How to Measure Warehouse Performance

Warehouse Performance, Cost & Value Measures

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the portion of shipping line transactions executed with the correct SKU in the correct quantity O . ur best warehouse clients in the U.S. have shipping accuracy at or near 99.97%. Our best warehouse clients in Japan have shipping accuracy at or near 99.997%, an order of magnitude improvement. Learning these gaps and experiencing the sense of urgency to close the gap are two of the most valuable results of an external benchmarking process.

Figure 8. Accuracy performance screen from the RightChain™ Warehousing Scoreboard. Inventory accuracy is along the X axis. Shipping accuracy is along the Y axis. Each bubble represents a DC in a supply chain network. The size of the bubble corresponds to the transaction volume in the DC.

Figure 9. Accuracy and damage indicators monitored in survey warehouses.

© Dr. Ed Frazelle, Author, World Class Warehousing | ALL RIGHTS RESERVED