A procedure to evaluate the costs and benefits of managing staffing levels in an order picking operation
In order to increase the efficiency of a warehouse, the decision made is to add pickers. The rate at which the lead-time decreases and the throughput increases with respect to number of pickers is determined. The number of pickers required to have a certain probability of fulfilling all the items on the same day is calculated. When waves are formed, the rate at which throughput decreases at the end of the day (8 hours shift) is analyzed. The accumulation of time saved when waves are formed and pickers are added is also determined. The cost of benefits of increasing throughput and decreasing lead-time is evaluated as a function of cost of adding pickers. The rate at which the cost of benefits change with addition of pickers is determined when lead-time is constant and the throughput is constant is determined.
School Location:USA - Ohio
Source Type:Master's Thesis
Keywords:lead time throughput pickers savings when waves are formed cost of benefits
Date of Publication:01/01/2006