How can CPG companies improve efficiency?
In the consumer packaged goods (CPG) industry, the speed and efficiency that warehouse employees perform directly impacts the volume of product that a warehouse can ship in a given day. The goal of every warehouse is to quickly receive in and ship out their products, but for a large CPG food company that ships perishable food products, warehouse performance more acutely impacts the bottom line. Identifying changes in performance by warehouse employees can help to improve the efficiency of the entire warehouse, thus positively impacting revenue.
Today’s story identifies a record low for the time that is taken to complete certain tasks in an area of the warehouse. Through Outlier’s Root Cause Analysis feature, the customer was able to understand the key elements that drive record speeds and productivity, and the key individuals who merit praise.
How does a leading CPG food company measure warehouse efficiency?
CPG food company warehouses often have hundreds, even thousands of employees receiving and shipping products. The time-sensitive nature of perishable food products only increases the speed and efficiency at which their warehouse workers must perform. Many different warehouse teams work together to receive and ship products, which can make quickly gathering data on task speed and personal performance an unrealistic task for warehouse floor managers.
This story shows a quarterly low for the amount of time it takes to start a task and complete a task in a particular warehouse queue. The average work time for this stage was significantly shorter, impacting the speed of the entire task process.
By quickly integrating their SAP HANA data into Outlier, this leading CPG food brand discovered positive Queue activity by specific workers. This insight was valuable because it showed a record low in task speed, pointing to responsible employees and certain shifts.
This Outlier story helped the CPG food company identify efficient warehouse queues and workers. The company used this insight to optimize other queues within the warehouse, recognize productive workers, and drive overall output and sales.
Without Outlier, these kinds of insights could require hours, days, or weeks of analysis. Outlier empowers businesses to take a deeper look at their data and uncover unexpected trends that can lead to operational improvements. Sign up for a custom demo to see how.