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Labor management

Businesses are facing an unprecedented change in the demands and challenges of today’s e-commerce explosion. Growth trends, business channels, and market competitors are considerably different than 5 years ago and will only continue to change. More than half of our customers reported that demands have intensified dramatically during the past 24 months and have concerns about their ability to respond to these intensifying challenges. 
Third-party logistics (3PL) providers in the fulfillment sector face many of the same market challenges as their retail customers — and the growing shortage of available labor is at the top of this list. In the past, 3PLs have simply scaled up their workforce to meet service contracts. But to meet e-commerce requirements, they’ll need new strategies that aren’t as dependent on adding labor. As a result, many are accelerating their transitions to automation and digital technologies. 

Building Trust With LMS

Labor management software (LMS) is an essential tool for increasing employee productivity and maintaining high customer service levels. Learn how LMS by Honeywell Intelligrated can be used to foster trust and transparency with a customer, which in turn can boost retention rates and satisfaction.

Robotic Unloader

Honeywell Robotics uses advanced vision-guided robotic technology, machine learning-based decision making and sophisticated AI — similar to that of driverless vehicles — combined with integrated controls and conveyors to automate the freight unloading process.

Productivity Gains With LMS

Jason Franklin discusses the range of productivity gains possible through the implementation of labor management software (LMS). Throughput gains are defined by the handling characteristics of the actual product and the starting point of the workforce. LMS not only defines the performances of individuals, but it also provides coaching and incentives, monitors work consumption, and determines where labor would best be utilized.

For every 100 people earning $15/hour, a 10 percent performance improvement will result in $225,000 in annual operational savings.

While it’s a known fact that distribution centers (DC) utilize a sizable amount of automation, some estimates claim up to 80 percent of DC activities are still performed by manual labor. But facing persistent labor challenges and unrelenting e-commerce growth, many DC operators are augmenting their workforce with a variety of robotic solutions.

Robotic automation creates jobs

Defining the ROI of LMS

Jason Franklin explains how the ROI for labor management software (LMS) is very well-defined because the tool can measure your improvements. For a facility with 50 direct labor workers or more, the expected ROI is about eight months. After this point, throughput, productivity and visibility benefits can be seen in your bottom line. 

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