This is how the Distribution Center Evolved in the Last 10 Years

This is how the Distribution Center Evolved in the Last 10 Years | LoadProof

In the distribution center (DC), technology has taken over many manually intensive, paper-based processes. That progression is fascinating. Technology is being leveraged to create superior processes and connect workers seamlessly throughout the distribution center.

Early in 2000, I visited a Detroit-area DC that based its efficiency on highly disciplined paper-based processes, ruled by the iron fist of the DC manager. This tough woman had more than 30 years of experience in the organization, which had a 50-plus history. The seventy-year-old owner still visited headquarters daily. My visit showed me clearly the source of their success: a willingness to change and improve. Instead of laying off experienced (i.e. older) workers, this company worked to update their skillsets and maintain their value in the organization.

The company had called us in to deploy a Warehouse Management System (WMS). We found that the biggest challenge was not the technology, but the people, who were completely ingrained in the old, outdated systems. They wouldn’t use the RF scan guns that have been deployed. Instead, they relied on old processes and tribal knowledge accumulated over years (i.e. seasonal variations in SKU velocity, the quickest and easiest path to a good outcome, who could answer what question, etc.).

Often, the go-to knowledge bearer was the DC manager herself—she knew a lot. With the new system, a System Directed Put away capability configured the dimensions of the locations and the SKUs, based on the case or pallet. The WMS would calculate the size, volume, and weight of the case/pallet and apply defined rules and display the location to the put away operator. In the wake of the new system, the DC manager would intervene and ask the operator to override the system. Getting the people to embrace the technology proved very difficult.

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