We streamlined warehouse order picking and movement in warehouse operations for this supply chain business partner, enabling them to boost their order batching efficiency and labor productivity.
Business Goals
- The fulfillment center laborers were still spending as much as 60% of their time in the picking process alone.
- Inefficient pick path and poor order batching since the existing pick logic and sequence were suboptimal.
- Pick rates were comparatively lower considering industry benchmarks, resulting in increased labor costs.
Solution
Key Highlights
- Created new warehouse route maps and pick path recommendations to ensure optimal routing for both manual and bot-assisted order picking.
- Developed new algorithms to identify the optimal SKU clusters and produce smart batching, which optimizes order consolidation, and labor allocation while reducing order pick time.
Outcomes
- 22% improvement in overall order pick rate.
- 6% improvement in labor productivity measured in Throughput Per Labor Hour (TPH).