Efficient utilization of the labor force is often a key objective for many warehouses. Grouping transactions is often an effective method as it facilitates better staff utilization and can shorten overall transaction times helping to better meet schedules and requirements.
Within logistics this grouping of common activity is called wave management. Wave management can relate to various tasks including allocating stock/inventory, picking, packing and cycle counting.
Effective wave management intelligently groups warehouse activities prior to “releasing” duties to the workforce. The resultant batch of work is carried out together in an allotted time window.
Warehouse management systems are often used to facilitate better wave management (this is common rationale behind many businesses cases looking to implement WMS as it generates improved productivity form the workforce.).
Whilst wave management doesn’t require technology – the advantage of utilizing a WMS for wave planning is that the WMS is better equipped to quickly process the levels of transactions, look for synergy and produce an output plan that the team can follow.
But what activities should you group?
Whilst businesses may view logistics activity in a holistic framework tasks can be broken down into smaller common groups. For example
Picking
Picking is often one of the first activities to be reviewed by wave management. As a process, its probably one of the most labor intense which provides one of the greater opportunities for improvement. Many organizations look to simplify picking by grouping the activity around customers, product groups or destination.
Routing
With routing and picking being so closely aligned its not a surprise to see that wave management can offer improvements. Routing management will usually commence prior to picking (determining number of parcels pickups, schedules, locations etc). Once completed it easier to establish picking requirements.
Cycle counting
Most organizations do not shut down for physical inventory counts. And as such many organizations look towards perpetual stock checks as a means of validating stock. Whilst often an overlooked process, developing a suitable schedule and process which takes account of labor efficiencies can still pay dividends
Packing
Packing activities, reliant on completed pick tasks can be segmented to take into account of customer specific handling requirements (e.g. special packaging or sorting).
Replenishment
For many organizations (especially those in high volume manufacturing situation) stock replenishment is a key task and one which can benefit from wave management. Once again this task is closely coupled with the pick wave. Replenishment tasks are initiated to re-stock Kanbans or forward holding storage locations. Following a pick wave the replenishment wave moves the inventory in the pick locations to the new stores location.
Summary
Wave management can greatly improve the use of labor resulting in increased productivity. There can be many types of waves many of which are closely related. Dedicated warehouse management systems (WMS) usually have some form of wave management functionality.