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What are System Utilisation Checks?

When it comes to warehousing and supply chain, system utilisation is always crucial. You need to know that your resources are not only used correctly but that your systems are optimised to keep production as high as possible, with expenses in check.

That’s why regular system utilisation checks are so important. These checks can be done on a regular basis by management, or you can implement a system that handles all the different aspects of your warehousing or supply chain business effectively.

What is System Utilisation?

When we talk about system utilisation, it’s usually a measure (often expressed as a percentage) of how intensively a resource is being used to produce a good or service. Utilisation compares actual time used to available time.

In a warehouse environment, your systems can comprise of various aspects such as your storage, inventory, layout, transportation, workforce and more. It’s essential to keep all these things in check so that you run a cost-effective and productive warehouse.

Optimising Your Warehousing System

Here are a few ways in which you can optimise your supply chain business:

Review effectiveness

It is important to gauge if you are using your available resources to the fullest. Is there a flow of goods in and goods out? Any inefficiency within the chain will impact negatively throughout the whole process.

Warehouse layout

It’s an obvious point to make that good warehouse efficiency and the layout of a warehouse go hand-in-hand, but a well-organised warehouse can quickly become disorganised and difficult to navigate, which can slow your staff down and lead to numerous safety hazards.

Forecast ahead

For most businesses, there are generally times of the year which attract increased demand for certain items i.e. seasonal trends. Like holidays A business software system, which includes demand forecasting, can predict shifts in your items and adjust the automatic re-ordering to fit the demand.

Track your products

By using latest location tracking technology, you can track the location of your products through manufacturing, quality control, warehousing and despatch. Using an automated tracking system not only reduces search times, it reduces labour costs and process delays.

Take advantage of technology

The implementation of warehouse technology provides more visibility through data, which allows each employee to collect real time information on the various warehouse and logistics processes. Plenty of options are available – this includes bar codes, radio frequency, pick-to-label and voice-activated technologies. These new technologies are all designed to provide different levels of increased productivity and improved accuracy.

With smarter warehouse management, you can reduce warehouse costs. Contact Meraki Consulting at +27 010 595 4934 or at info@merakiconsultingza.co.za.

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