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ABSTRACTIf you spent close to $85,000 or more to outfit a dozen pickers with RF gear wouldn't you expect to get something out of it? The truth is, not everyone does
five issuesbefore choosing to use RF picking in your facility:
Man versus Machine: Who's really smarter?Contrary to popular belief, there are a lot of really smart pickers out there. Also contrary to popular belief, there are a number of really dumb RF implementations out there. Before you choose any RF-based picking system you need to inventory how smart your pickers are, and determine what the impact will be if you let an RF system determine each picker's pick tour. If short cuts are somewhat important you need to look for a more sophisticated system. If they are really important you may want to reconsider RF altogether.
TPG has compiled from its experience in warehouse design and WMS implementation a list of paper picking "best practices" that many RF systems have trouble emulating:
What is Reverse Picking?Experience has shown us that the most important of the shortcuts seems to be reverse picking. To understand what we mean by reverse picking, it is useful to understand how most RF/warehouse management systems assemble and communicate a pick list to a picker, and this requires an example.While this issue relates equally well to case picking situations, consider an area within a warehouse that is used for storing and picking small, piece pick items into shipping cartons. There are 300 bin shelving locations in this zone, organized into six aisles of 50 locations each. To minimize travel distances pickers should follow a serpentine pick path in that zone, traveling up one aisle and down the next as shown in Figure 1.0. To accomplish this in most WMS or RF-based systems, each location will need a Location Sequence Number. This sequence is used by the RF-based system to determine which pick on a picklist to serve an operator next. Thus, to create the serpentine path, the locations would be numbered in increasing sequence in the first aisle and then in reverse sequence down the second aisle and so on as Figure 1.0 shows. The software directs operators to perform those picks having the lowest Location Sequence Number first.
This approach works very well and generates an efficient pick path, so long as there are items on a picklist in every aisle. The problem arises when there are not picks in every aisle, and operators are forced to skip aisles. To see why, consider the situation in Figure 2.0.
Reverse Pickingis just one example of a much larger set of short cuts that your operators may be using. You really need to inventory these techniques along with the skill and performance levels of your people before you decide to move to RF. You may find that your people are already delivering excellent productivity and accuracy. If that is true, RF might not offer much improvement.RF is Great When Things Are Out of ControlThis brings up the second issue to evaluate prior to installing RF. If a facility is not blessed with lots of knowledgeable and conscientious pickers, RF seems to really pay off. There are a couple of reasons for this. First, while there are companies that paper pick and have inventory and picking accuracy of 98% or above, there are many places that do not(i.e. inventory and/or picking accuracy can be below 85%). Bad inventory accuracy and mispicks can lead to a huge amount of rework and wasted time that is often not tracked until someone's Income Statement begins to suffer.While not all paper picking operations have bad inventory accuracy; many, many RF operations have good inventory accuracy. If your operation is suffering heavily from this problem, RF can pay dividends many times over. Other reasons warehouses tend to get out of control include excessive turnover, a reliance on seasonal/temporary labor, or having many inexperienced pickers. If this is the case, RF can help in these situations as well. How this happens is best explained using the example outlined earlier. Note the route that an inexperienced picker would take to pick Order #123 if they adhered exactly to the sequence suggested by the paper picklist. Again, most paper picking and order management systems print out picklists in location sequence. If you assign locations from front to back, an inexperienced operator's pick tour would look like the one in Figure 4.0 below:
Do Not Pave Cow Paths: Reengineer Your Picking Operation FirstThe number one reason why RF projects are not successful is that companies fail to rethink how to pick and ship orders in the new RF environment. Most organizations more or less pave the cow path of the past, electing to continue the precedent of standard order picking, while disregarding the greatest advantage of the better RF systems -their potential to support new methods for picking orders.Another client implemented RF-based order picking and saw picking productivity fall almost 50%. They were ready to throw it out, until they were persuaded that this technology could enable them to pick in entirely new ways. For example, they could multi-order pick; they could also batch pick and sort the picks into orders at the end of the pick tour, and either of these two methods appeared to be more efficient than order picking. These alternatives were also superior to order picking using paper pick lists. Very few like to hear this, but you have to spend some time up front analyzing the value of these different pick methods before you implement the technology. RF is like anything else: you get out of it what you put into it. Determining the feasibility and value of batch picking or multi-order picking requires order and cube information, and some simulation. This is not easy, but it should be done. If after this analysis, RF still seems to offer little benefit, you probably can rule it out. This of course assumes that your operations are not out of control. Does Picking Via RF Buy You Something Somewhere Else?Another factor that needs to be assessed when considering RF picking is that while RF picking may cost productivity in picking, it may buy additional productivity somewhere else. Two particular scenarios where this is true come to mind:
So far we have discussed scenarios in which the picker is generally located in one area, and all that person does is pick. However, in almost every warehouse there isa subset of workers that are sent all over the facility to perform a variety of different tasks. Usually these employees operate forklifts picking product in one area and delivering it to another. In the case of a public warehouse this could be a "swing" team that moves to wherever the work is.
Each operator or group of operators has a "rules hierarchy" assigned to them consisting of a prioritized set of rules similar to those above that the system uses to decide what an operator will work on next. If there is a large subset of mobile workers and they can be sectioned off from areas and staff who are not using RF you may want the flexible work force to use RF. The average time spent per pick could go up, but the utilization of this group will increase making the investment worthwhile. Weighing the Cost of Real-time Accuracy Against the Cost of ProductivityFinally there are many warehouses in which even after the short cuts are assessed, the stability and experience of the workforce are evaluated, the other methods of picking still don't overwhelmingly suggest RF is a valid solution. But there still can be valid, even compelling strategic reasons to consider RF. Such a candidate might be a company whose warehouse is not out of control but isn't achieving the shipping accuracy that it needs to. Other examples can be found in industries such as third-party logistics, wholesalers, health care, or spare parts, where companies want to implement RF to improve customer service by leveraging the real-time inventory and order status information that RF systems provide.In organizations like this implementing RF is clearly a strategic decision, not a productivity initiative. Like many strategic investments you don't know exactly what the up side will be (you hope that it is good ), but you should evaluate the down side before you make the investment. Someone needs to know at what cost this information or inventory accuracy will come. To do this, TPG recommends clients look at the current ratio of picking to walking time and then forecast what it will be in the future RF environment. If this ratio changes significantly, another method such as pick-to-light should be considered if the accuracy is really important but the cost of lost productivity is just too great. To generate this forecast, keep in mind that most RF systems take 1 to 2 seconds to display the location where the pick needs to be made. Two to three more seconds are required to holster and unholster the RF gun between pick locations. At the pick face, 2 to 3 seconds are needed to scan the location, enter the quantity picked if different from the suggested quantity, and press ENTER to confirm the pick. This adds up to an increase of 5 to 8 seconds per pick at the pick face that RF requires over paper order picking.
Is RF the Silver Bullet?There are a number of misconceptions to be cleared up regarding the use of Radio Frequency in warehouses. First, RF adds a tremendous amount to most warehouse environments, but not all. Second, it is not a silver bullet. It seems to benefit operations tremendously that are "out of control" but at most companies a reasonable amount of analysis needs to be done up front to make the RF decision. Third, RF can be implemented selectively within a warehouse. It is not an all-or-nothing technology. There may be some areas in a warehouse that warrant its use and others that do not. Finally, experience shows that failing to assess the value of this technology prior to implementation invites a significant amount of risk. There are a number of horror stories to complement the wealth of success stories. Do your homework before you buy.About the AuthorSteve Mulaik is a Director The Progress Group, a logistics consulting firm headquartered in Atlanta, Georgia. Steve is a member of TPG's Warehouse Management System practice. If you would like to get in touch with him he may be reached at 770 438 8177 or smulaik@theprogressgroup.com.AcknowledgementsSpecial thanks go to Ozburn-Hessey Logistics and Zethcon Corporation for providing pictures to illustrate this article. |
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