Data & Calculation:
Warehouse performance can be measured in terms of labor efficiency and space occupancy rate.
Labor Efficiency = sum of value-added activity hours / Available Hours over a period, for instance, month.
- Sum of value-added activity hours = Receiving hours + Picking hours + Stock taking hours
- Available Hours = Paid hours – Unavailable hours due to vacation and medical leave
Space Occupancy Rate = No of occupied storage spaces / total number of storage spaces.
Please note that space occupancy should not be higher than 90% for manually operated warehouse..