BY VICTORIA KICKHAM, CONTRIBUTING EDITOR
PICKING TECHNOLOGIES
Technology
MOST ORGANIZATIONS UNDERSTAND THAT MISPICKS CAN ADD UP TO
big losses—in money, time, and labor—but the biggest bite comes from losing a
customer due to service problems associated with slow deliveries, receipt of the
wrong item, and the hassle of a return. In today’s fast-shipping world, where two-day (or faster) delivery has become the norm thanks to the likes of Amazon.com
and Zappos.com, companies serving both consumers and business-to-business
(B2B) customers must meet higher-than-ever expectation levels or suffer the wrath
of a dissatisfied customer.
“Service is now the big issue,” says Steve Mulaik, Atlanta-based director with
global supply chain management consulting firm Crimson & Co. “[A mispick] can
add two days to an order’s processing time. This is huge in the cut-throat e-com-
merce world. This sort of thing ends up in complaints on Facebook and elsewhere
that drive [customers] to sites that have better service.”
The situation is putting pressure on distribution center leaders to improve accu-
racy in the picking process. The list of remedies is long and includes technology
solutions, process changes, and new approaches to training DC workers. But before
a DC can tackle any of that, managers and staff must understand what a mispick is,
what it costs, and how to address the weak spots in their operation.
The true cost of a
mispick is measured in
service levels—and by a
dwindling customer base
when consumer and B2B
buyers turn to sources
that get orders right.
PICKING TECHNOLOGIES:
When inaccuracy leads
to lost customers
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