Based on our findings, we recommended the following:
* Replenish all inventories at picking locations at the end of every night shift. * Use continual off-line replenishment of picking location stock throughout the night. * Implement "inventory-by-location" at receiving, warehouse and shipping operations * Move transactional processing and posting receipts, issues, and inventory balance updates from the office to the functional locations at receiving, warehouse, and shipping. * Implement bar coding applications within receiving, warehouse, and shipping. * Begin cycle counting during downtime to increase balance accuracy to 98% * Develop written operating policies, procedures, job instructions, and job descriptions for warehouse operations to stabilize operations, provide sustainability, and to be used to train workers. * Convert the job of the person in the office posting transactions to a full time inventory auditor * Use a separate audit team during monthly physical inventories checking 10% of counts, and requiring a recount when physical count discrepancies are found * Program the current system to automatically produce shipping/delivery invoices * Program the current system to include manual transactions such as pick-up and reship memos, and to sort them with picking lists.
The results from the implementation of our recommendations were: * Productivity improvements of 20-30% in warehouse receiving, picking, and shipping operations * Annual operational savings due * The warehouse is your go-to place to get inventory to move back onto the showroom floor or to distribute to customers. However, when it's time to do so, the last thing you want is to spend hours trying to hunt down a specific product, particularly if you need it for a customer. Choose one good method with which to organize your