Tag: logistics challenges
SAP helps increase warehouse management productivity with voice picking!
Voice technology has been there for a while and is here to stay. Its increasing adoption among warehouse distribution centers has led to increased accuracy, improved productivity, and training time reduction. Supply chain executives report attaining a 50% decrease in picking errors and a typical ROI in less than one year with voice integration.
In retail warehouses, complex facilities such as inventory control are vital, with several picks to be performed every hour. The warehouse employees should be an efficient and accurate while ‘picking’ as wrong picking can lead to incorrect deliveries and affect customer satisfaction.
To improve staff accuracy and speed of pick, warehouses can consider “Voice Picking” technology. Voice picking is an extension of the Warehouse Management System (enhanced by additional software and hardware) that allows transferring instructions to the warehouse operators using earphones and microphones. Voice Picking uses a wearable computer that includes a headset and microphone so that the order pickers can be instructed on what items to pick from where and later confirm their actions verbally into the Warehouse Management System (WMS).
Read more: How Robotics in Logistics Helps Improve Supply Chain Efficiency
Benefits of Voice-picking
A voice-picking system creates a hands-free, heads-up workflow. Unlike the traditional warehouse order picking, where you need to stop to read, scan, or punch keys, the voice-picking system allows users to listen and speak efficiently. Some of its benefits include:
- Productivity improvement
- Reduction in errors by 25% or more
- Decrease in accidents as operators rely on eyes and hands-free technology and hence are more aware of the surroundings
- Cuts training time
How is voice-enabled warehouse operation helping during the COVID-19 pandemic?
In the last few months, warehousing and logistics have been hit hard. While there was enormous pressure on the warehouse to execute deliveries quickly due to increasing customer expectations, COVID-19 has caused further disruption.
Logistic companies have had to evaluate options and make changes across transportation modes, considering delays, interruptions, and price changes.
According to a survey from August to September 2020, about 32,200 jobs were added to the warehouse and storage sector. Thanks to voice and device technology! Voice integration helped address the labor shortage and equipped new workers. Here are a few benefits of voice-enabled warehouse management.
1. Efficient onboarding
New workers can pick up their barcode scanner or mobile device and begin their work with minimal onboarding time. Latest device upgrades offer improved designs and user-friendly interfaces. Whether a Windows 10, iOS, or Android device, workers can choose the device they like. This flexibility helps simplify the training and onboarding process of new workers, optimizing workforce management, and making it a more efficient experience.
New workers can get started quickly without the need for lengthy training processes. With voice-enabled applications, you can reduce the training time from several hours to just a few minutes.
2. Increased productivity
Voice capabilities are helping workers to keep pace with the high volume of orders. It helps them cope with the increased pressure to meet soaring demands, reduce training time, and use the hand-held devices of their comfort.
3. Higher accuracy
With hands-free wearables and voice picking, workers don’t need to stop frequently to check their devices. It will reduce errors and allow pickers to complete more orders within the same timeframe with improved speed and accuracy.
4. Improved safety
The coronavirus has made “contactless” mandatory. Voice picking can eliminate many physical touchpoints that can lead to virus exposure. Minimizing surface contact is one of the best ways to protect warehouse workers.
Read more: Contactless services: The new retail norm
How does SAP help voice-picking?
SAP’s open architecture supports several voice integration methods that help users achieve immense productivity and accuracy. If your business is running on SAP’s Extended Warehouse Management (EWM) solution or Warehouse Management (WM), voice can be easily integrated. It results in the seamless integration of ERP with your warehouse management solutions and voice. Ultimately, the accuracy, productivity, comfort, and safety of all your warehouse processes will improve. It helps distribution centers deliver on time, achieve deadlines, and scale.
Read more: SAP Preconfigured Solutions Boost Efficiency Among Industries
Today, voice integrated into SAP has become an essential tool for many businesses. SAP’s voice picking provides superior ergonomics, eliminates distractions, and allows users to focus on the task. The voice technology is specifically designed to provide voice recognition in noisy environments. The noise cancellation ability helps lower warehouse background noise, such as truck horns, pallet drops, and conveyor system mechanism.
Additionally, the technology helps overcome language barriers as most systems come in more than 40 languages allowing users to interact with SAP most naturally and effectively.
Voice with SAP can quickly scale with your business both when your business grows and when you need to accomplish seasonal peaks. With SAP’s explicit instructions, you can add new employees’ onboarding time and capacity without any complex changes to the given infrastructure.
Download Our Case Study: How Fingent automated integration between SAP SuccessFactors and SAP S/4HANA
To conclude
As the economy battles to overcome uncertainty, using safe, cost-effective solutions, embracing advanced technologies like voice-enabled applications are imperative to sustain. Additionally, with COVID-19 showing no signs of ending soon and the world shifting to contactless shopping, embracing voice-enabled applications makes sense from an economic and physical safety standpoint.
No other technology has impacted the logistics and shipping industry like voice in the recent past. Extend your logistics and fulfillment processes by making voice technology a vital ingredient of your company’s IT strategy. Contact us now to get started.
Top Challenges Logistics Managers Face Everyday
In the present scenario of global economics, logistics play a key role in facilitating trade and, by extension, ensuring the success of business operations. However, changing consumer demands, complex business models and growing client demands are just some of the top factors that pose a challenge in streamlining logistics management. So, how can logistics management personalize a conventionally standard service? Well, that is perhaps the top challenge that the industry has been facing in the last few years among others.
In their struggle to ensure optimum results, here are the top challenges faced by logistics managers today:
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Cutting Transportation Costs
Growing fuel prices increased wages, and peaking inflation indexes all work in tandem to increase transportation costs daily. Cutting a few corners here and there does not always help in meeting the cost-cutting goals for transportation. Adopting a strategic approach to eliminate or reduce bottlenecks can prove pivotal in revamping network designs and consequently cutting down on transportation costs. To implement these strategies well, logistics managers need reliable information on existing and future orders. Using a visibility software can help in simplifying these challenges. For a small business, relying on a cost-effective third-party transportation agency that caters to air, ocean, rail and road transportation is sometimes the best bet for accessing quality services in a cost-effective manner. For one, it rules out the added expenditure of maintaining a fleet of delivery vehicles, paying salaries to the transportation staff as well as dishing out freight charges and other taxes. You just pay a lump-sum to an expert third-party and they take care of the rest.
Related Reading: Take a look at how a Transportation Management System can ease out the challenges of a 3rd party logistics service provider here
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Processing Enormous Amounts of Information
Logistics managers have to deal with a lot of figures and data on a daily basis, besides coordinating smooth discharge of operations. The scope of their work includes ensuring the safety of the fleet and staff, fleet loading, cross-checking route maps, sanctioning fuel bills and so on. When done manually, this can be a time-consuming and tedious task that can take your focus off from attention to details. Investing in an automated solution or application for data entries, fuel bills, loading and unloading ledgers can go a long way in streamlining operations by allowing logistics managers the luxury of time to look at the finer nuances of operations.
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Offering Segmented, Customized Services
Thanks to globalization, logistics management is turning into a multi-layered job where managers are expected to keep tabs on multiple supply chains simultaneously. You don’t just need to deliver goods on time but also offer customized services to different suppliers and customers in terms of packages and pricing. With the increase in customer expectation, some top rated shipping companies are striving to consistently provide maximum consumer satisfaction. A study by statista shows the 2017 and 2018 American customer satisfaction index (ASCI) scores for consumer shipping companies in the United States.
The keyword for success in this scenario is flexibility. Logistics operators need to offer personalized experiences to multiple segments of customers. Using a logistics management software that can automate the process of projecting different services to different customers can not only save time and effort on the managerial level but also bring added accuracy to data compilation and compliance.
Related Case Study: A constantly growing market like logistics cannot be managed only from a single device. How mobility solutions can ease logistics management and reduce its challenges is a read worthwhile. Find out more on iOS and Android development for logistics and supply chain company.
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Manpower Management
Manpower is the trickiest of management responsibilities. You must maintain a humane approach toward the employees while keeping the best interest of your organization in mind. That can be a complicated equation in any managerial setup, but especially so in case of logistics management, as the drivers and staff are often placed in different geographic locations to maintain swift supply chain velocity. Decentralization of responsibilities, by appointing logistics managers in key locations, with appropriate work-order management solutions can help in more efficient management. For instance, work order software like ReachOut, helps logistics managers manage team utilization, team schedules, show proof of work, generate quotes and invoices and do much more. Managers can easily keep everyone on the same page and notify the staffs immediately about changes or provide them with live info they need.
The future of supply chain management How will technology and AI shape tomorrow [Source: University of Liverpool Online]
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Compliance with Regulations
Transportation rules, regulations and security norms can vary from city to city, state to state, and quite obviously, from country to country. If you are a business catering to a global clientele, keeping up with these varying rules and regulations and familiarizing your staff with these, can pose a grave challenge. Collaborating with an efficient audit software can help eliminate these pains and improve your compliance, audit results and lead to quality investigations, thereby saving you from the trouble of getting on the wrong side of the law.
With the landscape of business operations continually changing, there is a shift in the ensuing challenges as well. Staying abreast with these changes and taking preemptive measure to ward off these challenges, is a sign of sound logistics management. However, solving logistic issues is not an impossible mission. Focusing on 3 major factors- Data, Process and Technology, can solve the biggest challenges of logistics.
For prompt and apt logistic solutions and to enhance your technology adoption in logistics, get in touch with Fingent now!
Technology continues to disrupt logistics and supply chain processes by changing it altogether from its core. Consequently, logistics became more refined and fast, which changed the way how materials, goods, freight, sales orders, inventory, and production are managed.
As efficiency and speed became the determining factors, logistics adopted a new approach to deal with the rising demand and complexity of processes. A viable solution that manages the flow of things so that the right product reaches the customer within the specified time.
With the use of logistics software, the entire base of logistical operations was streamlined that took away the hassles involved in the process. Organizations that invested in logistics management software have produced good end results with noticeable improvements in process, operations, and delivery.
In this article we take a look at logistics management software in the following aspects:
- What is Logistics Management Software?
- Challenges in Logistics Management
- Pros of a Having a Logistics Software
- Trends that reshaped Logistics Management
- Choosing the Right Logistics Management Software
- Checklist of Essentials in an LMS
- How Logistics Software Improves Efficiency
- The Future of Supply Chain
An Overview of Logistics Software
In order to understand how the software works for logistics, it is important to know about logistics management. Logistics involve the flow of things from its point of origin to the point of consumption usually general customers or businesses. The selection of vendors, transportation means, routes and delivery methods constitute an important part of logistical operations.
Logistics management is a part of the supply chain that uses planning and implementation to store and deliver goods and services to the customer. It coordinates several key activities of the supply chain that ranges from the development of the product to its commercialization.
Typically a logistics management system includes the following:
- Inbound and outbound transportation management
- Warehouse management
- Fleet management
- Processing orders
- Inventory control
- Managing third-party logistics service providers
- Planning supply and demand
Related Video: Top Challenges Faced by Logistic Management
Logistics management constitutes several functions such as production planning, sourcing, procurement, packaging, and dispatching. It also involves finding the right means to deliver goods and services to the end-user. Inbound and outbound traffic is vital in logistics management. Inbound logistics is a linear flow of raw materials from suppliers into a warehouse and then a production unit.
Shifting the products from the warehouse inventory into the hands of the customers falls under outbound logistics. An example of inbound and outbound logistics at play is that of a manufacturer of electronic goods, which requires several raw materials in the form of components, nuts and bolts, cables, casting, packaging cartons etc. to build products.
Challenges in Logistics Management
Logistics is prone to several issues that occur mostly due to simple human errors or other factors. Weak decisions usually result in delays in the transport or delivery of goods leading to dissatisfaction among the customers. Besides, another challenge that logistics usually face is in the safe transport of goods. The goods can become damaged or faulty if not handled accordingly while in transit.
Customer demand has also become higher as they want more transparency in the delivery process. Moreover, logistics and supply chain are facing the still unsolved issue of cost control. The rise of fuel charges combined with a steep increase in energy, freight, and labor rates have put further pressure on logistics providers.
Means to effective risk management and directing the relation between the suppliers and partners is also vital. A reliable solution that covers all these individual challenges in logistics is thus becoming a necessity. The use of logistics management software (LMS) can streamline the flow of things in logistical operations, which guides a logistics provider or business deal with them appropriately.
What is Logistics Management Software?
Essentially, logistics management software (LMS) simplifies operations by refining the production cycle and making it easier to access important information quickly. What a logistics management software does is help businesses manage the multifarious process that goes into the production cycle from the delivery of raw materials to shipping the finished products to the consumers.
Logistics software has become wider in its scope and functionality to deal with a wider array of operations and processes. It shares similarities with supply chain management software (SCMS), which contains a set of tools that help deal with transactions, processes, and suppliers. The functionality of a logistics management software extends to areas such as:
- Processing customer requests
- Processing purchase orders
- Inventory Management
- Suppliers Management
- Sales and Distribution
A logistics management software gets rid of all the conventional approaches like paperwork and spreadsheets to simplify management. It comes in three variations such as warehouse management systems, enterprise resource planning systems, and integrated supply chain management suites.
Companies that have an in-house logistics or supply chain division and third-party logistics providers utilize any of these different versions according to their own requirement to manage their logistical and supply chain operations efficiently.
The Pros of Having a Logistics Software
In the area of logistics, handing over the process to a logistics management software has its own advantages. With logistics management software, a company or 3PL could avail the following benefits.
- Refine Transportation – Transportation being a pivotal area of logistics incurs the most charges in the form of fuel, energy, labor, tolls and shipping fees. Relying on logistics software can help manage the various transportation means and leverage the data to automate the process. This allows for easy analysis, which a company can utilize to make relevant decisions for maximizing efficiency and reducing costs.
- Faster Delivery – Logistics being a linear flow of goods and services come across several issues that affect delivery and cause delays. By incorporating a logistics software, a singular benefit that businesses derive is in the faster delivery of products to the customers. A logistics management software can improve the speeds in delivery by interfering in the production cycle and selecting the right shipping service, which cuts short any delays to a large extent.
- Minimize Human Errors – The other notable advantage of having a logistics management software is in reducing human error. Analysis of transportation data results in huge quantities of data that is difficult, time-consuming and prone to errors when processed manually. A logistics software can process these data without any errors in less time, which will seamlessly push forward the operations with zero chances of delays.
- Automates Functions – Automation is another boon to integrating a logistics software to deal with the processes. Certain functions like creating shipment routes, load planning, and tendering of load to carriers are easily automated and managed by using a logistics software. Moreover, it eliminates paperwork, which helps deal with the processes in a more efficient and timely manner.
- Reduce Costs – Savings is the other end result as the logistics software can automatically compare different shipping services, delivery agents and transportation methods to find ones with the least pricing. The other way by which a logistics software reduces costs is by lowering the expedited shipments through improved planning of the shipments.
How Trends Reshaped Logistics Management Using Software
Logistics is on a forward growth and several trends have changed it remarkably. The demand for logistics has peaked with the widespread popularity of e-commerce. As a result, logistics is constantly evolving to accommodate the rising demands of each industry that depends on it. One area where logistics clearly transformed is in the digitization of its processes and resources.
With the introduction of logistics management software, the entire nature of logistics changed allowing a business owner to supervise the operations across different levels. Digitization combined physical devices and software solutions to streamline the entire cycle of logistics by putting the owner at the center.
Software as a service (SaaS) is clearly gaining the upper hand as this model continue to find widespread acceptance in logistics management and supply chain. It is a reliable model since it offers the security and convenience that logistics managers can depend upon along with the benefits of cloud computing.
The use of AI is another significant trend in logistics and supply chain. It holds the most potential to disrupt the field of logistics in the near future. Some of it is already a reality now such as in the automation of specific tasks and is slated to advance further with gesture recognition and autonomous delivery via self-driving vehicles.
Moreover, the trends also clearly hint at an improved collaboration in the processes that govern the logistics and supply chain. Emphasis is also given on managing risks and promoting resilience in the supply chain, which increases the dependence on logistics software for dealing with the processes more effective than before.
Opting for the Right Logistics Management Software
With the trends shifting logistics management in a progressive direction, the need for software solutions in the field has become indispensable. Businesses, whether focussing on e-commerce or delivering services, can benefit from having a logistics management software. However, the real question is finding the right kind of logistics software since the requirements vary for each business.
A Checklist of Essentials in an LMS
Prior to settling on software for logistics management, it is vital to understand the requirements and challenges that a business face on a daily basis. Carrying out a detailed analysis can help identify weaknesses in the existing logistical operations of a business. Besides that, it can suggest measures to redeem any discovered weaknesses in the cycle.
When deciding on logistics management software, there are several essential factors to consider. Firstly, it should contain a basic set of functions that can aid in simple logistical management operations.
Besides that numerous other things should also be present in the software to tackle the wide base of logistical operations and processes that each business undertake. Some of the key features to look for in a potential LMS are:
- Compatible Multi-Client Architecture – A logistics software that comes with multi-client architecture support is necessary if a business handles multiple customers. Software with inventory and purchase orders have more emphasis since the process deals with several customers simultaneously or in different phases.
- Forecasting – The ability to forecast is a needed trait in a logistics and supply chain management software since it can bridge gaps in supply and demand by enhancing the business processes. Demand, supply and price forecasting can help supply chain management with proper scheduling of production, improve customer satisfaction, minimizing stocking out of inventory, etc.
- Finance Integration – Having tools that integrate the financial side of the supply chain is another key requirement in the software. Key financial aspects like general ledger, account payables, and receivables, when included in a logistics software can guide manage the bookkeeping and records of transactions conveniently.
- Inventory Tracking – Having an inbuilt inventory tracking feature can make a logistics management software more dependable. Since logistics involves transactions of various kinds, an inventory control feature enables easier processing while making sure that the customer gets the invoice on time.
- Customizable and Streamlined Interface– A good logistics management software should contain a streamlined interface that allows for effortless navigation across its chief functions. A customizable logistics software can easily accommodate the unique infrastructure and methods implemented by a business.
- CRM – A proper logistics software should also cover the customer side. A CRM embedded logistics software allows the customers to know the status of their deliveries. For both inbound and outbound logistics, CRM can answer the queries of the customer and supply them with relevant information along with adjustments to the delivery.
- Bill of Lading Creation – As a key document in shipping and freight chain, it is recommended to look for a software that can generate bill of lading. This can make it easier for creating bill of lading receipts to facilitate the seamless transaction of goods under the consignee of the shipper and the logistics company.
Refer the chart below to get a grip on the overall profile of any software logistics management:
With logistics pushed to the forefront of business operations, leveraging the right technology can make your business compatible with the changing environment.
Outsourcing to a software development vendor will help deploy a scalable software for logistics management into your entire supply chain operations. A global software solutions provider like Fingent can give you the advantage of custom logistics solutions built solely with your requirements in mind.
Logistics Software Upholds Efficiency and Speed for Businesses
Having a logistics management software can guarantee more efficiency and control over the logistical and supply chain operations run by a business. It means simply substituting the existing methods with a software-centric solution. The array of features in an LSM can refine the entire cycle of logistics right from its center. For owners, vendors and the end customers, the use of an LSM model opens up improved collaboration, which is the essence of effective logistics management.
Opting for a logistics software requires considering all the above-mentioned criteria. For a business, it involves addressing their needs and then choosing one that wraps around their existing processes. By integrating an LMS into their operations, businesses could ratchet up their turnaround times, streamline the overall cycle of planning and delivery all the while keeping up with the customers’ requirements.
Transitioning into Cloud-Based SaaS – The Future of Supply Chain
With cloud computing gaining momentum, a whole new way of processing data is left open where services and functionalities are offered via the web. This latest innovation has also made its influence on the web of operations involved in supply chain and logistics. With the rising adoption of supply chain and logistics solutions, there now exists various options that shift from premise-based software into that of a SaaS model.
Predictions estimate that a subscription-based SaaS model will clearly dominate supply chain management in the coming years. Adopting a cloud-based supply chain solution has its own benefits in the form of flexibility, robustness, and affordability. This is increasingly becoming the choice for several logistics providers and organizations as several cloud services have opened up cloud computing to a wider extent.
The benefits that businesses and providers can reap from having a cloud-based SaaS supply chain solution are numerous. It gives a comprehensive outlook on the overall operations in logistics by making it more transparent and collaborative. Implementing a cloud system could reduce the upfront and operating costs along with the ability to scale up in accordance with the needs all the while enhancing the efficiency of supply chain operations as a whole.
Summing Up
Opting for a logistics solution is one step to simplifying the entire cycle of logistical and supply chain operations. Effective management of each process from procurement to delivery requires a custom solution that can accommodate the demands of each provider. For instance, an organization lacking an in-house logistics department need a software management tool that can wrap around their existing methodology and improve it.
By partnering with a vendor specializing in software development, businesses can deploy logistics management software customized with their individual requirements. Pioneers in software development like Fingent who have experience in the field for over a decade can assist businesses from wholesale to e-commerce with the advantage of custom logistic solutions to spearhead their operations in a swift and efficient manner.