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.

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