tips-max-efficiency-decrease-labor

How to Maximize Efficiency and Decrease Labor Requirements

Reducing costs and maximizing efficiency in shipping and manifest operations doesn’t have to be a hassle. Follow these tips to improve your process today.

1. Implement Vendor Compliance Policies to Decrease Receiving Costs

Vendor compliance programs may be one of the best strategies for reducing costs in your shipping and manifest operations. Plan and execute a formal vendor compliance policy to reduce warehousing and freight costs, speed up order processing, and lead directly to increased customer satisfaction.

Vendor compliance policies are used to spell out your company’s expectations regarding cost of back orders, delivery dates, product condition and quality, and much more. Every vendor compliance policy is different, so you should focus on the areas that are of a greatest concern to your business. For example, you can include requirements for on-time delivery to reduce back orders or set penalties for procedures that are not followed.

Formal vendor compliance policies allow your business to avoid having to absorb costs for noncompliance. Additionally, it makes it easier to implement advanced supply chain systems or RFID programs. A good vendor compliance policy will reduce the time spent dealing with vendor disputes, claims, and charge-backs.

2. Decrease Labor Costs and Save Time with Fully or Semi-Automatic Bagging 

Fully automated bagging systems and pack stations for mail order fulfillment and E-commerce operations can decrease labor costs and reduce throughput time. The complete auto bagger will automate the pack-out, documentation, weighing, and labeling of orders to streamline and simplify any shipping operation.

Bagging systems are available for operations of any size, from small tabletop semi-automatic baggers that are loaded by hand, to large fully integrated, fully automatic baggers that require no labor to operate.

3. Use Product Slotting for Fast Selling Items

Product slotting, or having top demand items located closest to your shipping operation, will reduce the cost of picking and shelving items. Determine what your best selling items are, and reorganize your warehouse to slot these products near your shipping department. Pay attention as demand changes, and be prepared to change the placement as needed.

4. Decrease Labor Costs with Increased Standards and Warehouse Management Systems

An excellent Warehouse Management System (WMS) can help reduce costs by automating processing and reducing errors. Consider implementing a WMS in your facility to improve throughput, decrease labor costs, and increase productivity.

When you implement the right WMS for your business, you can experience faster distribution with lower labor costs, reduced operational expenses, and improved supplier and customer relationships due to increased accuracy.