eBay Business Builder

Pick, Pack & Ship

 

 

 

When creating a successful warehouse, the best-handled product is the least-handled product. If you’re seeking to reduce costs in the warehouse, and increase efficiently, one objective should be to minimize merchandise handling in your picking, packing and shipping process.

Pick

  • The goal of picking is to maximize picks while minimizing movement. Walking is time and time is money!
  • Pre-sort packing lists based on where items are in the warehouse.
  • Warehouse management software is the end-goal but there are steps you can take manually to determine the minimum number of steps employees need to take when they pick an item – for example, buy a pedometer and track the number of steps each person takes per day!
  • Place hot, seasonal items closer to the packing stations for more efficient picking.
  • During peak shipping times fast moving items should be consolidated to the front of the warehouse.

Pack

  • The end of the day on the packing area is actually the start of the next day.
  • Anticipate the volume for tomorrow and ensure you have enough supplies prepared.
  • Ensure you have ample room to work and the area is free of clutter.
  • The packing area is your last line of defense against mistakes.
  • The packers are the only people that actually touch the customers so be sure to let them know the importance of packing.
  • Use a proper sized box and if needed add packing material to the package does not shift inside.

Ship

  • Sort the boxes by carrier.
  • Eliminate the ability for the warehouse to make changes to shipping labels to speed up efficiency and to save money.
  • Lock out the ability to add ‘signature required’ or to change a bad zip code.
  • Create a “grocery store” checkout flow to maximize output of each shipper and to avoid packages crossing back into the warehouse once they are ready to be picked up.
  • Adjust driver pickup times according to your peak seasons.
  • Moving the pickup window back 2 hours in the holiday season could allow 30% more packages to be shipped in the same day, improving customer satisfaction.
  • Man hours in warehouse/ divided by total packages shipped = output rate per person.

Key Takeaways

  1. Ensure you understand your total output per hour per person. See above.
  2. Create a ‘best practice program’ and know improving your process *never* ends!
  3. Organization is the key to saving money – use tips above to get organized!!
  4. Incentivize performance to take your business to the next level! For example, take the employees to lunch or give them a gift card when they increase their hourly output significantly (e.g. 25 packages to 30) over a monthly period. Reevaluate the goals twice a year.
  5. The packer is the last person to have contact before the customer so they need to ask themselves “would they want to receive the item they just packed?”
  6. Develop a manual for new employees to teach the best practices and ensure long term success.
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