Many people across the country are experiencing a labor shortage. Unemployment in many cities is at an all-time low. There is pressure in new competition as more and more facilities are constructed, and rising wage pressures. When it comes to positions in warehouses and distribution centers, there are some additional challenges that we all face in getting employees for both hours and management positions. However, one thing to consider is that many companies have policies that may be contributing to their shortages of employees.
Understanding and having insight into a production process is important. That seems obvious, but many key processes are often without strong visibility or reporting. Recognizing the progress (or lack thereof) is important when scheduling orders, planning resources, or simply getting the product shipped on time.
What if you could find savings in your business by better understanding one of your largest costs. One of the first items nGROUP investigates is the true hourly cost of labor. Many companies have a cost line in the P&L, a labor report, or some calculated cost for their personnel. This often times lead to missed opportunities or misunderstood results.
The warehouse and distribution industry is facing challenges due to changes in the workforce. The labor shortage in America is reaching epidemic proportions, putting pressure on employers. Companies are struggling to keep their employees, while many employees are struggling to find competitive job opportunities. However, when it all comes together in just the right way, both the employer and the employee can be happy in the workplace. It is a delicate balance that takes training on both sides, but the increase in productivity is well worth the time and effort.