The management of any warehouse/store needs an effective labelling and identification system, stock needs to be identified and in its rightful place in order to maximise order picking and minimise costly errors. Beaverswood can offer a one-stop shop for all your warehouse labelling and identification needs.
It’s commonly recognised that order pickers who function within an inefficient operational setup, expend a significant amount of their time attempting to retrieve items that aren’t located in their designated positions. Consequently, this results in a rise in picking errors, which adversely impact all facets of the business. These errors necessitate additional efforts to rectify the orders, occasionally involving issuing credits, re-invoicing, and reshipping. These processes consume valuable time and can also have a negative influence on customer retention.
Many small and medium-sized enterprises (SMEs) find it impractical to implement a comprehensive barcoded order-picking system due to the associated costs. Consequently, most businesses continue to utilise their existing systems, which frequently become outdated due to shifts in products, market dynamics, and warehouse methodologies. By making an investment in a racking labelling system, these SMEs can achieve reduced picking times, fewer errors, and often witness improvements in customer satisfaction and retention.
Looking purely at cost-saving, let’s use a typical example of an industrial goods re-seller averaging 50 orders a day with an average order value of £75.00 (£3750.00) Their order picking errors are 3% (1.5 orders per day) with all the associated costs to correct these orders running at £40 per order. 1.5 orders x £40 =£60 – per day x 20 working days a month x 12 months = a yearly cost of £14,400. By having a more efficient system and reducing order picking rates down to 0.5% which would equate to 0.25 orders per day (£40 x 0.25 x 20 days x 12 months) would give a total cost of £2,400. Not only therefore is there a direct saving of £12,000 achieved in the first year but also it would equate to an extra 300 orders being delivered correctly to the customer, a true double edge sword by reducing costs and improving customer retention.
As well as having an effective labelling system, legislation states that you must warn staff/visitors of hazards within the premises. According to statistics one worker is killed every six weeks and many more are injured as a direct result of forklift accidents. Having set pedestrianised routes/areas and visible forklift warning signs will help reduce the likelihood of any incidents occurring.
To further aid demarcation, products such as floor signalling can be used which help highlight walkways, traffic flow, pallet positions and general marking on the warehouse floor.
Over the last few years, there has been significant growth in companies adopting 5S and LEAN manufacturing policies, The 5S focus is on Sort, Set in order, Shine, Standardise and Sustain. Company’s adopting these policies achieve higher operational results by sustaining a productive work environment, reducing waste, helping to lower accidents and lower unplanned downtime.
To manage warehouse waste and maintain 5S standards, adding Racksacks to the end of racking helps waste segregation and promotes a cleaner green environment with less clutter/waste products being on the floor possibly leading to lower accidents.
The racksacks are available in 14 standard designs and can also be produced with special prints/logos/design. Due to legislation that became effective in 2015 all waste producers must follow a hierarchy to re-cycle or re-use as much of their waste as possible and any waste that can not be must be segregated before being passed to waste collectors.
These products can be purchased through many industrial distributors for further details on the nearest supplier and to obtain more information on labelling and identification products contact Beaverswood Supply Co Ltd, 0118 9796096, sales@beaverswood.co.uk
