Discover why EPG is positioned as a Challenger in the 2023 Gartner® Magic Quadrant™ for Warehouse Management Systems!
Measures for warehouse optimization: Do you really know whether you are fully exploiting the potential of your logistics infrastructure? Do you know the potential savings you can make within your existing storage capacities? We always keep an eye on the big picture when it comes to optimizing a warehouse. For optimizing your logistics or warehousing, we are the first call you should make to get maximum efficiency and quality. Together, we analyze your existing processes according to your requirements and put them through their paces. We discover hidden costs and unexploited potential as the basis for creating a concept and defining measures to set you up for the future. We support you from strategy to implementation of your project and beyond. Together, we make sure that you stay competitive, following a neutral and manufacturer-independent process. What are you waiting for?
We take a bird's eye view of your logistics. We use the latest methods and tools to deliver holistic logistics and warehouse optimization. Working with you, we analyze which strategy is best for your requirements. Our logistics optimization services include:
We create heat maps for the entire supply chain or individual areas of your warehouse, as a way to identify cost drivers easily.
Depending on your item structure and possible storage restrictions, such as storage compatibility regulations, we identify the optimum bin.
When things need to be fast, long routes are a real obstacle. We create efficient picking strategies and reduce the length of routes with ABC and shopping basket analyses.
We use simulations and our own experience to create forecasts of your material flows and existing automated systems – or simply a forecast of your entire logistics system.
Did you know? Around 50% of logistics costs are for intralogistics. And about 50% of the costs for intralogistics are for order picking. That means the internal flow of materials plays an important role when it comes to optimization. Companies very soon face a major cost driver, if all processes in the warehouse are not optimally coordinated with each other. In the era of same-day delivery and multi-channel logistics, customers are primarily interested in factors such as speed, quality and efficiency. Targeted warehouse optimization helps you discover potential in your internal material flow. Save time and costs – and do not let your logistics get in the way of your competitive edge.
The aim of material flow and process analysis is to identify weak points and potential for improvement in your internal logistics. It is particularly important to identify the ultimate cause to design and successfully implement sustainable and material flow solutions in line with requirements and fit for the future. Work with EPG CONSULTING to optimize your intralogistics, comprehensively and independently, from goods incoming to goods outgoing. As a neutral partner by your side, you get supplier independence and custom project implementation from us as a matter of course. We support you through planning and execution of your project and as an expert partner for implementation and subsequent support.
From recording and analyzing your logistics processes to analyzing potential and creating a list of measures, we are by your side as your expert logistics partner.
The aims are clear - improve work processes and minimize costs for the long term. Before optimization, we run an analysis to discover your cost drivers and define measures to eliminate them. For manual warehouse logistics with a low degree of automation, it is primarily the operating costs of a warehouse and the error-prone order picking process that generate avoidable costs.
This is because 50% of logistics costs are storage costs and 50% of storage costs are picking costs. If you want to optimize your warehouse effectively and also minimize costs, switching to software-based solutions is an obvious choice, as they can improve material flow, streamline order picking and avoid downtimes.
You can increase efficiency by up to 50%, just by moving from document-based picking to mobile data entry (MDE) devices, for example. The crucial benefits are that you no longer need picking lists and you can access all the information for the order on the device. This saves time and increases flexibility for order picking.
Another measure that delivers time savings of up to 40% is to focus more on multi-order picking. Switching to this solution allows you to combine several orders from different customers in one picking process without losing track. You can use the solution to streamline the required working time and optimize throughput without your employees experiencing any additional workload, as the benefits of multi-order picking come primarily from reduced route length.
To err is human. Errors creep in, especially in order picking, but need to be permanently avoided. Software solutions can help – reducing the error rate by up to 80%. Voice-controlled systems, developed exclusively for warehouse logistics, guarantee perfect support for your employees. They guide pickers reliably and efficiently through the warehouse during order processing. Market-leading systems, such as Lydia Voice, are also speaker-independent and can be used immediately without training. Combined with connected logistics software, you can also identify further potential for improvement, such as in resource planning.
Optimization of the packaging process for a trading company
Savings - distribution times (on average): 10% (650 hours/year)
Savings - process time (on average): 8% (500 hours/year)
Increase in productivity (on average): 12% (350 hours/year)
Savings - total time (on average): 1,500 hours/year
Hourly wage (on average): 18.00 EUR
Cost saving (on average): 27,000 EUR/year
Optimization of put-away and retrieval times for a logistics service provider
Savings - stacking trucks (on average): 2.6 vehicle/day
Savings - employees (on average): 5.6 employees
Proceeds from sale of vehicles (on average): 25,000 EUR
Savings in wage costs (on average): 150,000 EUR/year
Cost saving in 1st year (on average): 175,000 EUR
Cost saving in 2nd year (on average): 150,000 EUR
Modernization of an existing system for a production and trading company
Increase in technical performance (on average): 10-20%
Increase in space capacity (on average): 25%
Reduction in empty pallet handling (on average): 30%
Reduction in downtimes (on average): 50%
Implementation within the planned project time
Return on Investment (ROI) on target
Your questions about logistics and warehouse optimization.
During warehouse optimization, we look at what is the ideal way to utilize the existing infrastructure. That involves running an as-is analysis of the existing processes, material flows and warehouse infrastructure, checking optimum storage and distribution of items and preparing a concept for warehouse optimization. The aim is to identify cost drivers, optimize processes and material flows, revise the allocation of bins and reduce the length of routes.
Strategic warehouse optimization allows you to discover hidden cost drivers quickly and easily. After all, almost 50% of logistics costs come from intralogistics and half of intralogistics costs come from for picking. Reducing the length of routes and, for example, smart item allocation in the warehouse save costs and time. Cost can be reduced further in goods incoming and outgoing.
At EPG CONSULTING, we use the latest methods and tools to identify cost drivers. To get a holistic view, we create heat maps, for example, for companies - for either individual warehouse areas or the entire logistics chain, depending on requirements. This lets us see immediately where there is a need for optimization. Other methods include ABC and shopping basket analysis. This has proved particularly successful in e-commerce, where every second counts when picking orders.
Order picking is the most cost-intensive factor within intralogistics and is therefore at the heart of warehouse optimization. The aim is to work as efficiently and quickly as possible, while maintaining high quality and 100% reliability. Find out how companies are getting their order picking ready for the future in our whitepaper: Successful order picking in four steps.
The advantages of a holistic and strategic approach to logistics are clear. You will immediately see potential for improvement, reduce throughput times, increase productivity and effectiveness in the warehouse, save costs - and ultimately ensure that your customers are satisfied. Trust in a company's performance is a key advantage in the highly competitive market environment, especially in logistics. On average, cost reduction and potential savings after optimization and implementation of the recommended measures come in at between EUR 50,000 and EUR 100,000 per year. For an exact analysis of your optimization potentials, please contact us!
The optimization of a warehouse is best achieved with experts at your side. EPG CONSULTING advises you independent of manufacturer and technology and is responsive to your needs. We optimize - if necessary - also during operation, so that the processes in your company are not disturbed. In addition, with our Consulting Suite we offer you a solution with which you can independently carry out optimizations. Test it now for free!
EPG's logistics consultants start with a detailed as-is analysis, identifying potential improvements in the warehouse and along the logistics chain. In the process, we look in particular at root causes, so that proposed measures can be successfully implemented in the future. Deploying knowledge and experience from many successful projects, EPG is the partner of choice for your company when it comes to your logistics.