Tuesday, June 14, 2011

Scale Model -

Warehouse scalability study leads to efficiency, cost savings.

Not all freight movements are over the road. To achieve best-in-class logistics status, you need to look at every aspect of your supply chain. How your products move hundreds of feet across your warehouse can be just as critical to increasing efficiency as how they move hundreds of miles on a truck.

TOTALogistix recently completed a warehouse scalability study for a client in the northeast U.S. This major contract manufacturer has been growing exponentially, and had seen warehousing costs go up even faster than growth. A team led by John Mead, director of national accounts, and Mani Gokarnesan, director of supply chain solutions, undertook a top-to-bottom review of the client’s warehousing operations.

Focusing on scalability and efficiency, they analyzed the process flow throughout the warehouse and production floor, mapping the movement of products through receiving, put-away, pre-weigh, packaging, staging and shipping. They identified which product lines could be efficiently dealt with in-house, and which were more productively outsourced.

By streamlining the flow, identifying and alleviating peaks and valleys in the production cycle, implementing a Master Production Schedule (MPS) and a Warehouse Management System (WMS), TOTALogistix was able to increase productivity of the facilities by 60-70 percent, and cut costs literally in half.

Are your warehouse operations costing you money through outdated practices or lack of transparency? Let us show you how you can move your products more efficiently, even when they’re standing still.

Kirk Shearer
800-989-0054 x120

No comments:

Post a Comment