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Challenges warehouse faces today
What are some of the challenges the warehouse operations is facing today?
Are these challenges different from 10 years ago?
The first difference will be more frequent, smaller transactions. Compared to 10 years ago, the supply chain is more diversified. Operations need to complete the picking of more PO (purchase orders).
There are a lot more SKU nowadays. With more requirements from the end users, companies have to cater to different market segments by creating more variation.
Operations are also requested to perform more value added services (VAS) such as bundling, affixing labels, changing inserts etc. This will inevitably increase the complexity and effort to fulfill this need.
I understood that in some locations, it is very diffucult to find staffs to fill up he roles.
Most of the warehouses are situated in suburban/ industrial area. Employees are reluctant to work in these area.
Operations has more KPI to meet. Additionally, the speed to fulfill the orders are getting shorter compared to 10-20 years ago.
Another upcoming trend is the merging of B2B and B2C operations. B2B orders are palletized, but B2C orders are typically cartons and pieces.
Operations need to plan carefully to fulfill these 2 types of customer profiles.