Supply Chain News Bites - Only from SCDigest
 

-Nov. 29, 2007

 
 

Supply Chain Graphic of the Week – Benefits of Labor Management Systems

 
 

As Incredible as it Seems, Complete Program Can Improve Productivity by 100%

 
 

By SCDigest Editorial Staff

 
 

Labor Management Systems, or the more recent and comprehensive term "Workforce Performance Management," have become one of the hottest areas for improvement of distribution operations.

The chart below, taken from part 1 of our 4-part Supply Chain Videocast Series on Workforce Performance Management shows the potential productivity improvements from various levels of Workforce Management improvement. (Watch part 1 - Getting Real Results from Engineered Labor Standards, on-demand here; register for parts 2-4, including next week's session on LMS software, by clicking here.)

 

Source: Kurt Salmon Associates

As the chart shows, total productivity gains from attacking all five areas of improvement can be 100%, as each area of improvement percentage builds from the previous levels. While 100% may be an exception, gains in the 40-60% are common. That would drive tremendous savings for almost any distribution organization.

Agree or disagree? What is your perspective? Let us know your thoughts at the Feedback button below.

 
     
Send an Email
     
     
.