When it comes to logistics, nothing is more damaging than down time. Downtime, thanks to equipment failure and bad processes, can be devastating to your business’s bottom line. Your clients rely on you being on time so that your deliveries can fit in with their schedule. If you’re not, they’ll dump you and move on to somebody else who can deliver on time.
Here’s how to make sure that your logistics business avoids this fate.
#1: Improve Your Packing Operations
When your clients make an order, they want the entire order to arrive at the same time. But often warehouse managers will instruct packers to collect partial orders before the main order is complete. Bad idea. Completing only partial orders puts you at a much higher risk of sending incomplete orders off to your clients. It also means that packers waste their time looking around the warehouse for items that just aren’t there.
#2: Track Your Efficiency
Most modern logistics companies now spend a lot of time collecting data on their operations. It allows them to track their performance through time and to see whether they are improving. Once you’ve collected statistics for a few months, you’ll be able to see when you are and when you’re not operating at full capacity. Ideally, you’ll be operating at full capacity the entire time. Any deviations from this should be investigated as quickly as possible.
#3: Create A Regular Maintenance Plan
When machinery constantly breaks down, your business suffers. You can’t get work done, and orders start to fall behind. In the worst case scenario, you suffer downtime while the machinery is repaired. Establish a maintenance plan and build a list of specialist companies, like Pirtek, you can contact. You should be able to find a business for any repair job you might need to have undertaken to get your operations up and running again.
#4: Stay Up To Date With The Latest Technology
The great things about technology is that it is getting better all the time. Today’s lorries and forklift trucks are far more reliable than they were in the past. This means that companies today suffer fewer problems and breakdowns than they did in years gone by. Businesses that take reducing downtime seriously always invest in the latest technology, if they expect a return. Remember, avoiding a couple of days of downtime is probably worth thousands of dollars in revenue.
#5: Replace Machinery That’s Past It’s Sell By Date
Companies like to stick with the machinery they’ve always used. It feels safe and comfortable. But it’s a big risk sticking with old equipment: it could break down at any point.
There’s also the fact that old machinery is usually slower in a warehouse context than new machinery. Businesses need to consider this additional cost when thinking about upgrading their equipment. Increased productivity and reduced downtime need to be offset against the upfront capital cost. Only then will businesses know if the expense is worth it or not.
Have you done anything to minimize downtime in your logistics business?