November 17, 2022
How can you stop labour inefficiencies costing your business money?
Distribution centres could recover nearly 3,000 hours of lost labour a year if processes were made more efficient, a study by Honeywell has found.* But where do you start? Recovering lost labour hours begins with looking at how you can make it easier for your employees to do their work by allowing them to move around your facility as quickly as possible with material handling that drives productivity.
Little delays add up to big costs
Even an extra five seconds in the workflow can cause a loss of profit.1 Inefficient processes cost companies anywhere from 20% to 30% of their revenue every year, according to research from IDC.2
As more and more businesses must offer multiple ways to purchase their products through omnichannel models to meet consumer demand, companies of every size face supply chain complexities that may not have existed years ago. Every second counts when it comes to maximising efficiency and productivity.
Gaining back mere seconds from the workflow can recoup massive cost savings for your business when multiplied, especially for large scale supply chains. So, how can you get a handle on labour inefficiencies in your facility?
Could your material handling be slowing you down?
Order pickers spend about 60% of their time moving and transferring product around the warehouse.3 Investing in new technology undoubtedly helps businesses claim back hours from the workflow, but could the basics be letting you down? If your workers are slowed by platform trucks and carts that have not been designed with maximum speed and safety in mind, your business may lose significant seconds in the process. On the other hand, material handling that has been designed effective manoeuvring in mind, can help you claim back the time you need to achieve cost saving goals.
Are poor ergonomics costing you?
Unergonomic material handling also means your workers may be straining, stooping, and hunching when moving goods around your facility. This increases the probability of your workers developing musculoskeletal disorders (MSDs). With over 58% of European workers reporting that they have suffered from one or more MSDs, they are one of the most common work-related ailments and particularly prevalent in manufacturing, logistics and warehousing sectors.4
MSDs carry a high cost for businesses. One back-related MSD costs a business an average of EUR 17,000.5 In Germany alone, EUR 17.2 billion production loss (production loss costs based on labour costs) and EUR 30.4 billion loss of gross value added (loss of labour productivity) arises from diseases of the musculoskeletal system.6 Direct costs through occupational accidents and diseases and sick day compensation are high, but the indirect ‘hidden’ productivity costs are even greater, causing many lost labour hours. Preventive measures help to reduce the risk of future MSDs, but how do you know your material handling is fit for the job?
Carry more, move faster
If your employees are no longer straining to carry loads through your facility and are able to move heavier loads faster, efficiently and more safely in one trip, you’ll know your material handling is fit for the job.
At RCP, our material handling equipment has ergonomically designed features to ensure worker safety and increased efficiency, while reducing the risks of MSDs.
The RCP Structural Foam Tilt Truck allows your workers to transport up to 272kg with ease through its industrial strength structural foam construction and a unique “steering wheel”. Like the RCP Convertible Platform Truck, both have been designed to ensure your workers maintain proper posture back posture when manoeuvring and reduce body strains through a consistent use of different muscles.
If you’re looking for versatile, multi-purpose material handling solutions that excel in taxing environments, the RCP Convertible A-Frame Truck’s unique construction combines the bulk load capacity of standard panel trucks and bar stock trucks with the functionality of a heavy-duty two-shelf cart. Save crucial hours and money in the workflow by enabling your employees to transport oversized, heavy loads in one trip. If every worker saves seconds in one trip, the compounding effect over time is substantial. In the bigger picture, the seconds and trips saved results in a healthier bottom line. With the efficiency of your material handling maxed out, you can then focus your attention on saving costs in other areas.
Discover our material handling solutions here and get a handle on your labour inefficiencies.
* Honeywell, Unlocking Hidden Cost in the Distribution Center.
1 Honeywell, Unlocking Hidden Cost in the Distribution Center.
2 International Data Corporation
3 https://www.logisticsmanager.com/22128-a-picky-process/
4 Panteia based on the fifth (2010) and sixth (2015) waves of the European Working Conditions Survey (EWCS)
5 Work-related musculoskeletal disorders – Facts and figures, European Agency for Safety and Health at Work
6 Work-related musculoskeletal disorders – Facts and figures, European Agency for Safety and Health at Work
