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Research has revealed serious warehouse problems in majority of manufacturing companies in engineering and plastics industry

26. October 2016

24th October 2016, Brno – Wrong or incomplete recording of material and goods in production, confusion during picking or significant inefficiency of warehousemen during manipulation with materials or goods. These are the most common problems that have emerged from the current qualitative research among representatives of companies in engineering and plastics industry, conducted by CCV Information systems Company.

The most serious problems of engineering and plastics industry manufacturing companies are concerning directly three quarters of them. It was this high number of representatives of companies that in in-depth interviews in a research complained about wrong or completely missing recording of material and goods. The same number of companies also suffers from confusions of these items in production. Almost two thirds of respondents then declared problems with inefficiency of warehousemen who don't know precisely where each material or goods is located in the warehouse and consequently spend disproportionate amount of time searching for it.

The time demand and the associated costs pose a problem even in giving orders to people handling the goods and warehousemen. This agenda is not sufficiently resolved in full 50 % of interviewed companies. Furthermore, one quarter of them hasn't secured substitutability of warehouse workers who for successful managing of their activities have to know “their” warehouse unconditionally. Simultaneously, they are in an equally significant number troubled by laborious recording of issuing of material and insufficient overview over the activity of operators, people handling the goods or warehousemen.

As a solution to this state, 20 % of companies are planning to deploy a full-fledged WMS system, 35 % are resolved to solve the most pressing problems by deploying an on-line warehouse recording and the rest hasn't made a decision yet. 

Research methodology

The qualitative research was conducted during May to June in companies from engineering and plastics industries with an annual turnover up to 499 million CZK and less than 200 employees. It concerned in-depth interviews with logistics, purchase, sales and manufacturing managers or with the owners of the analyzed companies themselves. These were conducted on the basis of prearranged structures that focused on individual warehouse and manufacturing processes, occurring during company's operation.

Part of the research were also observation of individual activities in real operation, detailed analysis of individual warehouses, detailed examination of production and optionally other manufacturing sections, which are necessary for manufacturing the final product. Among the examined parts belonged also expedition and the activities preceding it connected with packaging or control of finished products.

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