As a so-called cross-sectional function, the logistics process extends along the entire value chain and thus also along the physical supply chain. Typical of the supply chain is the linkage between the respective elements and thus interactions between the individual areas. For example, it has a significant impact on warehousing if the quantity ordered in purchasing doubles. The increased order quantity leads to a significant strain on spatial and personnel resources and thus causes additional costs in the warehouse area. Optimizing the logistics process is important at this point in order to be able to react to the newly arising challenges at an early stage.
Analyzing and scrutinizing the logistics process is therefore the focus for many companies. As a first step, it is always advisable to look at the individual work steps in the company and consider the execution in the daily routine without relying solely on the key figures. Ultimately, the key figures merely indicate that, for example, x % additional overtime was worked in the past quarter. The statistical data do not provide a direct trigger. A deeper understanding of the process is required for identification.
The triggers are often individual reasons that primarily relate to the work process, such as insufficient space for storing goods, an insufficient number of suitable aids, e.g. for transporting or loading the goods, this can lead to delays in the time flow. Again and again, this results in supply bottlenecks in the daily work process. Over time, these bottlenecks accumulate. For those involved, these problems ultimately become visible, for example, in the form of the overtime rate.
Employee involvement leads to cost reduction
Even just asking and involving the employees who encounter the grievances on a daily basis can help and optimize the logistics process. Employees usually show a willingness to provide information on what can be improved during the process and what specifically can be improved in the processes that are not functioning ideally. Even short-term measures such as setting up more storage locations with shelves or redesigning production areas to bypass avoidable duplicate handling can often be implemented shortly after the logistics process analysis.
Particularly in work areas where physical transport is required, it makes more sense to transship within the company as rarely as possible. As a consequence, this means tying up personnel capacities with every handling operation and thus ultimately generating costs. Analyzing the logistics process, and doing so regularly, is essential, as it quickly becomes clear whether the company in question needs to optimize the process in terms of warehouse structures. In this way, it can be ensured that these meet the requirements and that it is possible to work as ergonomically and efficiently as possible under the given circumstances. When optimizing the process, work equipment such as forklifts or pallet trucks must also be taken into account - this can reduce travel and handling times and increase internal throughput, among other things.
The required investment in such a technical retrofit can be offset by corresponding savings in operating time, whereby the initially seemingly higher price is put into perspective after the acquisition, commissioning and complete implementation of the other measures developed during the logistics process analysis. In the best case and in practice not so rare case, the costs within the intralogistics can be reduced by targeted investments, and this permanently.