W606 - Advanced Warehouse Management System ... Warehousing Operations Pre-requisites: None Warehousing

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    © 2007 Industrial Data & Information Inc.

    W606 - Advanced Warehouse Management System for Normal

    Warehousing Operations Pre-requisites: None

    Warehousing is deceptively simple, yet quite complex at the same time. This "last mile" of the road is c-r-i-t-i-c-a-l to customer satisfaction as customers demand perfect shipments every time. Learn about advanced WMS functionality that can assist you in being very successful. Learn how many warehouses now offer value-added-services to their customers as a profit center. Insightful information on warehouse labor productivity and multi-tasking is also covered.

    Wednesday, March 21, 2007, 3:45 p.m. Philip Obal, President of IDII


    © 2007 Industrial Data & Information Inc.

    Advanced WMS for Normal Warehousing Operations

    Philip Obal President of IDII


    (918) 292-8785

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    About the Speaker

    Philip Obal President of IDII

    (918) 292-8785 PhilObal@IDII.COM www.IDII.com

    Tulsa - USA


    About IDII Independent Research Software Selection & Implementation White Papers Two Free Newsletters Publications ….

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    The Perfect Order What is the PERFECT ORDER?

    Million Dollar Question

    – What is More Important – Order Entry or Warehousing?

    1. "A customer order that is delivered on time with the right items and quantities.” – Ken Ackerman

    2. “The performance of the supply chain in delivering: the correct product, to the correct place, at the correct time, in the correct condition and packaging, in the correct quantity, with the correct documentation, to the correct customer.“ – Supply Chain Council


    Deceptive Simplicity of Warehousing

    Corporate Host ERP System


    1. Outbound Order 3. Shipment Details

    2. Pick – Pack - Ship SMS TMS


    Client #100

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    Software that Connects to a WMS

    1. Shipping Manifest System (SMS) 2. Dock Scheduling 3. Yard Management System (YMS) 4. Labor Management System (LMS) 5. Billing Module aka 3PL Billing 6. Slotting Optimization 7. Load Optimization 8. Route Optimization 9. Warehouse Simulation


    Connectivity Diagram of WMS

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    Multi-Tasking = Interleaving Minimize Dead-Heading Leverage Task Queue & Increase Productivity

    Interleaving of Tasks – Examples: – Putaway Person is trained to:

    Putaway, Let-Down (Replenishment), Pick, Opportunity Count

    – Picker is trained to: Move, Pick, Opportunity Count


    Multi-Task – Location, Equipment WMS knows the location (x,y,z) of each worker and what tasks worker is approved to perform. Optimal tasks are assigned to the worker.

    Equipment is defined with limitation concepts and user authorization for this equipment. WMS directs the right equipment through the right aisles at the right levels. – E.G., Don’t send a lift truck to a mezzanine bin!

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    Dock Scheduling Software


    Dock Scheduling Software Expect:

    – Manually enter the carrier, dock, date, and appointment time into the software product.

    – Visual Calendar Scheduling Screen with ”Drag N Drop” – Non-Compliance Reporting: Carrier Late Arrival Report

    Dynamic Scheduling = “I’ve Got The Power”

    Dynamic: Eliminate manual assignment by considering freight attributes and current conditions at the warehouse to create a real-time dock schedule.

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    Voice Technology Common Voice RF Usage – Piece Picking, Case Picking

    Increased Productivity – Frees Hands & Eyes – Do Not Have To Shoot Barcodes – Can Increase Voice Speed (per user) – Confirm Bin Location by shorter Check Digits

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    Visualization of Warehouse Graphical tools for Warehouse Layout. Show detailed contents of selected bin(s). Show bins containing a selected item #. Show empty locations.


    Yard Management System

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    Yard Management Software Visibility of Inventory in the Yard = ability to expedite & use it. Track - Guard can record driver information, vehicle registration, trailer and container numbers.

    Verify / Audit – Driver waiting time (detention) billing. Avoid - Container rental fees (demurrage). Possibly reduce the number of yard employees – evaluation needed first.


    Graphical Yard View Screen from Softeon - - Used with Permission

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    Graphical Yard View Screen from Softeon - - Used with Permission


    Labor Management System

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    Labor Management Software AKA Engineered Labor Standards (ELS) Must define a “standard” task time. Calculate “Goal Times” for each upcoming task. Compare Actual versus Goal to determine performance.

    Do you need Engineered Labor Standards? – Report writer can generate Labor Reporting based on

    warehouse tasks from the WMS database. This is historical reporting of “what” happened (in the past).


    LMS Savings Just “Turn It On” = Employee “Awareness” of Task Tracking = 4 to 7% Labor Savings

    Full Engagement of LMS = 18 to 25% Labor Savings – Full Commitment to LMS (Classes, Coaching) – Basis of Time Studies or Mixed RE/Time Studies

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    More Software with LMS Time and Attendance – Get the full picture of employee’s time. – Add this in coordination with the LMS.

    Incentives and Rewards – Increase productivity with incentives. – Maintain task accuracy & increase productivity. – Incentives: Time off, Reward/Gift, Money.


    © 2007 Industrial Data & Information Inc.

    TMS Freight Software

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    TMS Freight Software TMS Software Thoughts… – Need Domestic Freight, International Freight, or Both? –

    Most TMS solutions are domestic or international. – List Modes (Truck, Rail, Air, Ship) Required – 3PL TMS Requirements are tougher than normal – Be real – Trucking Software (Fuel Tax, Driver

    Settlement, etc) is infrequently available from the same software vendor providing freight rating & brokerage.


    TMS Freight Software Build Module List – Freight Order Entry – Freight Tendering – Freight Rating – Freight Payment – Freight Audit – Carrier Qualifications (Insurance, Certifications)

    – Freight Optimization $$$

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    Freight Optimization

    Significant Freight Savings Achieved Must Have Time Period for Optimizing

    – I.E., Outbound Orders Leaving in 12+ Hours

    Reducing Freight Costs By: – Combining LTL Shipments to TL (Truck Load) – Combining LCL Shipments to CL (Container Load) – Zone Skipping – Multiple Carrier Consideration & Usage – Multimodal Consideration & Usage

    Meet Customers Delivery Time Expectations


    Document Imaging “Paper Clipping” – WMS to Manage Images: – Product Specification Sheets – Digital Photo of the Product – MSDS – CERTs – Engineering Diagrams

    Key: Automatically Send Image to Customer

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    Provide Alerts to Trading Partners Send Out Automatic Intelligent Alerts (IA)

    For Example - Shipment Confirmation Message Receipt Underage Message Damaged Item Message

    2. Send Out Shipment

    Confirmation Messages

    3. Happy Informed Customer

    1. Shipment is Completed


    Steps in Intelligent Alerts 1. Subscribe to each alert by event and who should

    receive the alert – a user, customer, vendor, or carrier. Specify format type (text, HTML, data,… ) and sending format (pager, fax, email…).

    2. When ‘Alert Event’ occurs, automatically send out alert message to appropriate subscribers.

    Expect a Labor Savings by using IA’s in repetitive activities, especially with clerical and CSR personnel.

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    Fast Review 1. Task Interleaving 2. Voice Picking 3. Intelligent Alerts aka Supply Chain Event Management 4. Shipping Manifest Software 5. Dock Appointment Scheduling Software 6. Yard Management System 7. Engineered Labor System 8. Rewards & Incentives Software 9. Time & Attendance Software 10. Billing Module alias 3PL Billing 11. Slotting Optimization 12. Load Optimization 13. Route Optimization 14. Warehouse Simulation 15. TMS - Freight Brokering 16. TMS - Freight Optimization 17. Document Imaging


    Quick Reminders Software is NOT created equally. Your mileage will vary – based on your vision, staff, and software utilized. Turn Over Every Stone! Be Thorough!

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    Thank You!

    Eric Allais - PathGuide Techologies – WMS

    Eric@pathguide.com - 425.438.2899

    Phil Obal – IDII – Research / Consulting

    PhilObal@IDII.com – 918.292-8785


    Thank Y