On picking and packing

• Combined shipping label/pick documents. These work well in single-order pick environments; when the order is picked, it is immediately placed into its shipping carton and its packing label is applied at the same time.

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• Hand-held radio-frequency (RF) terminals and portable label printers. A pick task is sent to the RF device, and the worker goes about the job of picking the product, making the process virtually paperless.
• Pick-to-light technology. This also allows for paperless picking. A system of lights throughout the picking areas is linked to the order management and inventory system. The worker picks product by following the lighted locations and then confirms each pick in the system. The system is then able to carry out inventory transactions, complete order records, and drive replenishment requirements.
• Voice recognition technology. Voice messages deliver tasks to pickers, who in turn can use common speech to give commands to the system. The system also helps to direct the employee to the pick location. Voice recognition systems are flexible and allow order priorities to be quickly changed.

Many companies have set up dual systems, using pick-to-light for the 20% of the components that make up 80% of the product volume and using voice for the 80% of the parts that make up the final 20% of the product volume. This combination of technologies underscores that no single process is best in class. Best-in-class companies select the method or methods that achieve the best operational efficiency to support their customers' demands and drive the lowest labor costs.

Peanut butter and jelly. Reaping and sowing. Picking and packing. It's tough to discuss the one without segueing to a discussion of the other.

Best practice in packing is to use the order management system (OMS) to select the proper size of box and the right type of packaging. The OMS, which holds product size and weight information and packaging requirements, automatically analyzes each order and adds any special packing instructions to the pick documents. System-selected packaging has the benefit of optimizing freight costs, reducing damage, and reducing operator time in packing.

Technology plays a part in a company's ability to perform transactions as a seamless part of the picking process. It is common practice for transactions to be performed at the end of the pick process as part of order consolidation or confirmation. Best-practice companies have integrated transactions into the process by using RF terminals, wireless speech systems, or similar WMS-enabled transaction automation. This allows transactions to take place in real time and in a single system of record.

Understanding best practices can be a daunting task for many companies. Professional conferences such as the National Conference on Operations & Fulfillment (www.ncof.com) are a good starting place to learn about what other companies are doing. There are also many good industry resources publicly available such as WERC's Best Practices Handbook Series (www.WERC.org).

	Taking measure

Improving performance in the pick and pack areas will help to reduce labor and increase efficiency; it will also boost customer service levels. Performance metrics must measure both what the customer sees and what drives improvement in warehouse processes. Best-in-class companies strive to link metrics to customer satisfaction and drive improvements by:

• measuring daily activity by major task.

• measuring accuracy and performance at the individual level.

• displaying performance metrics on the warehouse floor and using those metrics as part of a daily “standup” review of performance.

• including employees in continuous improvement programs.

• gathering feedback, suggestions, and information from pickers and packers.

• reporting customer-facing metrics to their customers.
  — KV