The implementation of a proven warehousing management system (WMS), can improve companies' warehouse productivity and efficiency, and save on operating costs, Super Group's technology solutions division WMS operations manager Daan Steyn says.

"In warehousing applications, the focus usually falls on outbound logistics because this is one of the main aspects that warehouse managers are generally measured on. However, more attention should be given to receiving, or inbound logistics, as this is the start of the warehousing process and any errors which occur during this stage will have a ripple effect on other processes," Steyn says.

WMS allows a company to segment its storage space with both locations and products classified according to Pareto principles. This means that fast moving products are stored closer to the ground and slow moving items up high. On materials-handling equipment, vertical movement is far more time consuming than horizontal movements. Thus storing the fast moving products at lower levels facilitates considerable efficiencies in time and productivity.

Steyn says one of the current trends in warehousing applications, is that companies are moving away from the traditional fixed pick-face operation where products are allocated permanent locations to dynamic pick-face applications. Dynamic pick-faces means that no fixed location is allocated for a specific product to serve as the pick face, rather a range of locations can be used to pick multiple products. In this way, a product will only be moved to the pick face if there is a demand for it and when that demand is satisfied the inventory will be relocated back to storage, freeing up more space for another product that is in demand.

"Another problem in the warehouse is how to use space more efficiently, with forklifts or order pickers slowing down due to increased congestion. This is often experienced because there is a shortage of ground locations available to order pickers and/or pallet jacks. In this situation, dynamic pick-face models are implemented with fast and middle movers given a fixed pick face, while slow-moving products are not assigned dynamic pick faces. This results in a pick-face that is constantly rotating," Steyn explains.

Another benefit of WMS is the system's ability to assist warehouse managers to plan ahead effectively for deliveries.

"Currently, visibility in terms of future receiving is a challenge, and if that can be improved then warehouse managers can better anticipate the unloading that lies ahead. This would also lead to increased inventory accuracy which would have a major impact on productivity planning in a company," Steyn states.

Steyn makes the point that in some cases after implementation of a WMS, companies have experienced a rise in bin level accuracy from 65% to 97%. In cases where companies have a great number of bins, the increase in productivity is dramatic.

New technologies are making headway in South African warehousing applications. Although automated warehousing has not taken off in South Africa as it has in Europe, Steyn feels that the situation will soon change.

"One of the challenges with the automation of a warehouse in terms of sorting systems, lies in the initial capital expenditure. Companies tend to be wary of spending large amounts of money on a system that still has to prove its efficiency. Also, during the time spent implementing the system warehousing activities are restricted, and because the system is set up according to a company's current warehouse packaging there is a risk of inflexibility. However, high throughput numbers can allow the system to pay for itself in just a matter of weeks, especially if the company implementing the system is focused on a specific product," Steyn points out.

"Implementing a warehouse management system means implementing a disciplined approach. The payoff, however, is that the pickers know exactly where the products are located in the warehouse and do not waste valuable time searching for products that have been incorrectly placed," Steyn comments.

With radio-frequency (RF) equipment, as opposed to the more traditional paper-and-clipboard method, time is saved because a physical sign off through a supervisor is unnecessary. The WMS prioritises and plans the schedule ensuring that the user receives his next task as soon as the current task has been completed. Real-time verification eliminates errors and leads to greater accuracy. Increased output of 75% for each man hour of 75% has been recoded in a South African operation.

The system can also be adjusted to provide a safer working environment in the warehouse. "The system can be programmed to send work such as high-reach stacking to qualified stackers only. This means that in cases of hazardous materials, for instance, chemicals are stored in such a way that no chemical reaction can occur which could lead to a fire breaking out," Steyn says.

"In the past, companies could count on specific product knowledge from their employees but because of the current trend of outsourcing to contractors there is no guarantee of this. It is for this reason that companies are starting to look at automated systems to aid with the correct stacking of products," Steyn says.

Another future trend, Steyn says, is the advent of voice-picking. Although it is only a buzzword at present, Steyn says that voice-picking could increase warehouse efficiency with even greater results. With a voice-picking application, the picker is equipped with a headset instead of a scanner. The system then sends a voice instruction on which products must be picked directly to the picker through the headset instead of a scanner. The picker confirms order pick through his headset and continues. Training a picker in the use of voice-picking takes about 40 minutes, whereas RF training can take up to a week, leading to increased responsiveness especially in industries subject to peaks and troughs due to demand spikes.

"In the end, a company wants to ensure that it sends the right items with the correct quantity at the right time, because errors in sending could lead to a loss of sales, impacting the top line and additional costs in reverse logistics impacting the bottom line," Steyn concludes.