intellitrack ® wms an overview and approach powerful, full featured, affordable

IntelliTrack® WMSAn Overview and

Approach

IntelliTrack® WMSAn Overview and

Approach

Powerful, Full Featured, Affordable

IntelliTrack WMSAgenda

• WMS Basics• Top Three Warehouse Problems• Benefits of a WMS• Implementation of a WMS

IntelliTrack WMSWarehouse Basics

Majority of problems in a warehouse occur due to lack of CONTROL:

• Inventory• Operation• Management

... A WMS is the solution. It has the capability to optimize the warehouse and warehouse operation. It is an operating tool that is based on the needs of a warehouse operation and provides for its management.

IntelliTrack WMSWarehouse Basics

A WMS is the integration of these enabling technologies:

• Bar Coding• Radio Frequency Technology• Hardware (PC & Network)• Software

– WMS Functions– Other

IntelliTrack WMSWarehouse Basics

• Bar Coding

–Labor reduction (no keying)–Data acquisition accuracy

•Scanning•RF Validation

IntelliTrack WMSWarehouse Basics

• Radio Frequency

– Information availability• Real time updates• NO information delay

(ZERO lead times)

–Labor pacing• Directed puts & picks

–Material tracking• Locator verification• Cycle counts

IntelliTrack WMSWarehouse Basics

• Software (Management)– Employee transaction activity logs– Item/product history log– Report generation– Terminal Messaging– System security– Host Interface: Import & Exports

IntelliTrack WMSWarehouse Basics

WMS software supports the basic five operations in a warehouse

• Receive Product• Store Product• Pick Product • Ship Product• Inventory Management

IntelliTrack WMS Warehouse Basics - RECEIVING

Receiving Stage

•Purchased items•Finished goods•Returns

IntelliTrack WMSWarehouse Basics - PUTAWAY

Receiving Stage

Final Location

•Build/Move Pallet•QA•Location & lot control•Cross dock•Basic space management

IntelliTrack WMSWarehouse Basics - PICKING

Warehouse Location

Truck/Carrier

1

IntelliTrack WMSWarehouse Basics –

PICKING & Ship Confirm (2 step)

Shipping Stage/Packing

Warehouse Location

Truck/Carrier

1

2

•Raw material•WIP picking•Finished goods•Products•Pallets

IntelliTrack WMSWarehouse Basics

IT WMS provides for:• Accurate Receiving

– Validation to PO– FIFO and Lot Tracking– Immediate update and accessibility– Available to Putaway queue– Blind receiving– Build & Move Pallets– Serial # Tracking– Cross Docking

IntelliTrack WMSWarehouse Basics

IT WMS provides for:• Accurate Picking

– Validation to Sales order– Confirm Item and Location– FIFO and Lot Tracking– PreRoute Picking

• Minimize travel

– Primary location– Record Activity in Locator System– Batch/Wave Picking

IntelliTrack WMSWarehouse Basics

IT WMS provides for:• Inventory and Storage Control

– Stock locator– Quantity by location– Cube – Space management– Lot number by location– Serial # Tracking– Counts: Cycle and Physical

• Update immediately

– Replenishment points and quantity– Directed moves/transfers (re-warehousing)– Real Time updates of all item activity

IntelliTrack WMSWarehouse Basics

IT WMS provides for:• Shipping

– Routing to specific shipping lanes– Packing slip– Bill of lading generation– ASN to customer– Packing validation– Manifesting– Billing information

IntelliTrack WMSTop THREE Warehouse Problems

INVENTORY INACCURACYResults:• Lost Sales• Back Orders• Excessive Inventory• Missed Schedules• Low Labor Productivity• Excessive Expediting• Excessive Freight Costs• High Obsolescence

IntelliTrack WMSTop THREE Warehouse Problems

INVENTORY INACCURACYResolution:• Physical Counting• Cycle Counting• Confirm Location• Confirm Item• Require Accountability

IntelliTrack WMSTop THREE Warehouse Problems

POOR PICKING INFORMATIONResults:• Too Much Information• Not Printed In Shortest Path Sequence• Hand Written Confirmation• Print is Difficult to Read• Non- Standard units Quantity

IntelliTrack WMSTop THREE Warehouse Problems

POOR PICKING INFORMATIONResolution:• Paperless Picking

– Frees the Picker’s Hands– Utilizes Shortest Path– Electronically Sorts and Traces Orders– Electronic Pick Confirmation– Increases Picker Productivity

IntelliTrack WMSTop THREE Warehouse Problems

Find Product11%

Travel57%

Pick Product18%

Process Order11%

Get Order3%

POOR SLOTTINGThe placement of a product in a facility for the purpose of material handling and efficiency.

Thompkins & Associates May 1999

IntelliTrack WMSTop THREE Warehouse Problems

PROPER SLOTTING WILL:• Minimize Travel Distance• Reduce Labor

Requirements• Improve Throughput• Minimize Replenishment• Increase Picker

Productivity• Increase Picker Accuracy

• Lower Fixed Labor Costs– Operator NOT searching for product or open

space– Optimized picking path– Slotting– No manual data collection

• Reduced Inventory Costs– Eliminate excess/safety inventory (25 - 30%)– Physical count costs are reduced by 30 to

60%– Moving to cycle counts– Reduction in inventory write-offs

IntelliTrack WMSWMS Benefits Summary

• Reduced Data Errors and Its Associated Cost$– NO data entry

• Better Quality Control – Warehousing & Manufacturing– Lots & FIFO– No production overruns– No production disruption due to

material outages

IntelliTrack WMSWMS Benefits Summary

• Improved Customer Service– Current status– No backorders– Lost sales due to inaccurate

inventory• Competitiveness

– Cheaper– Faster– Satisfied clients

IntelliTrack WMSWMS Benefits Summary

IntelliTrack WMSWMS Benefits Summary

OPERATION BENEFIT COST SAVINGS

Reduce or Eliminate Physicals 30-50% of current cost

Eliminate Safety Stock 10-30% of inventory value

Reduce Shipping/Pick/Returns Reduce Operation Costs $35-$125 per return

Eliminate Location Search Reduce Labor

Eliminate Manual Data Collection Real time data / reduce labor

Eliminate Data Entry Accurate data 1/300 in error - $25 to $95

Eliminate Information Delay Reduced lead times

Improved Customer Service

Increase Sales

IntelliTrack WMS WMS Implementation

• Systems Requirements and Design Study (SRDS)– Blueprint for Success

• Configuration• Enhancements• Implementation• Integration• Training• Cutover Support• More

1. SRDS2. Project Plan

1. Time Line2. Milestones

3. Kick-off4. Install Base WMS5. Install RF Back-bone6. Printers7. Deliver Enhancements8. Train User9. Live – Cut-over