIs versus responding to preventable challenges.

Step 2.

Rely on real-time monitoring software to tell you exactly what is going wrong — before it becomes critical. Monitoring software should reveal the root cause of each problem, providing an easier path to assessment for action and resolution.

Failure to make changes & leverage technology. 

If a business is resistant to change and advances in warehouse and fleet management technology, it is hard to remain relevant in today’s market.  Failure to adjust strategies and implement a leaner operational approach negatively impacts efficiency and productivity.

For example, telematic data will simplify productivity reports on all operators compared by shift, site, and region. Forklift drivers account for 70 to 80 percent of the hourly cost of operating a lift truck so targeting improvements and training boosts efficiencies. 

Step 3.

An older warehouse management system can be easily merged with a telematics platform to seamlessly deliver actionable information that everyone can understand. By integrating a telematics system with your WMS, a holistic picture of your entire operation is available on one screen, so you can quickly identify changes needed to facilitate smoother, faster operations. 

The take away

Upgrading to telematics can empower everyone in your facility to accomplish more and avoid or reduce costly mistakes. The latest telematics technology identifies the issues eating away at warehouse efficiency and tells you exactly what to do to solve it.  

 

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