What was the biggest takeaway from Logistics Management’s 2011 Warehouse & DC Operations Survey? Review your information system support for your operations and review your processes.
“Take a look at your information system support for your operations combined with a look at processes because that’s where you’ll get your biggest bang for your buck,” Don Derewecki, senior business consultant for TranSystems, said during the Nov. 30 webinar to discuss the survey results.
Norm Saenz, senior vice president and principal at TranSystems, said it’s important for warehouse and distribution center management personnel to review processes, “then look at technology and see how it is integrated with product slotting, picking in your picking environment, and how you’re organizing your goods in your warehouse.”
More distribution centers are closing, rather than opening in this economic environment, according to the survey, inventory turns are not improving and many companies are opting to be more cautious, leveraging cost reduction measures that require little or no investment.
Nearly 600 people participated in the survey, which included mid-level, upper-level, and senior-level managers who are personally involved in decisions regarding their company’s operations. The research was conducted by the Peerless Media Research Group on behalf of the Supply Chain Group magazine.
“Doing more with less makes sense to me,” Saenz said, referring to a theme of the survey.
Derewecki said he was a little surprised so many respondents (57% aren’t using any leading-edge technologies to improve their warehouse/distribution center operations) were on the lower end of technology, “but many can’t justify the investment.”