Crawl-Walk-Run Methodology

The crawl-walk-run approach is a popular methodology for breaking down complex tasks and projects, such as integrating a new automation solution, into smaller, more manageable parts. This approach is especially useful for projects that require a significant amount of time, resources, and planning to complete. By dividing the project into smaller, more achievable stages, teams can build up their skills and knowledge, gain confidence, and adjust as they progress towards the final goal.

Warehouse automation is one area where the crawl-walk-run approach can be particularly useful. With the rise of e-commerce and the increasing demand for faster, more efficient order fulfillment, warehouse automation has become a key priority for many businesses. However, finding the best automation solution and implementing full-scale automation in a warehouse can be a daunting task, with a multitude of possibilities and potential obstacles to overcome. Storage Solutions believes that the crawl-walk-run approach can help businesses to break down the automation integration process into smaller, more manageable stages.

Crawl Stage

In the crawl stage, the focus is on building a foundation and finding the available options, ranging from manual options to semi-automated solutions to very advanced automation solutions. This may involve implementing basic automation technologies such as conveyor systems or automated tapers. There is also the option to introduce some technologies in a “beta” format to help see how it functions operationally within the facility. These technologies can help increase warehouse productivity and efficiency while reducing the risk of human error and injury. In this stage, the focus is on developing a solid understanding of the existing warehouse operations, identifying areas where automation can have the most significant operational impact, and offering multiple automation roadmaps that include associated costs and estimated ROI.

Walk Stage

In the walk stage, the focus is on expanding the automation system to cover more aspects of the warehouse operations. This may involve implementing more advanced automation technologies, such as robotics or automated picking and packing systems. It may also involve integrating different automation technologies and systems to create a more cohesive, streamlined system. In this stage, the focus is on building upon the foundation created in the crawl stage and creating a more comprehensive automation solution.

Run Stage

In the run stage, the focus is on optimizing and fine-tuning the automation system by building upon what has been achieved in the previous two stages. This may involve implementing machine learning and artificial intelligence technologies to optimize warehouse operations, such as predicting demand and optimizing inventory levels. In this stage, the focus is on achieving the full potential of the automation system and ensuring that it is delivering maximum value to the business.

In conclusion, the crawl-walk-run approach is a structured approach to presenting and implementing complex automation projects that can help businesses to break down the automation process into smaller, more manageable stages.  This approach also allows you to see potential automation roadmaps that support the future adoption of additional automation technologies into your operation. By starting with basic automation technologies and gradually building up to more advanced systems, businesses can gain confidence and expertise in warehouse automation while also realizing the benefits of increased productivity, efficiency, and cost savings.

If you want to learn more about how our automation engineering team can help you implement new technologies in your operations, click here!

Did you know you can eliminate replenishment from your operations?

In environments with manual replenishment, SKUs are rarely in the right place at the right time. Typically, only half of the inventory is ready to be picked at any given time.

Because of replenishment challenges, orders can’t be completed without unnecessary manual labor.
Coordination turns into a fire drill with each order.

Let’s face it: replenishment is an Operation Manager’s biggest headache.

You have thousands of square feet of reserve storage. Would you like to eliminate all replenishment to a forward pick area, while utilizing all your existing racking in its current configuration?

How? Convert reserve racking to active picking areas.

By doing so, you can:

✓ Reduce labor costs by up to 25%
✓ Increase operational efficiency by up to 33%
✓ Reduce touches per order by up to 40%

We can help you reduce labor costs and improve efficiency while using existing racks and significantly reducing your replenishment efforts.

Let us help you find the right solution for your operation.

We hear from our clients that labor is the biggest challenge in their business every day. In particular, labor availability and turnover are often mentioned as issues companies are desperate to find a solution for.

The costs associated with employee churn add up in a tangible way for fulfillment and distribution centers. On average, the total cost of a warehouse associate is roughly $50,000 per year (a $20-per-hour wage at 2,500 hours per year), and the average cost of replacing that associate is roughly 25% of their total cost.

In a warehouse that employs 100 associates, those costs start at $500,000 per year. Then you should consider the costs of training new employees, onboarding, unemployment taxes, and additional overtime required to keep your operations running at the desired rate.

While labor appears to be the problem, here at Storage Solutions, we believe employee walking is the most detrimental activity in a warehouse. Though there are management-level and HR-level tactics to reduce turnover, we can’t ignore the reality that no one likes walking around a facility for miles daily. In addition to walking, manual pick processes are rigid on your associates’ physical well-being. With so much competition for the labor out there – and competitors constantly offering slightly higher wages and signing bonuses to warehouse workers, why would an employee continue to work for you?

Automating your pick process can drastically improve your employee’s job quality, so they aren’t interested in going elsewhere. By introducing goods-to-person picking technology, for instance, warehouses:

• Essentially eliminate walking from the job. You automate the picking and delivery of a product from storage to a place where your associate can be stationary at a pick station and conduct their business, rapidly expediting the picking process and keeping your employees from manually transferring packages across long distances.
• Give your best employees higher-level tasks. Employees loyal to your company can be rewarded by focusing on higher-level tasks rather than walking. No one wants high labor intensity levels when they can use their brains more than their feet.
• Reduce onboarding and training costs. If you operate a 500,000-square-foot warehouse storing a high volume and variance of SKUs without automating your pick process, it takes a while to learn which product is stored in every location. When employee churn is high, it can lead to a slower pick speed and a higher number of inaccurate orders.
• Improve accuracy and nearly eliminate costs of inaccurate orders. An automated solution can dynamically learn where products are stored and deliver goods with nearly-perfect precision. These solutions help your bottom line by increasing fulfillment speeds and reducing product returns. It is estimated that each return costs up to $50, which adds up quickly in high-volume fulfillment scenarios.

How Can We Help?

Automated solutions reduce your reliance on manual labor and unpredictable labor markets. Storage Solutions has formed partnerships with several of the industry’s most dynamic, innovative, and creative technology providers and has the operational experience to implement the right solution to meet your business goals.

We take an agnostic approach to learn your unique challenges and provide options with return on investment in mind that help you scale as your needs change.

Click here to let us know how we can best assist you, or give us a call today, so we can learn about your challenges and begin to develop a roadmap to help you grow faster without relying on the dynamics of the ever-changing labor market.

To describe the 2020s thus far as “unprecedented” would be an understatement.

For the early part of this decade, various unforeseen and mostly unpredictable forces have tested the world’s supply chain, from sourcing material to delivering it to the end-user. Already adjusting to the acceleration of the direct-to-consumer model, the supply chain has endured COVID-19, labor shortages and unpredictability, and unexpected economic and political factors around the globe.

So what does that mean for your team and your customers? It’s more important now than ever before that you know your budget is used on the most efficient and productive solution to store and move your product in the face of a rapidly changing environment.

What do you need to know? How can Storage Solutions help navigate the unknowns?

Volatility Around Steel and Commodity Prices

Steel prices peaked in late 2021. During the last quarter of 2021, steel prices were roughly triple where they had been before the pandemic. Already in the first quarter of 2022, the market has seen steel prices fall to about 60% of their peak before wildly jumping another 40%. In a matter of days, prices are fluctuating at rates that previously took months or years.

All that volatility means manufacturers cannot hold quoted prices for very long. In years past, Storage Solutions and our vendors could hold prices for weeks because of the stability of the steel markets. Now?

Most quotes expire after a week – or even less in some cases – and you, the end-user, are forced to make decisions quicker than ever before. And to further complicate matters, each manufacturer is handling the uncertainty differently – putting additional strain on the market.

Global Instability & Inflation Causing Havoc

In addition to the material market, the logistics and transportation industries are also in a state of shock. Demand for transportation has never been higher. Meanwhile, the trucking market, which hauls over 70% of U.S. freight, is undergoing a historic labor shortage.

It does not take an economist to recognize that when supply and demand are diverting at this rate, prices for shipping will skyrocket.

The effects of inflation and global instability also take their toll on the supply chain. In addition to an already dire situation, gas prices have been up 47% since March 2021, adding even more costs to ship material across the country. Every organization across the supply chain feels the effects of these price increases.

While there is no “magic bullet” for any of these challenges, having Storage Solutions as a partner like us can help navigate the unknowns. Here’s how:

The Right Partner Can Mitigate Risks Caused by Volatility

Find a partner with the right connections. When it comes to sourcing new warehouse equipment, Storage Solutions works with many different pallet rack and equipment manufacturers. We have built many important relationships over the years, which helps customers find the best fit for their needs.

Find a partner who can take advantage of unrivaled manufacturer alliances. We have established foundational relationships that give us access to dedicated production allotments with our manufacturing partners. These allotments help fill the volume of orders we place each month and cut down on standard lead times. We have built long-term relationships with the industry’s leading pallet rack, shelving, and mezzanine manufacturers.

Look for a company that keeps new warehouse equipment on hand. We have a 330,000 square foot warehouse in central Indiana that holds new warehouse equipment available for immediate purchase by our customers. When lead times don’t meet our customers’ project timetables, we often store uprights, beams, wire decking, and other products to fit a project’s specific needs.

Look for a partner who also sources used materials. Our warehouse is not only home to new warehouse equipment but also allows us to store and actively source quality preowned warehouse equipment. We have a dedicated team that purchases quality pre-owned warehouse equipment from teardowns and relocations. If you want to sell your used equipment, keep in mind that we’re always interested in buying!

Look for a partner who can help you develop innovative warehouse solutions. Whether developing a new facility or helping reconfigure an existing racking layout, we understand that downtime needs to be minimized. We approach each situation with an operations-based focus and pride ourselves on finding creative ways to meet our clients’ needs on every project.

What’s the Next Step for You?

When considering a partner for a project, keep in mind that Storage Solutions has the experience, expertise, and partnerships to help you navigate the challenges your business now faces.

Storage Solutions has professionals on staff who can provide material sourcing alternatives, construct a more dynamic project plan, or develop project initiatives to keep your business moving forward while we provide your next warehouse material handling equipment solution.