Hidden Warehouse

Hidden Warehouse

Kormac Insights

May 7, 2021

Hidden Warehouse
Fast, Cost-Effective Product Delivery

Last week, I introduced “The Hidden Factory,” the notion that all organizations have the potential to deliver more output from existing assets. Easier said than done when demand is spiking, so here’s a story of how we released capacity hidden within a bedding manufacturer’s warehouse operations.

A bed-in-a-box manufacturer urgently needed to transform its B2B logistics operations to support B2C delivery. With our support, the client improved throughput from 3,500 packages per day to 24,270 per day without additional labor by:

  • Conducting an end-to-end capacity assessment
  • Installing stations alongside the conveyor system with high-running stock readily available
  • Printing pick lists and shipping labels for affixing by staff along the conveyor belt
  • Diverting B2C packages to alternate locations for UPS/FedEx pick-up
  • Enhancing the Sales & Operations Planning process

This is just one example of how Kormac helps clients rapidly scale to meet demand without additional labor. Through enhanced layout and processes, we helped this client find a B2C “Hidden Warehouse” within its existing B2B warehouse assets.