Warehouse Manager Responsibilities and Skills

Warehouse Manager Responsibilities

• A warehouse manager oversees efficient receipt, storage, and dispatch of goods.
• They are responsible for a crucial part of the supply chain process.
• Warehouse managers manage people, processes, and systems.
• Warehouse managers play a vital role in organizational success.

Key Skills for Warehouse Managers

• Good teamwork skills
• Managerial skills
• Interpersonal skills
• Verbal and written communication skills
• Logical reasoning skills
• Numerical skills
• Technical skills
• IT skills

Job Description and Core Accountabilities (Part 1)

• Ability to negotiate
• Information technology skills
• Basic financial understanding
• Ability to make good business decisions
• People management skills
• Ability to motivate and lead a large workforce through communication and engagement
• Develop and maintain programs related to hiring, training, and professional development

Job Description and Core Accountabilities (Part 2)

• Cost-efficient warehouse operation
• Leadership responsibility
• Continuous improvement in cost-efficiency
• Long-term vision for future volumes and customer service
• Safeguarding human and physical assets of the warehouse
• Management of projects
• Introduction of new initiatives
• Maintain/form strong relationships with suppliers
• Develop/manage relationships within the warehouse environment

Warehouse Management Questions & Answers

• The most valuable asset of the warehouse is people.

Basic Principles of Warehouse Management

• Accuracy
• Cost control
• Cleanliness
• Efficiency
• Safety
• Security

Warehouse Management Trade-offs

• Increased throughput vs. reduction in labor costs
• Storage density vs. faster pallet extraction
• Manual vs. automated processes
• Inventory holding costs vs. cost of stockouts
• Increased pick rates vs. accuracy
• Speed vs. safety

Challenges of Warehouse Managers

• Nearly 3000 hours per year are lost due to inefficient processes in warehouses and distribution centers.
• 80% of managers are tasked with finding cost savings in existing operations.
• On average, managers are tasked with finding nearly 20% of cost savings within their organizations.
• Most frequent inefficient areas include inventory control (53%), picking (47%), and putaway/replenishment (45%).
• One in six managers will not review workflow processes until a customer complains.
• Pressure to reduce operating costs while increasing customer service.
• Achieving the perfect order (on time, in full, in perfect condition, with correct paperwork).
• Shorter order lead times and stock availability impact order lead time.
• Low involvement purchases might lead users to switch and search for lower costs.
• Competitive advantage is gained from fast, timely, and accurate deliveries.
• Deliveries are handled through multiple channels (e.g., direct-to-consumer, selling through retailers, selling through wholesalers).
• Smaller, more frequent orders and Efficient Consumer Response (ECR) are challenges.
• Increases in stock-keeping units (SKUs), proliferation of product variants, and packaging variations impact operational challenges.

Lean Warehousing

• Lean principles remove activities that use resources without adding value.
• Warehouse operations are usually not lean.
• Cross-dock centers and fulfillment centers can often be lean.
• Moving stock quickly is key to lean warehousing.
• Wasting space (e.g., pallet stacking, obsolete stock), wasting time (e.g., defects, bottlenecks), and wasting energy (e.g., idling vehicles, inefficient machinery) are all substantial issues.
• Wasting time is a very expensive type of waste.
• 5S approach: Sort, Straighten, Shine, Standardize, Sustain.

Discussion Questions

• Explain why warehouse managers need the ability to negotiate.
• Why are relationships with suppliers important in warehouse management?
• Explain delivery through multiple channels and provide examples.
• Explain the concepts of lean warehousing.
• Mention five skills of a warehouse manager.