After: Distribution Center

32 efficiency gains were documented, 31 were implemented successfully (racking was delayed due to leased building constraints).

Primary gains were made by optimizing labor utilization and shifts & optimizing space utilization. The distribution center was able to streamline all processes based on newly implemented engineered standards.

Decision was to implement facility improvements and delay the WMS implementation.

ROI includes:

  • 3-year ROI based on facility improvements estimated to be roughly +$3,795,000

Improvements include:

  • Average time to find a shipment reduced from 19 min to less than 13 min, reduction of 30%+

  • Damage/Lost/Missing claims reduced by 90%

  • Temporary labor reduction and overtime reduced by 25%+

Intangible gains:

  • Staff morale increased

    • + staff retention

  • Customer can advertise their facility as a showcase site.

    • + new business and retained business

  • The future WMS implementation has a much higher likelihood to be successful since it’s being implemented on a stable and streamline process

    • + chance of successful WMS implementation

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Before: Distribution Center