Warehousing and Distribution
Article | June 27, 2023
You might be wondering what the benefits are of benchmarking. Well, imagine you are training for a 100 metre sprint in your district. What would be the key number, or metric that you would need to know?
It would, of course, be what the winning time was when this race was last run in your district. Without that information, you don’t know what you’re trying to target. It would be impossible to know if you’ll have any chance at all of winning the race.
It’s exactly the same in business. If, for example, you are concerned about the pick rates in your warehouse, or your transport costs, or your inventory accuracy, benchmarking can help you because it can show you exactly where your performance is compared to others in your industry.
A few years ago, I was working with an automotive parts business. They had a little issue with their picking productivity in the warehouse. They wondered how good it was, whether they could improve it. They actually thought it was okay.
We looked at the figures and compared them with other businesses. This helped us realise that their picking productivity should be three times better than it was. And believe it or not, over a few months they did begin to improve their productivity.
Why? Because benchmarking opened their eyes to the fact that they were at a level quite far below others in the industry.
That’s the beauty of benchmarking. Until you know what others are doing, you can’t be sure how good your performance is.
If you’ve never tried benchmarking, there are three ways you could do it.
1. Informal Benchmarking
This exercise would involve you measuring particular functions or aspects of your business and comparing that against other parts of your business. Let’s say you have a warehouse operating in one city and another operating in another city. You might start to measure the same metrics and see which one is performing better.
You might know other people in the industry who are also operating warehouses so you might agree to share some data with them.
This is probably the easiest way to start off, but it has some downsides:
You’re only measuring against a very small sample size. If all of you in the pool are not that good, how would you know what good is?
You have to make sure that the businesses are similar and you are measuring things in exactly the same way. It’s very important in benchmarking to have a standard way of applying the metric.
2. Formal Benchmarking
This can work for much larger businesses. Perhaps you have operations in many different countries. You could agree a formal structure for how you are going to measure performance. You could do monthly or quarterly benchmarks with all the parts of your international organisation. You could learn from each other and share best practice.
This method is okay but you’re not getting access to a very large pool of results to measure yourself against. You will find that companies are very reluctant to give out benchmarking data. You might also be operating in an environment where the performance is quite low right across the business.
3. Hire a Professional Benchmarking Firm
This is the ultimate way to do it, although there are not a lot of professional benchmarking firms such as ours around. If you do manage to find one, you will quickly realise that there are significant benefits to be had by bringing in the professionals:
The metrics are put together in exactly the same way: When we do a benchmarking exercise for our consulting clients, we go through a very robust data-gathering process and then make sure all the costs, for example, are in the same buckets as everyone else’s in the database.
You gain access to a big pool of results: Professionals have measured hundreds, if not thousands, of companies. This enables you to say, ‘Our company is this size, it operates in this industry, these are the characteristics of our supply chain, who else in that pool of results is like us? We want to be measured against them.”
It’s no good measuring the performance of a grocery retailer, for example, against an industrial product supplier. They have different supply chains. You need to be measuring like with like.
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Warehousing and Distribution
Article | July 11, 2023
The complexity of today’s supply chain has resulted in a highly fragmented supply chain ecosystem. Whether it is a global pandemic or an ongoing war, streamlining the moving parts in the supply chain management system is an immense feat in the current climate. The resulting shortage of materials, disruption of transportation, and delays have complicated the supply chain even further. Add to it the expectation to minimize expenses, optimize inventory, and enable quality and customer expectations, and stakeholders at every level of the supply chain are inundated with challenges.
This is where using advanced analytics in supply chain can be a game changer for many manufacturers. It can help them gain a deeper insight into their operations and how the supply chain is moving.
How Supply Chain Analytics Enriches Supply Chain Management
A 360-degree view of the supply chain is crucial for supply chain leaders. A lack of insight can cause costly delays and avoidable disruptions. Obtaining complete visibility in supply chain management, on the other hand, can be difficult. The immense volume of data that many organizations have to deal with makes it difficult to gain proper insight.
Supply chain analytics tools help in gaining a better sense of the aggregated data from different parts of the supply chain, such as procurement, ERP in supply chain management, warehousing management, shipping and logistics management, and many more. The more accurate the data is, the simpler it is to use advanced supply chain management analytics to forecast, predict, and plan better in order to maximize the supply chain’s capabilities.
Optimizing the Supply Chain: 3 Ways to Do so with Analytics
With the range of analytics applications in supply chain in use today, manufacturers have the opportunity to completely transform how to view, manage and strategize. Here are five data analytics supply chain tools to consider in the pursuit of optimization.
Demand Forecasting
Inventory management is at the heart of supply chain optimization. Not calibrating the inventory stock based on demand and supply for bestselling products and those that don’t move fast can cause either an overstocking or understocking problem. Either way, forecasting the right balance is difficult to achieve, but data analytics can make it simpler. The lack of the right products in stock can heavily impact the bottom line. According to a survey by Logility, 36% of supply chain experts consider inventory optimization the primary reason for adopting analytics. An integrated mapping of retail sales, inventory levels, and the flow of goods will lead to accurate demand forecasting.
This data can empower organizations to:
Strategize sales promotions
Define product pricing
Maximize budgets
Predict accurate inventory levels
Inventory management has a cascading effect on the supply chain, and advanced demand forecasting has helped many organizations achieve an optimum level of inventory for the right products.
Predictive Warehousing Maintenance
Machine Learning (ML), artificial intelligence (AI), and the Internet of Things (IoT) have been emerging technologies on the supply chain management landscape. By using a mix of these technologies, it is possible for manufacturers to deploy predictive maintenance in warehousing. Predictive maintenance is the process of assessing data generated from the past and in real-time to determine patterns and identify equipment failure and maintenance schedule before a breakdown occurs.
This helps manufacturers to:
Avoid heavy repair costs
Plan spare part supply
Slash downtime from equipment failure
Eliminate production delays
In addition to reducing production bottlenecks, predictive maintenance gives businesses the ability to manage their equipment and optimize their shelf-life.
Warehousing Efficiency
At the warehouse phase of the supply chain, analytics can help manage the supply chain in more than just one way. The warehouse workflow is just as crucial, as it facilitates a clear view of the condition of goods as well as the optimization of the warehouse space. In addition to warehouse space maximization, quality control is another challenge that warehousing management addresses.
Supply chain analytics can enhance warehousing efficiency by:
Ensuring the correct storage of goods based on their weight, fragility, and perishability
Aligning with resource management like equipment, vehicles
Identifying disruptions to storage before they occur
One of the advantages of supply chain analytics is getting a deep insight into the warehouse’s operation so manufacturers can identify gaps and take steps to make it more efficient.
Transportation Tracking
Real-time analytics of transportation and logistics is a crucial piece in the puzzle of supply chain management. For example, the data generated in relation to fuel consumption, weather conditions, and even traffic patterns can help organizations boost their logistics and carrier management.
It can help them to:
Schedule deliveries
Determine better routes
Evaluate current routes
Strategize their shipping schedule
To Wrap it Up
To put it simply, a deep insight into the supply chain, inventory management, and warehouse operations is a great way to ensure the supply chain is on track. Effective supply chain management software is an asset for an organization when it is able to leverage the insights and make well-informed strategies to further optimize the supply chain.
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Warehousing and Distribution
Article | July 11, 2023
The logistics sector is experiencing a significant technological shift similar to that of all other industries due to the growing need for remote work solutions. Social networking, the Internet of Things (IoT), cloud-based logistics, and other technological advancements are reshaping the logistics industry and moving it in a new direction. Additionally, the supply chain and logistics as a whole are greatly influenced by factors like transportation and digital transformation.
Modern digital technology is fundamentally altering how various sectors function. Increased connectivity amongst the people has also increased the needs of customers, created new purchasing habits, and gave birth to an entirely new industry as a whole, e-commerce.
The Shift Towards the Could Technology
Over the past few years, the transportation and logistics industry has witnessed a shift towards digitization as more and more people have access to the internet and computer for day-to-day work.
From online grocery stores to local delivery apps and even on-demand airport shuttle services, the adoption of cloud technologies has given a viable solution to customers and businesses at a lower cost than before. As a growing number of businesses reevaluate their use of innovative technologies, cloud computing is becoming an increasingly serious and practical choice.
The cloud is of significant use in the world of freight transportation and logistics, as it stores crucial shipping information that can be accessed at any time via transportation management systems from anywhere. The technology is emerging as a game changer for the businesses operating in the logistics industry. Here is a list of benefits cloud technologies offer:
Logistical space planning
Real-time package updates
Leverage artificial intelligence (AI) and machine learning (ML)
Vehicle health monitoring
E-ticketing management
Final Thought
Cloud-based solutions have enormous potential to improve operational and financial efficiency in the transportation and logistics industry. Some facets of cloud-based solutions also have the ability to transform the overall shipping experience altogether. Assessing the merits of this technology, a large number of leading businesses are incorporating it for applications such as fleet-specific planning, shipment optimization, faster delivery, and others. In the coming years, cloud-based solutions are likely to become very popular in the supply chain industry as they keep getting better.
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Warehousing and Distribution
Article | July 11, 2023
Transform the supply chain with cutting-edge warehouse automation tools. Enhance productivity, minimize costs, and deliver exceptional customer experiences to stay ahead in the competitive market.
In the rapidly evolving world of manufacturing, logistics, and supply chain management, adopting automation has become imperative for businesses aiming to maintain a competitive edge. By minimizing costs, enhancing efficiency, and reducing downtime, automation delivers optimal value for manufacturers. However, selecting the right partner can be challenging with numerous warehouse automation companies available. This article explains the features and benefits of top ten warehouse automation tools that offer expertise in improving business operations. These data warehouse tools provide comprehensive solutions to meet diverse needs of the logistics and warehousing companies and improve the supply chain performance.
1. 3PL WMS Software Solution
3PL WMS Software Solution is one of the leading warehouse automation tools for supply chain operations. This software has comprehensive features that automate and streamline warehouse processes, offering unprecedented efficiency. The tool seamlessly integrates with existing systems and provides total transparency and control. 3PL warehouse automation software boosts order throughput, reduces pick time, and automates billing effortlessly. Gain unprecedented insights through accurate, real-time reporting, ensuring inventory accuracy and reducing lost-inventory costs. This warehouse automation tool, designed as the warehouse management backbone, revolutionizes operations, enhances customer satisfaction, and drives exponential growth.
2. Datex 3PL WMS
Datex 3PL WMS offers the most innovative warehouse management tools that help implement warehouse automation in the supply chain process for transportation services. This software empowers transportation and logistics services, revolutionizing material handling, storage, trans-loading, cross-docking, and more. It supports diverse industries such as refineries, steel mills, and energy distribution facilities. Its flexibility makes it an optimal solution to handle any inventory type, including bulk materials, steel products, liquids, and hazardous materials. This automated warehouse software also enables multi-warehouse operations and accommodates various modes of transportation. Additionally, Datex 3PL WMS boasts a highly flexible billing system, allowing individualized billing strategies and capturing value-added services. Industry experts benefit from streamlined processes, improved efficiency, and accurate billing, ultimately enhancing their supply chain business and warehouse operations.
3. Deposco
Deposco Bright Warehouse is a game-changing warehouse management software solution that offers advanced features and capabilities to businesses of all sizes. This data warehouse tool empowers companies to pick, pack, and ship orders efficiently, optimizing processes to further improve order fulfillment while reducing operational costs. It provides strategic order allocation, workgroup segmentation, and optimized picking strategies, to achieve accurate and speedy order fulfillment. The software offers network-wide inventory visibility through advanced tracking, barcoding, and management capabilities. This solution automates shipping processes by seamlessly integrating with carriers, ensuring maximum accuracy and speed. Leveraging its material handling technology for automation can lead to significant productivity improvements. Businesses can enhance their capabilities by accessing a unified view of operations, utilizing customization options, and benefiting from direct API integration with shipping carriers.
4. Softeon
Softeon is a powerful warehouse management tools for supply chain automation. Its comprehensive WMS optimizes distribution operations, handling all essential tasks while offering unique functionality for a competitive edge. With a proven deployment success rate and flexible delivery options in the cloud or on-premise, Softeon empowers businesses to streamline inventory management and delivery processes. By integrating with their Warehouse Execution System (WES), warehouse and distribution companies can further enhance order fulfillment orchestration and optimization. Industry leaders like UPS Supply Chain Solutions and Sears Home Services rely on this warehouse automation software.
5. Logiwa WMS
Logiwa WMS offers a cloud fulfillment platform that combines WMS software and order fulfillment capabilities, enabling companies to operate a digital fulfillment network and expand their direct-to-consumer operations without the need for additional staff. The data warehouse management tool offers comprehensive warehouse and inventory management functionality, billing, and seamless integrations with over 200 ecommerce, accounting, and shipping solutions; it empowers 3PL providers to optimize order fulfillment, enhance speed and accuracy, and drive customer satisfaction.
6. SnapFulfill
SnapFulfill is one of the leading warehouse management technologies that empower companies across various industries, including B2C and B2B retail, third-party logistics, manufacturing, food and beverage, and electronics, to optimize their inventory, space, and resources. With SnapFulfill's class-leading warehouse management solutions, businesses can streamline operations and enhance efficiency. The software offers flexible deployment options and payment methods for diverse warehousing challenges. By utilizing SnapFulfill, industry experts gain access to advanced data warehouse tools that enable them to improve their supply chain business, enhance warehouse and distribution processes, and achieve optimal inventory management for increased productivity and profitability.
7. Indigo Software
Indigo WMS is an award-winning warehouse management system tool designed to enhance supply chain operations. It offers real-time control, visibility, and functionality for all warehouse processes. It is one of the best supply chain tools to track inventory in real-time, enabling efficient cycle counting, forward pick replenishment, and improved inventory forecasting. With Indigo WMS warehouse automation software, these tasks are automated, and the software ensures greater picking accuracy, reduces returns, and enables on-time and complete deliveries. It seamlessly integrates with existing systems, whether from SAP, Microsoft, Oracle, Infor, Sage, or other ERP, TMS, or SCP vendors, providing live and up-to-date data visibility across the entire supply chain process.
8. OrderWise
OrderWise is an order management system that empowers businesses in the consumer goods and retail sector to accelerate operations and deliver exceptional customer service. With its integrated features, OrderWise ensures seamless order processing and maximizes sales opportunities. By tracking orders from various sales channels, managing tight schedules, and making real-time adjustments, businesses can meet customer demands promptly. This is one of those supply chain management tools that provides valuable insights into customer purchase history and stock availability, enabling personalized recommendations and enhancing sales effectiveness. Whether for ecommerce, retail, or B2B sales, OrderWise streamlines order operations, making them smoother, faster, and more accurate.
9. Balloon One
Balloon One provides supply chain management tools, offering tailored software solutions to distribution, manufacturing, and e-commerce businesses. Its expertise lies in streamlining processes, optimizing resource allocation, and enhancing operational efficiency. With a focus on minimal disruption, Balloon One seamlessly implements software solutions, ensuring uninterrupted business operations. As an impartial advisor, the software offers both SAP Business One and NetSuite, thus allowing to recommend the ideal ERP system for each company's unique requirements. In addition, this software provides wholesale and distribution businesses with the robust HighJump WMS, a real-time warehouse management system that delivers scalability and flexibility.
10. Foxfire
Foxfire offers supply chain management tools specializing in Warehouse Management Systems (WMS). It offers WMS solutions, including features to optimize inventory, increase labor productivity, and enhance customer satisfaction. With over 20 years of industry experience, Foxfire has a proven track record of delivering measurable results to customers worldwide. This tool provides a comprehensive approach, including needs assessment, best practice recommendations, training, and ongoing support. Additionally, it is cost-effective by delivering low lifetime costs.
Conclusion
The warehouse automation market is experiencing significant growth, with a wide array of exceptional warehouse automation tools that offer high-quality solutions. Regardless of any special requirements, exploring the features of each warehouse automation tools is vital to identify the ideal fit for any business. Choosing the correct solution from the data warehouse tools list will help to improve inventory management and distribution efficiency through warehouse automation. Embrace the opportunity to streamline processes by leveraging supply chain management tools and warehouse automation solutions and experience the transformative power of automation to unlock the full potential of your business.
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