[\/et_pb_text][et_pb_divider _builder_version=\u201d4.27.5\u2033 _module_preset=\u201ddefault\u201d theme_builder_area=\u201dpost_content\u201d hover_enabled=\u201d0\u2033 sticky_enabled=\u201d0\u2033][\/et_pb_divider][et_pb_text _builder_version=\u201d4.27.5\u2033 _module_preset=\u201ddefault\u201d theme_builder_area=\u201dpost_content\u201d hover_enabled=\u201d0\u2033 sticky_enabled=\u201d0\u2033]<\/p>\n
If you were asked the question, \u2018Did you have a good day in the warehouse?\u2019<\/em> How would you begin to answer that? Tracking specific metrics for your warehouse KPIs is vital to keep a pulse check on how effective your operation is. It also helps if you\u2019re under performing, to be able to take action quickly or over performing to understand how.<\/p>\n Without knowing your benchmarks for the following stats, proactively building your operation for growth can be tricky.\u00a0<\/span>In this article, we\u2019ll uncover the top six warehouse KPIs every business needs to know.<\/span><\/p>\n [\/et_pb_text][et_pb_heading title=\u201dTable of contents\u201d _builder_version=\u201d4.27.5\u2033 _module_preset=\u201ddefault\u201d theme_builder_area=\u201dpost_content\u201d title_level=\u201dh3\u2033 hover_enabled=\u201d0\u2033 sticky_enabled=\u201d0\u2033][\/et_pb_heading][et_pb_text _builder_version=\u201d4.27.5\u2033 _module_preset=\u201ddefault\u201d theme_builder_area=\u201dpost_content\u201d hover_enabled=\u201d0\u2033 sticky_enabled=\u201d0\u2033]<\/p>\n [\/et_pb_text][et_pb_heading title=\u201dQuantity of dispatch per day by warehouse worker vs target\u201d _builder_version=\u201d4.27.5\u2033 _module_preset=\u201ddefault\u201d theme_builder_area=\u201dpost_content\u201d hover_enabled=\u201d0\u2033 sticky_enabled=\u201d0\u2033 title_level=\u201dh2\u2033 module_id=\u201dQuantityofdispatch\u201d][\/et_pb_heading][et_pb_text _builder_version=\u201d4.27.5\u2033 _module_preset=\u201ddefault\u201d theme_builder_area=\u201dpost_content\u201d hover_enabled=\u201d0\u2033 sticky_enabled=\u201d0\u2033]<\/p>\n How many parcels do you want to ship per day, per warehouse worker? Having an accurate and live view of this will enable you to act in real time if you are under or over target.<\/span><\/p>\n It enables your to promote or reward the best workers for achieving over any targets. It also allows you to easily assess how your day is going, a metric a warehouse manager should have at their fingertips.<\/span><\/p>\n Flexibility with picking strategies can be a secret weapon for efficiency. Using a variety of \u2018pick methods\u2019, as well as altering how the warehouse itself is set up, means you can build your operation bespoke to your business requirements, customer promises and product types.<\/span><\/p>\n For example, utilising a \u2018<\/span>pick and sort to trolley<\/a>\u2019 style of picking can be highly effective if you receive a large proportion of smaller multi-item orders.<\/span><\/p>\n [\/et_pb_text][et_pb_video src=\u201dhttps:\/\/youtu.be\/I0wxWPe1FIE?si=sXAiyDgiLbH2BorL\u201d _builder_version=\u201d4.27.5\u2033 _module_preset=\u201ddefault\u201d theme_builder_area=\u201dpost_content\u201d hover_enabled=\u201d0\u2033 sticky_enabled=\u201d0\u2033][\/et_pb_video][et_pb_heading title=\u201dGoods-in effectiveness\u201d _builder_version=\u201d4.27.5\u2033 _module_preset=\u201ddefault\u201d theme_builder_area=\u201dpost_content\u201d title_level=\u201dh2\u2033 hover_enabled=\u201d0\u2033 sticky_enabled=\u201d0\u2033 module_id=\u201dGoodsineffectiveness\u201d][\/et_pb_heading][et_pb_text _builder_version=\u201d4.27.5\u2033 _module_preset=\u201ddefault\u201d theme_builder_area=\u201dpost_content\u201d hover_enabled=\u201d0\u2033 sticky_enabled=\u201d0\u2033]<\/p>\n How effective are you at receiving deliveries and getting them ready to be picked and sold? There are many ways to measure this but a simple option is to use time. The time it takes from receiving and scanning your delivery to that item being in the right location in your warehouse ready to be sold. Your goods-in process could be leading you down a path for inventory issues.<\/p>\n [\/et_pb_text][et_pb_heading title=\u201dPicking accuracy\u201d _builder_version=\u201d4.27.5\u2033 _module_preset=\u201ddefault\u201d theme_builder_area=\u201dpost_content\u201d title_level=\u201dh2\u2033 hover_enabled=\u201d0\u2033 sticky_enabled=\u201d0\u2033 module_id=\u201dPickingaccuracy\u201d][\/et_pb_heading][et_pb_text _builder_version=\u201d4.27.5\u2033 _module_preset=\u201ddefault\u201d theme_builder_area=\u201dpost_content\u201d hover_enabled=\u201d0\u2033 sticky_enabled=\u201d0\u2033]<\/p>\n Picking accuracy is a measure of how often workers in a warehouse select and retrieve the correct items from inventory. A high picking accuracy means that employees are consistently selecting the right products, which leads to accurate order fulfillment and customer satisfaction.<\/span><\/p>\n Conversely, low picking accuracy can result in mistakes, delays, and dissatisfied customers. This warehouse KPI is particularly important in ecommerce and retail industries where precise order fulfillment is essential for a positive customer experience. A benchmark should be around 99%. Anything lower and you may see some one-star reviews coming your way.<\/span><\/p>\n Explore 10 common problems with order picking<\/a>, how to solve them, and improve your accuracy.<\/strong><\/p>\n [\/et_pb_text][et_pb_video src=\u201dhttps:\/\/youtu.be\/4D1Ueq3CQaI\u201d _builder_version=\u201d4.27.5\u2033 _module_preset=\u201ddefault\u201d theme_builder_area=\u201dpost_content\u201d hover_enabled=\u201d0\u2033 sticky_enabled=\u201d0\u2033][\/et_pb_video][et_pb_heading title=\u201dInventory turnover\u201d _builder_version=\u201d4.27.5\u2033 _module_preset=\u201ddefault\u201d theme_builder_area=\u201dpost_content\u201d hover_enabled=\u201d0\u2033 sticky_enabled=\u201d0\u2033 title_level=\u201dh2\u2033 module_id=\u201dInventoryturnover\u201d][\/et_pb_heading][et_pb_text _builder_version=\u201d4.27.5\u2033 _module_preset=\u201ddefault\u201d theme_builder_area=\u201dpost_content\u201d hover_enabled=\u201d0\u2033 sticky_enabled=\u201d0\u2033]<\/p>\n Inventory Turnover = Average Inventory Value \/ Cost of Goods Sold (COGS)<\/strong><\/p>\n Your warehouse has a crucial role in keeping your inventory turnover at an optimal number throughout the year. The turnover ratio benchmarks vary wildly depending on industry and sub-sector. However, keeping a track of yours and working to make year on year improvements will set you up to scale.<\/p>\n Being aware of what exactly is in your warehouse, how long it has been there and where it is will allow your sales and marketing teams to develop campaigns and initiatives to move that slow stock.<\/p>\n [\/et_pb_text][et_pb_heading title=\u201dNumber of mis-ships\u201d _builder_version=\u201d4.27.5\u2033 _module_preset=\u201ddefault\u201d theme_builder_area=\u201dpost_content\u201d title_level=\u201dh2\u2033 hover_enabled=\u201d0\u2033 sticky_enabled=\u201d0\u2033 module_id=\u201dNumberofmisships\u201d][\/et_pb_heading][et_pb_text _builder_version=\u201d4.27.5\u2033 _module_preset=\u201ddefault\u201d theme_builder_area=\u201dpost_content\u201d hover_enabled=\u201d0\u2033 sticky_enabled=\u201d0\u2033]<\/p>\n Are you shipping the right items to the right customers? Out of 100 orders, how many orders make it to the wrong customers or contain the wrong items? This is your mis-ship rate.<\/p>\n This should always be below 1% as it helps with profitability, customer satisfaction and brand advocacy, all key drivers for growth. Mis-ships are a lagging indicator of how optimised your warehouse processes and set up are.<\/p>\n [\/et_pb_text][et_pb_heading title=\u201dOnboarding time of staff\u201d _builder_version=\u201d4.27.5\u2033 _module_preset=\u201ddefault\u201d theme_builder_area=\u201dpost_content\u201d hover_enabled=\u201d0\u2033 sticky_enabled=\u201d0\u2033 title_level=\u201dh2\u2033 module_id=\u201dOnboardingtime\u201d][\/et_pb_heading][et_pb_text _builder_version=\u201d4.27.5\u2033 _module_preset=\u201ddefault\u201d theme_builder_area=\u201dpost_content\u201d hover_enabled=\u201d0\u2033 sticky_enabled=\u201d0\u2033]<\/p>\n Scaling up and down with warehouse staff during peak periods can be a tiresome task. Using technology can reduce the need for temps, but sometimes they are necessary.\u00a0<\/span>Calculating how quickly you can get a new recruit<\/a>\u00a0<\/span>from stepping in the facility to picking and packing orders like a pro can make all of the above warehouse KPIs move in the right direction.<\/p>\n Discover the warehouse problems Descartes Peoplevox helps solve and the KPIs customers are improving, straight from verified Capterra reviews.<\/strong><\/p>\n [\/et_pb_text][et_pb_button button_text=\u201dCapterra Reviews\u201d _builder_version=\u201d4.27.5\u2033 _module_preset=\u201ddefault\u201d theme_builder_area=\u201dpost_content\u201d button_url=\u201dhttps:\/\/www.capterra.co.uk\/software\/126854\/peoplevox-wms\u201d url_new_window=\u201don\u201d hover_enabled=\u201d0\u2033 sticky_enabled=\u201d0\u2033 button_alignment=\u201dcenter\u201d][\/et_pb_button][et_pb_heading title=\u201dWarehouse KPIs FAQs\u201d _builder_version=\u201d4.27.5\u2033 _module_preset=\u201ddefault\u201d theme_builder_area=\u201dpost_content\u201d title_level=\u201dh2\u2033 hover_enabled=\u201d0\u2033 sticky_enabled=\u201d0\u2033 module_id=\u201dFAQs\u201d][\/et_pb_heading][et_pb_accordion _builder_version=\u201d4.27.5\u2033 _module_preset=\u201ddefault\u201d theme_builder_area=\u201dpost_content\u201d hover_enabled=\u201d0\u2033 sticky_enabled=\u201d0\u2033][et_pb_accordion_item title=\u201dHow often should warehouse KPIs be reviewed?\u201d _builder_version=\u201d4.27.5\u2033 _module_preset=\u201ddefault\u201d theme_builder_area=\u201dpost_content\u201d open=\u201don\u201d hover_enabled=\u201d0\u2033 sticky_enabled=\u201d0\u2033]<\/p>\n Warehouse KPIs should be reviewed daily or weekly at an operational level, with monthly reviews used to identify longer-term trends.<\/p>\n [\/et_pb_accordion_item][et_pb_accordion_item title=\u201dShould warehouse KPIs differ by business model?\u201d _builder_version=\u201d4.27.5\u2033 _module_preset=\u201ddefault\u201d theme_builder_area=\u201dpost_content\u201d open=\u201doff\u201d hover_enabled=\u201d0\u2033 sticky_enabled=\u201d0\u2033]<\/p>\n Yes. Direct-to-consumer, wholesale, and 3PL operations often require different KPI targets based on order profiles and service expectations.<\/p>\n [\/et_pb_accordion_item][et_pb_accordion_item title=\u201dHow do warehouse KPIs support peak season planning?\u201d _builder_version=\u201d4.27.5\u2033 _module_preset=\u201ddefault\u201d theme_builder_area=\u201dpost_content\u201d hover_enabled=\u201d0\u2033 sticky_enabled=\u201d0\u2033]<\/p>\n KPIs highlight capacity limits, labor constraints, and process bottlenecks early\u2014allowing teams to prepare before order volumes spike.<\/p>\n [\/et_pb_accordion_item][et_pb_accordion_item title=\u201dCan warehouse KPIs help justify investing in a WMS?\u201d _builder_version=\u201d4.27.5\u2033 _module_preset=\u201ddefault\u201d theme_builder_area=\u201dpost_content\u201d hover_enabled=\u201d0\u2033 sticky_enabled=\u201d0\u2033]<\/p>\n Absolutely. Consistent KPI data makes it easier to quantify inefficiencies and build a clear business case for warehouse technology.<\/p>\n [\/et_pb_accordion_item][\/et_pb_accordion][\/et_pb_column][\/et_pb_row][\/et_pb_section]<\/p>\n","protected":false},"excerpt":{"rendered":" Measuring warehouse success starts with the right KPIs. Learn which warehouse KPIs matter most and how to use them effectively.<\/p>\n","protected":false},"author":1,"featured_media":243253,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_et_pb_use_builder":"on","_et_pb_old_content":"\n If you were asked the question \u2013 \u2018Have you had a good day in the warehouse?\u2019<\/em> <\/strong>How would you begin to answer that? Tracking specific metrics for your warehouse KPIs is vital to keep a pulse check on how effective your operation is. It also helps if you\u2019re under performing, to be able to take action quickly or over performing to understand how.<\/p>\n\n\n\n Without knowing your benchmarks for the following stats, proactively building your operation for growth can be tricky.<\/p>\n\n\n\n How many parcels do you want to ship per day, per warehouse worker? Having an accurate and live view of this will enable you to act in real time if you are under or over target. It enables your to promote or reward the best workers for achieving over any targets. It also allows you to easily assess how your day is going \u2013 this is a metric a warehouse manager should have at their fingertips. How effective are you at receiving deliveries and getting them ready to be picked and sold? There are many ways to measure this \u2013 but a simple option is to use time. The time it takes from receiving and scanning your delivery to that item being in the right location in your warehouse ready to be sold. Your goods-in process \u2013 could be leading you down a path for inventory issues.<\/p>\n\n\n\n Picking accuracy is a measure of how often workers in a warehouse select and retrieve the correct items from inventory. A high picking accuracy means that employees are consistently selecting the right products, which leads to accurate order fulfillment and customer satisfaction. Conversely, low picking accuracy can result in mistakes, delays, and dissatisfied customers. This warehouse KPI is particularly important in ecommerce and retail industries where precise order fulfillment is essential for a positive customer experience. A benchmark should be around 99% - anything lower and you may see some 1 Star reviews coming your way. Inventory Turnover= Average Inventory Value\/Cost of Goods Sold (COGS)<\/mark><\/strong><\/p>\n\n\n\n Your warehouse has a crucial role in keeping your inventory turnover at an optimal number throughout the year. The turnover ratio benchmarks vary so wildly depending on industry and sub-sector \u2013 however keeping a track of yours and working to make year on year improvements will set you up to scale. Being aware of what exactly is in your warehouse, how long it has been there and where it is will allow your sales and marketing teams to develop campaigns and initiatives to move that slow stock.<\/p>\n\n\n\n Are you shipping the right items to the right customers? Out of 100 orders \u2013 how many orders make it to the wrong customers or contain the wrong items? This is your mis-ship % rate. This should always be below 1% as it helps with profitability, customer satisfaction and brand advocacy \u2013 all key drivers for growth. Mis-ships are a lagging indicator of how optimised your warehouse processes and set up are.<\/p>\n\n\n\n Scaling up and down with warehouse staff during peak periods can be a tiresome task. Using technology can reduce the need for temps \u2013 but sometimes they are necessary. Calculating how quickly you can get a new recruit<\/a> from stepping in the facility to picking and packing orders like a pro can make all of the above warehouse KPIs move in the right direction. <\/p>\n","_et_gb_content_width":"","inline_featured_image":false,"footnotes":""},"categories":[37],"tags":[],"class_list":["post-239881","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-blog"],"acf":[],"yoast_head":"\n\n
Quantity of Dispatch per Day by Warehouse Worker vs Target<\/strong><\/h2>\n\n\n\n
Flexibility with picking strategies can be a secret weapon for efficiency. Using a variety of \u2018pick methods\u2019, as well as altering how the warehouse itself is set up, means you can build your operation bespoke to your business requirements, customer promises and product types. For example, utilising a \u2018pick and sort to trolley<\/a>\u2019 style of picking can be highly effective if you receive a large proportion of smaller multi-item orders.<\/p>\n\n\n\nGoods-In Effectiveness<\/strong><\/h2>\n\n\n\n
Picking Accuracy<\/strong><\/h2>\n\n\n\n
We explore 10 common problems with order picking<\/a> here and how to solve them - helping you improve your accuracy.<\/p>\n\n\n\nInventory Turnover<\/strong><\/h2>\n\n\n\n
Number of Mis-Ships<\/strong><\/h2>\n\n\n\n
![\"\"](\"https:\/\/peoplevoxdev.wpengine.com\/wp-content\/uploads\/2023\/05\/lovall-warehouse-1-1024x461.jpg\")
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Onboarding time of Staff<\/strong><\/h2>\n\n\n\n
<\/p>\n\n\n\nCLICK HERE TO read some of the problems Peoplevox is solving and some of the KPIs our users are achieving in our Capterra reviews.<\/strong><\/a><\/h2>\n\n\n\n
![\"\"](\"https:\/\/www.peoplevox.com\/wp-content\/uploads\/2023\/10\/capterra-logo.svg\"){kind=logo}
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