Pillars of Warehouse Efficiency
Pillars of Warehouse Efficiency
Pillars of Warehouse Efficiency
1. Order
Accuracy
8. Employee 2. Inventory
Productivity Accuracy
Key factors
7. Dwell impacting 3. Cycle
Time warehouse Time
efficiency
4. Turn
6. Capacity
around
Utilization
Time (TAT)
5. Pick-and-
Pack
Accuracy
Metrices impacting each pillars
1. Order Accuracy 2. Inventory Accuracy 3. Cycle Time 4. Turn around Time
Order accuracy rate Inventory accuracy rate Lead time Loading and Unloading
Order cycle time Inventory turnover rate Order fulfillment rate Time
Error rate Stockout rate Throughput time Transit Time
Returns rate Order lead time Inventory turnover Dwell Time
Customer complaints Carrying cost Fill rate Vehicle Idle Time
Cost of errors Obsolete inventory Order accuracy On-Time Delivery
Order fill rate Backorder rate Order Accuracy
Vehicle Turnaround Time