The warehouse receipt process can determine a company’s ability to serve customers, as well as its ability to serve. Warehouse receiving operations are a critical part of maintaining the integrity of the inventory system and ensuring that customers receive products.
Without an effective receiving system, projects are riddled with loopholes, not counted, not adequately inspected, and cannot provide evidence that suppliers have issues that impact profitability.
How to improve the warehouse receipt process
1. Develop a reception schedule
Knowing what quantities and materials are received and when can directly impact inventory accuracy, resource allocation and financial accountability.
2. Leveling the unloading schedule with labor
Labor costs can consume 50% to 70% of a company’s warehousing budget.
Adjusting inbound receipt schedules (and ensuring shippers adhere to schedules) helps warehouse managers efficiently match workload demands with labor supply and monitor and improve the performance of unload schedules.
3. Install the trailer near the dock door at the next step in the receiving process
It may seem like a simple concept, but you’d be surprised how much warehouse workers walk unnecessarily from New York City to Chicago on average every year.
Remember: If a trailer’s product is going to the warehouse on the south side, the trailer needs to be held on the south side of the warehouse!
4. Clearly identify the receiving channel
Visual management presents information in an easy-to-understand way by using visual signals rather than text so staff can easily track them.
We’ve gone through countless examples where a simple visual in the repository made all the difference!
5. Conduct time studies and document standard work
Supporting Tip: Standard work is an opportunity to put the responsibility of those who do it to design, understand, track and improve it!
6. Maintaining and Updating Receiving Equipment
Being ahead of today’s warehouse technology advancements, such as mobile workstations and automation, ensures warehouse managers always see the best gains in worker productivity, reduced errors, receipt volumes, and more.
By eliminating paperwork and relying on carts equipped with portable power systems to power WMS, laptops, barcode printers or scanners, businesses can effectively improve dock-to-stock cycle times, achieve best-in-class performance, and increase more Reduce receipt volume by up to 50%, reduce labor by up to $10,000 per worker, reduce the number of mislabeled products, and minimize inaccurate inventory.
7. Implement 5S to maintain a visual and standardized workplace
In a lean management system, 5S represents the five principles for maintaining a visual and standardized workplace.
These standards are the basis for the concept of continuous improvement and waste elimination.
8. Quarantine damaged material at source without passing
When damaged material goes into inventory, it inflates inventory numbers and reduces the accuracy of the selection space. Spending 5 minutes “damaging” an inbound product will save 20 minutes of picking and replenishment time.
It will also protect customers from ordering non-deliverable inventory, relaying downtime in the supply chain and improving the stance of inventory costs.
9. Prepare product for quick and efficient storage
Shippers from all walks of life are looking for ways to get receipts and shipments off loading docks as quickly as possible. World-class companies have a dock to stock time of 2 hours or more, but the industry average is more like 8 hours (at most).
Analyzing the handover process reveals that multiple steps can be eliminated or minimized. Small things like the placement of labels and paperwork, the placement of products or pallets for easy pickup, and clear visual cues can all reduce the time and effort of overall product placement.
10. Match information flow with logistics without delaying adjustment
During receipt, physical trays or boxes appear in the dock while their corresponding information is transmitted via EDI, paperwork, or other media. When these two data streams are inconsistent, confusion can result, forcing inbound workers to search the dock for pallets that have been placed and/or misplaced.
Inbound traffic must be aligned with the physical flow to reduce unnecessary work steps and overall inefficiencies.
Contact our experts to see how we can help you improve your warehouse receiving process to increase productivity and profitability.
