Looking to take your DC operations to the next level? Consider adopting these nine habits of high-performing warehouses.
The next time you’re at an industry trade show, ask the logistics executives in the buffet line next to you to list their biggest headaches in running a warehouse.
Some might mention the surge in e-commerce parcel volume or the painful evolution to omnichannel order fulfillment, but chances are you won’t have to wait long before someone brings up warehouse labor turnover. Labor is the biggest operational cost in most DCs, and the expenses associated with high turnover—like recruiting, hiring, and training new workers—only add to the pain.
The industry’s continuing struggle with employee turnover was underscored by a recent survey of warehouse performance conducted by DC Velocity in conjunction with the Dedham, Mass.-based consultancy ARC Advisory Group. Among other findings, the study showed that the respondents’ track record in controlling turnover lagged well behind their performance in other critical areas, like safety and productivity.