Warehouse Put-away Process

Warehouse Processes: Put-away

• The put-away process is often ignored but crucial for warehouse efficiency.
• Initial goods placement impacts all subsequent warehouse processes, especially picking.
• Suboptimal storage leads to increased travel time for picking and packing.
• Failure to store cargo correctly increases risks to security, integrity, and employee safety.
• Warehouse managers indicate that inventory control (53%), picking (47%), and put-away & replenishment (45%) are typically the most inefficient warehouse processes.

Put-away Process Objective

• The main goal is to move goods from the dock to the best storage location in the warehouse.
• The process should ensure cargo is stored quickly and efficiently.
• It should minimize warehouse travel distance.
• The security of goods and employee safety should be ensured.
• Warehouse space utilization should be maximized.
• Cargo should be easy to find and track.
• Goods need to be stored for quick and easy retrieval during picking.
• Inefficient put-away impacts overall warehouse productivity.

Put-away Information for WMS

• Information needed includes the size, weight, and height of palletized goods.
• ABC analysis or slotting results dictate fast-moving goods placement closest to dispatch.
• Current order data is used.
• Family product groups are considered.
• Actual sales combinations are analyzed.
• Current status of pick face for each product is monitored.
• Size of pallet locations is important for placement.
• The weight capacity of racking is noted.

SKU (Stock Keeping Unit)

• SKU is a distinct item available for sale, including product/service attributes that differentiate it.
• Attributes can include manufacturer, description, material, size, color, packaging, and warranty terms.
• SKU can also refer to a unique identifier or code for a specific stock-keeping unit.
• These codes are neither regulated nor standardized.
• Companies can maintain a vendor's SKU or create their own.
• Global Trade Item Numbers (GTIN) are distinct from SKUs, being standard, global tracking units.
• Universal Product Codes (UPC), European Article Numbers (EAN), and Australian Product Numbers (APN) are special GTIN cases.

SKU vs. UPC

• SKU is alpha-numeric based containing letters and numbers with a variable character number and a typically 8 digit length.
• SKU's are unique to individual retailers and track inventory, including the product's details like color, size, storage, location etc.
• UPC's use a numeric base containing only numbers, has a 12 digit requirement and is purchased/licensed from GS1.
• UPC's are universal among retailers for external use and tracking, containing information about manufacturers and sellers as well as price/origin.

UPC-EAN-GTIN-ISBN

• UPC is a Universal Product Code with 12 numbers, typically used in North America.
• EAN is a European Article Number with 13 numbers, typically used outside of North America.
• GTIN is a Global Trade Item Number with 14 numbers, used to identify products of different packaging styles.
• ISBN is an International Standard Book Number that is unified with EAN at 13 numbers, used to identify books.

Warehouse Processes: Picking

• Warehouse order picking: labor and parts for pulling items from inventory for customer orders.
• Best practices for warehouse picking are not ‘one-size-fits-all'.
• To improve the picking process there has to be: right organization, communication, smart investing and common sense.

Types of (order)Picking

• Direct/Discrete Picking: one order-picker picks one order, and one line at a time.
• Zone Picking: one person picks all SKUs in a zone for each order.
• Batch Picking: one picker picks a group/batch of orders at the same time, and one SKU at a time.
• Cluster Picking: a single picker compiles multiple orders at a time, dealing with a variety of SKUs.
• Wave Picking: similar to discrete picking, but with a scheduling window.

Direct Picking

• This is when the worker is assigned to a zone, the warehouse compiles each piece of necessary inventory in the order, one line at a time.
• Works well for warehouses with small teams that are not inundated with orders.
• Even though it can take more time in the pick area, the tradeoff is that it minimizes the number of touches to ship an order.
• An order can be picked with one touch, without additional sorts in a discrete picking methodology.

Zone Picking

• Warehouses compile orders with multiple components, and is known as zone picking.
• The company inventories "zones" that have an order picker or automated equipment set up with unique SKUs there.
• Components get placed in a designated vessel, it is passed to another picker/equipment for transport.

Batch/Multi-Order Picking

• This method works well for businesses that are interested in picking up during the order fulfillment pace.
• Managers assess current orders for popularity, placing them into batches by their SKU.
• From that point, pickers in the warehouse are in the best area in order to get orders fulfilled as quick as possible.
• Batch picking is extremely well for e-commerce businesses With somewhat predictable ordering trends, like those specializing in food and apparel.

Cluster Picking

• Efficiency is a main component, and its known as cluster picking due to involving a single picker to compile multiple orders at a time, dealing with a variety of SKUs. This method can give a serious leg-up when it comes to speed, but you will need to integrate special technologies and resources to make it successful in your warehouse, such as a sharp, well-trained picker, a mobile cart, automated equipment and voice solutions.

Wave Picking

• High fulfillment demand coupled with plenty of diverse inventory makes for a lot of sense and in wave picking.
• A single picker does each order, line-by-line, but warehouse orders are assessed to maximize shipping and picking operations. This strategy allows "waves" of orders to be shipped and compiled throughout the day, prioritized by time and importance.

Picking Type Combinations

• Companies may combine the five main picking types.
• This ensures they are better suited to the organization's changing needs.
• Combinations include: zone-batch, zone-wave or zone-batch-wave picking.

Strategy Comparison: Individual Order Picking

• Single-stage operation and flexibility are benefits.
• Ability to isolate urgent orders and picker's path decision are additional advantages.
• Manual or technology systems can be utilized.
• Low pick rate and labor intensity are disadvantages.
• Bottlenecks at the pick face can occur.
• Training can take time, depending on the tools.

Strategy Comparison: Cluster Picking

• Picking multiple orders is possible at the same time while still reducing travel.
• Overall pick time can be reduced.
• Training and accuracy can be an issue.
• Urgent orders cannot be separated easily.
• System assistance is required to join orders.
• Bottlenecks and second stage packing can occur.

Strategy Comparison: Batch Pick to Zero

• Picking multiple orders can be done at the same time.
• Effective for e-commerce orders with hundreds of orders for a single line to reduce travel and have accuracy.
• Cross dock operations are available as well.
• Urgent orders cannot be separated easily.
• Requires assistance to combine orders, is bulk pick, and can take longer that pack to line.
• Additional staff may need to be trained as well.

Strategy Comparison: Batch Pick by Line

• Multiple orders can be picked at the same time and reduces travel.
• Effective for e-commerce orders with hundreds of orders for a single line.
• Not easily urgent orders can be separated.
• Additional stock returns are required as well as training for additional staff.
• Re-packaging is required.

Best Practices for Warehouse Picking

• Availability of inventory that is 100%
• Picking routes are planned carefully.
• Slotting based velocity is implemented.
• Invest in automaton.
• Record keeping of data errors.

Best Equipment for Optimized Warehouse Picking

• Optimized warehouse picking equipment includes: mobile robots, heavy-duty equipment, voice-picking equipment, barcode scanners, weight scales, and software.

Advantages of Automated Picking

• Automated picking improves the space utilization and reduces space requirement.
• It offers high bay, narrow aisle systems (up to 30 meters high).
• It offers storage and cost reduction through low energy.
• Improved control is present as well.
• WMS with pallet tracking.
• Labour and energy saving.
• No heat and light required, unless required for product integrity.
• Minimum supervision required.
• Operates for 24 hours, 7 days a week with constant product security, first principles in high bay areas, and reduced human intervention.
• Increases safety with ability to eliminate manual handling.
• Copes with hazardous/harsh environments like refrigerated storage.
• Integration, avoiding bottlenecks, and constant review.