Focus on order-to-delivery lead time.
Customer satisfaction is the main important goal of any logistics chain, as it affects the image of your company. One of the most crucial aspects of the customer’s opinion is the time you take from order placement to delivery, it doesn’t matter how well you manage all other aspects of your business operations if your customer’s opinion is affected by long order delivery times.
Evaluate and redefine your standard operating procedures.
To minimize production inefficiencies, you should make some changes to your SOPs (Standard Operating Procedure). This is not difficult with a few small steps can achieve big results:
- Implement a double-check system to reduce human error and duplicate shipments.
- Print and show your key policy terminology throughout the facility.
- Use analytical reports to share market behaviour and sales flow trends with your team.
- Make sure people are clear on their roles and responsibilities.
Examine transportation and redesign for cost/time efficiencies.
The biggest expense in logistics is often transportation, especially if it is not properly planned and executed. No matter the industry, an increase in transportation costs usually translates into higher prices for goods. Analyse all aspects of your transportation process to determine where costs are highest. Start with the delivery route and load planning, choosing the shortest and safest route and using truck scales to ensure that vehicles carry the full load. Also, product packaging should also be designed to minimize size and weight without compromising safety.
Optimize warehouse management for maximum productivity.
Proper warehouse management is an essential aspect of any logistics process, as it affects everything from lead time to inventory management and even product quality. Regardless of the products stored, some improvements can help you to reduce wastage and speed up operations. For instance, you can maximize storage space by using vertical columns and implement industrial scales to help warehouse staff weigh goods faster and more accurately.
Use automation and new technologies.
Modern tools and systems are designed to accelerate organizational efficiency and lead times by reducing manual interference and eliminating human error. From smart scales that integrate with warehouse management systems and track inventory to business process and communication software that provides real-time updates for any aspect of goods movement, there’s a customized solution for practically any logistics challenge you might face.
The blog of Logistics at MGEPS at UPV 