W606 - Advanced Warehouse Management System for Normal Warehousing Operations

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1 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 Industrial Data & Information Inc. Philip Obal, President of IDII Wednesday, March 21, 2007, 3:45 p.m. Advanced WMS for Normal Warehousing Operations Philip Obal President of IDII 2007 Industrial Data & Information Inc. (918)

2 About the Speaker Philip Obal President of IDII (918) Tulsa - USA About IDII Independent Research Software Selection & Implementation White Papers Two Free Newsletters Publications. 2

3 The Perfect Order What is the PERFECT ORDER? 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 Million Dollar Question What is More Important Order Entry or Warehousing? Deceptive Simplicity of Warehousing Client #100 Corporate Host ERP System 1. Outbound Order 3. Shipment Details 2. Pick Pack - Ship SMS WMS TMS YMS 3

4 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 4

5 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! 5

6 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. 6

7 Voice 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 7

8 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 8

9 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 9

10 Graphical Yard View Screen from Softeon - - Used with Permission Labor Management System 10

11 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 11

12 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. TMS Freight Software 2007 Industrial Data & Information Inc. 12

13 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 $$$ 13

14 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 14

15 Provide Alerts to Trading Partners Send Out Automatic Intelligent Alerts (IA) For Example - Shipment Confirmation Message Receipt Underage Message Damaged Item Message 1. Shipment is Completed 2. Send Out Shipment Confirmation Messages 3. Happy Informed Customer 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, ). 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. 15

16 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! 16

17 Questions Thank You! Eric Allais - PathGuide Techologies WMS Eric@pathguide.com Phil Obal IDII Research / Consulting PhilObal@IDII.com Thank You for Attending W606 - Advanced Warehouse Management System for Normal Warehousing Operations Philip Obal, President of IDII Please submit the Session Feedback Form To receive NASBA credits, please be sure to complete the Session Feedback Form and sign the class roster in the back of the room 17

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19 Session Feedback Form Summit 2007 Las Vegas, NV Please take a moment to evaluate this session and offer feedback. Activant uses your input to understand your needs and to determine future Summit sessions. Session Name: Session Number: Presenter s Name: How important is this topic to your job/company? Not Important Important Please rate the educational value you received from this session Low Value High Value 1. What software are you currently using? 2. How long have you personally used this software? 3. Describe the effectiveness of your instructor. 4. What is your overall evaluation of this session? 5. What could have been done to improve this session? 6. What sessions would you like to see presented at future conferences? 7. What issues will be critical to your business in the next months? Check here if you would like CPE credits. To receive credits, be sure to sign your name at the bottom of this form and sign the roster in the session room. Answering the following questions is OPTIONAL (but required for CPE Credits). Yes No Did this session meet your expectations, based on the description/objectives in the registration materials? Were the pre-requisite requirements stated in the course description appropriate? Did the session materials contribute to achieving the learning objectives? Did the equipment (screen, microphone, projector, etc.) in the room enhance the instruction? Was the time allotted for the session appropriate for the topic? Name: Company: