It is nothing new to use technologies to improve productivity and streamline processes. But with the growth of fulfillment centers and a shortage of manpower to satisfy the competition, warehouse leaders are responsible to simplify their business processes to become leaner and much more effective while minimizing mistakes by leveraging advanced technologies.
Popular concerns that contribute to shortfalls involve inventory distribution, inventory monitoring, optimization of stock and sorting, and availability of equipment. Initial deployment can seem like a complex endeavor, but the time and expense savings are priceless until a technical breakthrough such as implementing RFID is in operation. Many RFID tags will provide all specifics of the activities of a warehouse, allowing managers full visibility of everything from product status to warehouse structure to employee productivity. For more detailed forecasts and business decision-making, the data they capture may be embedded in reports.
Optimization of warehouse management with RFID trolleys in Pellenc case
Today, PELLENC Group is one of the world’s largest manufacturers in the construction of advanced machinery for agriculture, green areas, and metropolitan centers.
Their problem was to develop the method of providing the right materials at the correct time to their manufacturing plants. They introduced traceability and increased quality in their supply chain with the introduction of RFID tags to their transportation trolleys.
The primary intent of Pellenc was to identify the mistakes occurring in the administration of their warehouse. The company set out to figure out whether it was awaiting or not returning trolleys holding equipment parts from around the factory.
What is achieved?
The RFID traceability method is indeed a closed-loop mechanism for Pellenc application. What does it imply? It means the RFID tags are read by readers on trolleys holding equipment and component pieces. A program that generates a CSV file for each read tag manages data gathered by reader gateways.
Pellenc has been able to make the movement of their trolleys more smooth and more efficient after fine-tuning the RFID tags attached to each trolley. In their order planning and managing processes, they were also able to discover problems that helped them boost efficiency improvements. As a consequence, inventory management has been enhanced.
Optimization and data
Tracking for each shipment ensured that trolley rotation became smoother and more efficient instead of missing or using inaccurate or ambiguous routes in the production process and that equipment and goods could be traced to their position in the warehouse. Indeed, tracking in real-time has acted as a precautionary measure, such as eliminating lost or defective equipment.
Managing People Costs and Efforts
In a much less than a week, long-term approach, Pellenc implemented the solution itself, addressing several difficulties in warehouse layout and conflict with staff movement.
On average, labor costs account for more than 65% of a warehouse’s expenditures generally speaking. Before introducing automation, evaluating the operation of the facility is a good idea, but it also has a huge effect on production and organizational performance. As optimization depends heavily on layout design engineering, as well as structured processes and procedures, the processes in a disunited facility can not quickly be streamlined.