Blog | dri3pl.com

2009.11.21 06:41:18

Distribution Resource’s business is almost entirely based on the apparel industry. Its customers manufacture and distribute clothes ranging from high end to items you’d find in any shopping mall. Handling garments requires open-box picking and a variety of value added services including hanging, folding, applying and/or removing price tags and packaging.

DRI has handled product flowing through Seattle for more than twenty years. Prusi said the company’s attention to detail is the reason they’ve been successful. “We take on projects most other warehouses won’t do. They are high touch projects where we’re open-case picking and providing value-add services like tagging and packaging. You have to really know what you’re doing to make money with these projects,” he said.

Order picking and value added services can account for as much as 60% of a project’s operating costs. Generating profit from these type of projects is difficult says DRI owner Paul Prusi. “You have to know a lot about the project and what the customer wants to achieve. What type of product is it? How many transactions are we doing? What’s level of quality is needed? The planning and setup is critical,” said Prusi.

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Bob Jones

Piece Picking Methods

2009.09.07 18:34:54

Piece Picking Methods

Piece picking, also known as broken case picking or pick/pack operations, describes systems where individual items are picked. Piece pick operations usually have a large sku base in the thousands or tens of thousands of items, small quantities per pick, and short cycle times. Mail order catalog companies and repair parts distributors are good examples of piece pick operations.

Basic order picking
In the most basic order-picking method, product is stored in fixed locations on static shelving or pallet rack. An order picker picks one order at a time following a route up and down each aisle until the entire order is picked. The order picker will usually use some type of picking cart. The design of the picking flow should be such that the order picker ends up fairly close to the original starting point. The picking document should have the picks sorted in the same sequence as the picking flow. Fast moving product should be stored close to the main cross aisle and additional cross aisles put in to allow short cuts. Larger bulkier items would be stored towards the end of the pick flow. This basic order picking method can work well in operations with a small total number of orders and a high number of picks per order. Operations with low picks per order will find the travel time excessive in this type of picking and operations with large numbers of orders will find that the congestion from many pickers working in the same areas slows down the processing.

Batch picking / Multi-order picking
In batch picking, multiple orders are grouped into small batches. An order picker will pick all orders within the batch in one pass using a consolidated pick list. Usually the picker will use a multi-tiered picking cart maintaining a separate tote or carton on the cart for each order. Batch sizes usually run from 4 to 12 orders per batch depending on the average picks per order in that specific operation. Batch picking systems may use extensive logic programmed to consolidate orders with the same items. In operations with low picks per order, batch picking can greatly reduce travel time by allowing the picker to make additional picks while in the same area. Since you are picking multiple orders at the same time, systems and procedures will be required to prevent mixing of orders. In very busy operations, batch picking is often used in conjunction with zone picking and automated material handling equipment. In order to get maximum productivity in batch pick operation, orders must be accumulated in the system until there are enough similar picks to create the batches. This delay in processing may not be acceptable in same day shipping operations.

Zone picking
Zone picking is the order picking version of the assembly line. In zone picking, the picking area is broken up into individual pick zones. Order pickers are assigned a specific zone, and only pick items within that zone. Orders are moved from one zone to the next as the picking from the previous zone is completed (also known as "pick-and-pass"). Usually, conveyor systems are used to move orders from zone to zone. In zone picking it’s important to balance the number of picks from zone to zone to maintain a consistent flow. Zones are usually sized to accommodate enough picks for one or two order pickers. Creating fast pick areas close to the conveyor is essential in achieving high productivity in zone picking. Zone picking is most effective in large operations with high total numbers of skus, high total numbers of orders, and low to moderate picks per order. Separate zones also provide for specialization of picking techniques such as having automated material handling systems in one zone and manual handling in the next.

Wave picking
A variation on zone picking and batch picking where rather than orders moving from one zone to the next for picking, all zones are picked at the same time and the items are later sorted and consolidated into individual orders/shipments. Wave picking is the quickest method (shortest cycle time) for picking multi item orders however the sorting and consolidation process can be tricky. Operations with high total number of SKUs and moderate to high picks per order may benefit from wave picking. Wave picking may be used to isolate orders by specific carriers, routes, or zones.

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Bob Jones

Pick and Pack Services

2009.09.07 18:31:19

Pick and pack services have a direct relationship with customer satisfaction. Accurate and fast order processing is an essential part of your business. There are various methods for order picking, depending on the volume of orders you do and the type of business you operate.
Factors that affect which pick and pack services you use include the products being handled, quantity per pick, picks per order, private labeling, and whether you are handling picks by piece, case, or pallet. In many businesses, a combination of picking methods works best. Most businesses have different types of products as well as diverse customer bases, so package contents may vary.

Piece-picking, also known as pick and pack services, is a system where individual items are picked. Mail order companies are an example of a company that would use this method. Companies using piece-picking usually have a large sku base, small quantities per pick, and short cycle times from order entry to shipping dock.

Whether you choose this method or another for packing your orders, remember that accuracy and speed are the two most important factors. In order to keep your customers happy and reordering, you must deliver their items quickly and accurately. Using technology to the fullest and a quality service provider will ensure customer satisfaction with the order process.

Tags: 3PL | pick and pack

Bob Jones

10 Key 3PL Services

2009.09.07 17:21:03

by Jim Butts
C.H. Robinson Worldwide Inc.

Shippers today are presented a vast array of choices when it comes to service providers. The lines between asset-based carriers, brokers, 3PLs, 4PLs and LLPs are becoming more blurred. Further, their service offerings appear remarkably similar, and they all seem to sing the same song.  

There are, however, some useful -- and practical -- distinctions to take into consideration when doing business with established 3PLs. We encourage you to make an informed decision and look for a 3PL who can provide services and value beyond traditional definitions.   

1. Provide strategic capacity. Your 3PL should be able to provide capacity strategically, using a large and diverse carrier network to fine-tune your needs based on service and price. Even surges, peaks, and unexpected demands can be handled effectively and efficiently when approached with proper analysis, due diligence, discipline, and skillful execution.   

2. Provide logistics expertise. Logistics expertise -- developed under practical situations while meeting or exceeding actual customer expectations -- is the premium offering from the best 3PLs. Customers can benefit from this expertise during daily interaction with their service providers, or can more strategically engage these resources through “whiteboard sessions”, quarterly industry updates, or annual planning.   

3. Provide network analysis. With changes in the global economy, fluctuations in the value of the dollar and volatile fuel prices, the trade-offs between off-shoring and producing close to customers need to be reviewed regularly. Further, distribution strategies and inventory levels need to be continually recalibrated. Many shippers cite a lack of both the tools as well as the trained personnel to conduct such analysis themselves, as a result, many benefit by making this a selection criterion for their significant 3PL relationships.   

4. Provide mode and load optimization.  You should be able to provide your 3PL with ready times, requested arrival dates, shipping details including weights and dimensional information, and it should be able to optimize your shipments with a minimum amount of effort on your part. Further, it should be able to provide you with timely and accurate information on the amount of money it was able to save you through load/mode optimization, and point to greater savings opportunities in your supply chain.   

5. Provide cost-containment strategies. Your 3PL should be able to document these practices, behaviors or idiosyncrasies, and report them to you regularly. Many shippers empower their 3PLs to act on their behalf and take corrective action, so long as the activity falls within pre-established thresholds of responsibility and accountability.   

6. Manage vendor compliance.  Your 3PL should be able to establish an effective reporting platform to provide timely, accurate, and objective feedback to all of your designated supply chain partners. Your 3PL will often be able to do so more effectively than others in the supply chain because of their close involvement in the operations details, and inherent “third-party neutrality”. You may also be able to delegate many of the mundane corrective and, more importantly, preventive measures to your 3PL, saving you time, trouble, talent, and money.   

7. Provide systems support.  Companies continue to turn to their 3PLs for systems support -- and increasingly, business intelligence. As technology improves and 3PLs become more practiced at aligning results with customer expectations, their ability to contribute in this way can lead to significant competitive advantages.   

8. Provide actionable business intelligence. More than just providing systems support and relevant information, your 3PL should work to leverage its ability to gather and assimilate relevant information with its logistics expertise to benefit your organization in specific ways. That is, through account management with qualified, talented logistics personnel, armed with industry knowledge and supply chain acumen, your 3PL can function as your strategic business resource.  

9. Share proven best practices. The world-class 3PLs do business with thousands of shippers and carriers. This exposure allows them to see many different problems, and forces them to provide solutions that are effective, competitively priced, flexible, scalable, and replicable.

10. Reduce your risk profile. The 3PL you choose to have a significant relationship with should be able to lessen many of your identifiable risks. It should also be able to work with you to develop a more comprehensive understanding of your less-obvious risks, using its industry knowledge, and its unique perspective on supply chain management. Further, its business savvy, management of carrier and vendor relationships, and financial strength can lessen the general risks that the average shipper/customer encounters.

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