With the implementation of such a system, the company would go through many core changes in terms of process, control, organization, and information. In this post, you can find an explanation of how the warehouse currently looks, to be able to make a comparison with the PCOI for future state.
We're going to discuss what type of products are stored in this part of the warehouse, their specifications, the information process, and the control measures used. If you want to find out more about these topics, you are in the right place!
P- Process
The products in the area vary in size and weight while
respecting the size limits of the pallet locations: length 1,2 m, height 1m,
width 0,8m, weight between 25 and 500 kg. Other than the products that fit these
specifications, all the items from Legrand France are stored in this area,
regardless of their sizes. These products are digitally allocated in the pallet
storage area by an SQL table that considers the weight, size, and total volume
of the ordered item.
Once the item is received at the inbound, based on the order,
the inbound operator can print a sticker with a barcode, that includes in what
location the item should be stored. To do so, it is fundamental that the item information
is present in the database of the company. The location is defined by the
Warehouse Management System (WMS). Currently, there are about 4800 pallet
locations.
The operators store from the inbound area the item in the
location assigned by the WMS. The items are divided into bulk locations and
pick locations, based on the frequency of order, forecast, and the outbound
date. On the outbound date, the order is picked up, and the truck is loaded. The
order picking is currently done through forklifts, and the daily KPI tracked is
a minimum of 58 picks/man/day. The warehouse is running for 16 hours per day
split into 2 shifts, from 6:00 until 23:00.
O- Organization
There are many people involved with the process at the
moment. Firstly, the warehouse operators and team leaders who take care of the
operational aspects of the company. Then the warehouse office team with stock
controllers, logistics coordinators, and warehouse manager, tracks warehouse
KPIs and determines stock adjustments. Planners and the supply chain manager
are involved with the orders and the collection of information.
C- Control
Legrand’s priority is safety. More and more courses and
updates are provided to the employees who enter the warehouse. At the moment,
the company uses an app where people can alert management and employees who
have a first aid certificate in case of accidents. Moreover, at the entrance of
the warehouse, there is a poster with all the required actions, such as wearing
safety shoes and safety jackets, together with a list of employees present on
the day with a BHV certificate. The walking path is visually highlighted in a
green color, and signs with requirements are included in the different parts of
the warehouse.
On the same board, many quality and delivery KPIs are
tracked. Firstly, the backlog is tracked to determine how many late orders should
have priority. Moreover, some qualitative issues such as return orders due to damaged
products/ wrong packaging are discussed, with the economic value of the return.
However, there is no current quality check for the items in the pallet area.
Employees are trained when hired, however there are work
instructions for the daily tasks on SharePoint. The employees are usually given
instructions in the daily meetings with team leaders as well, to make sure
daily tasks are displayed.
Regarding the forklifts, there is maintenance offered by the
supplier, who goes to the facility when an issue occurs with the vehicle.
I- Information
The information regarding items is mainly split between the WMS
and the information system of the company. The way these two are connected is
through SQL tables, that are sent to employees in the form of Excel files with
the relevant information and useful formulas. The information from suppliers
usually has to be retrieved in multiple steps, as having different suppliers
for the variety of products, involves the risk that not everyone provides the
same data. This process is mainly handled by product management and planners,
however, it closely affects the performance of the warehouse department.
Relevant information about the company, such as KPI tracking
and training, is also uploaded in SharePoint and every employee can check the
information relevant to his/ her role.
Sources:
Interview with Legrand worker
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