Increase Throughput to Drive Revenue Growth
In competitive distribution center and fulfillment operations, where even marginal utilization improvements can increase annual site revenues by potentially millions, The Connected Distribution Center uncovers hidden opportunities for throughput gains.
By monitoring all activities related to order fulfillment, the system gathers trending utilization data and alerts operators when throughput impediments put daily production targets at risk. Whether identifying repetitive jams or detecting errors, The Connected Distribution Center exposes the root causes of throughput barriers so DC operators can quickly address and resolve issues.
The correlation between consistent throughput and profitability is easily demonstrable, as even incremental throughput improvements can result in significant labor savings and revenue gains. Here’s how:
In a 750k square foot facility, operating 5,200 annual hours and running 300 cases per minute at $10 per case, increasing throughput by 10 cartons per hour delivers the potential for more than $1M in annual gains:
- $720k in additional throughput revenue
- $330k in recovered labor costs from driving down common error rates
If you’re ready to benefit from the immediate and long-term revenue impacts that come from exceeding your company’s throughput objectives, The Connected Distribution Center delivers utilization improvements across the enterprise.