RTL Reliable Transportation More About Warehousing | Page 4

FIVE TIPS TO IMPROVE THE EFFICIENCY OF
YOUR WAREHOUSE
•
Account for the Warehouse Labour Cost
– Labour is the highest cost of operating a warehouse. In fact, it accounts for up to
50% of the total operating costs. Accounting for labour cost manually is highly
discouraged because this method is very inefficient and may produce inaccurate
information. However a labour management system will definitely come in handy in
this situation. It enhances efficient tracking of labour costs and simplifies work. This
management system collects and uses the workforce data from the warehouse
operations without any limitations.
•
Ensure adequate technology is received by warehouse workers
– Willingness is important at this juncture. It has been discovered that most people
are quite uncomfortable with supply chain technology. Most people may not have
the capacity to navigate the technical world and this becomes a major problem.
However, there are technology providers who offer high skilled training for those it
may concern.
•
Reduce Obsolete Inventory
– As long as inventory does not move, revenue does not increase and stock cannot be
put up. This results in a major drain on productivity. In order to prevent this, it is
encouraged that a report can be run to aid in reducing inventory.