Order picking schemes are like an octopus; its tentacles stretch in many directions, all of which must be considered if a new order picking investment is to be efficacious. There are both fixed and mobile hardware and software issues to consider that are peripheral to the core functions of picking. It is not much use, for example, if the human order picking function has been improved by pick-to-light or voice picking systems if there is no reliable stock/demand forecasting programme in place to prevent unpleasant shocks that overwhelm online e-fulfillment centres, in particular, owing to manic, one-day, cut-price product promotions. Good stock forecasting programmes can, for example, react in real time to daily weather forecasts, particularly crucial if a heat wave is predicted. Their ability to slash total stocks by one third without affecting customer service can yield a programme payback in two weeks. Labour may account for around 50% of order picking warehouse costs but if huge sums are tied up in stocks then the cost of carrrying inventory can dwarf all other warehouse running costs combined.

chazThe key essential for getting a grip on order picking costs is understanding the current pick rates against labour and fixed costs. Once that has been established then one can test which route to take for improvements, such as semi and full automation, but the hardware investments do not stop at the picking face. Picked items must be packed, labelled and delivered to loading bays in the most cost-effective ways, with time always a pressing factor, given the paradigm shift from customers intolerant over long delivery times. Automated, end-of-line packing systems, therefore, may need to be considered.

Any hardware investments may not necessarily be a high-cost issue. Racking uprights can be supplied with a slot pattern designed to accommodate flow storage shelves for live storage or to adjust pallet seats. If the racking installation is to be integrated into a total logistics system or for later upgrading into an automated storage system, various punched holes can be designed into the racking to allow for the future installation of roller tracks and conveyors.

But what if circumstances mean that you must adapt the existing racking to improve order picking? Many companies that store stock offsite have found that they can reduce costs by bringing offsite storage back in house. This, of course, generally requires denser storage, such as live storage systems because many companies may not have much storage on site other than their existing standard pallet racking. The good news here is that it is possible to optimise existing pallet racking by retro fitting flow schemes to form combined pallet/carton live racking. Moreover, it may be possible to create more storage space where existing aisles have been made to suit standard counterbalance forklifts, typically requiring 3.6 mt-wide aisles, and in the case of reach trucks, 2.6 mt wide. By switching to articulated forklifts from Bendi, Flexi Narrow Aisle and Aisle Master it is possible to reduce working aisle widths to 1.6 mt and thus increase pallet storage capacity by up to 50%. An alternative could be installation of a mezzanine to give the required space.

Where there are already sufficient hardware systems that have been in place since before online shopping galvanised operators into much more order picking than full pallet or carton picking then warehouse operators should seriously consider pick-to-light or voice picking so as to eliminate all paper pick lists and the inherently higher picking error costs. Voice picking is 20% faster than paper based picking, far more accurate and typically delivering paybacks in one year. It is also highly flexible in that it can be scaled up or down according to changing demand patterns. Pick-to-light or full warehouse automation are more suited to settled demand patterns, low SKU churn and high volumes.

A healthy workforce is a happy and productive workforce. A properly designed picking face that has ergonomics at its core will ensure that there will be less sickness, less walking and more picking. Both hands-free pick-to-light and voice picking can deliver on that and are very quickly assimilated by pickers.

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