
Core warehouse management
Core Warehouse Management System (Wms) Benefit
Core WMS Benefit |
LOGTECH Impact |
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Reduce labor cost |
• Reduce direct labor: Receiving, Putaway, Replenishment, Picking, Packing, Shipping, Value Added Services (Kitting), Trafficking, Order planning, Customer Service, DataEntry • Reduce indirect labor: Clerical, Inventory Management • Less paperwork and reduced cycle counting frequency leads to a reduction in workforce |
Reduce Direct Labor Costs by 5% - 15% |
Reduce expense |
• Reduced error rate and penalties due to fewer chargebacks/fines • Ensure accurate product tracking with configurable cycle counting, throughout the warehouse • Consolidate Orders to reduce transportation and shipping costs • If RF enabling, reduced paper pick ticket printing and supplies costs • Improved inventory control and enforcement of proper inventory rotation results in decreased damage and shrink • Improved first-pass quality and increased on-time departure resulting in higher perfect order fulfillment • In a system controlled environment, inventory gets lossless frequently |
• Reduce Storage and Handling costs by 10-35% • Shrink/Obsolescence Reduction: up to25% • Reduce Freight Spend up to 5% |
Cost Avoidance |
• Potential avoidance of acquiring new equipment such as rolling stock and material handling equipment, the recurring benefit of maintenance costs on equipment leased equipment • Potential avoidance of new construction expansion, or potential to sublease excessive space, warehouse consolidation, avoid leading off-site storage |
• Improve asset and space utilization by 10-30% • Decrease in Equipment Operating Costs up to 15% |
Reduce inventory |
• Improved inventory accuracy resulting in a reduction of excess safety stock and “just in case” inventory • Improved inventory accuracy and faster order processing allows reduced inventory days on hand required for sustained service levels |
• Inventory Accuracy of 99.9%+ • Reduce Inventory Up to 10% |
Improve Customer Service |
• Improve order processing time resulting in faster order fulfillment • Decreased ShippingErrors as a result of improved control and validation of fulfillment tasks |
• Shipping Accuracy of 99.9%+ • Decrease Order Correction Costs up to 75% |
Revenue Lift (Enhanced customer service) |
• Improved visibility and control of operations increases on-time departures enhancing customer service • Enable increased throughput which results in the ability to increase shipment frequency resulting in fewer stock-outs • Decreased Order to delivery cycle time enhances customer experience and loyalty |
• Reduce order cycle time by: 5-25% • Revenue lift: 0.25-2% |