Benefits of Labor Measurement

The store operation is not the same as a production line and store personnel don‘t perform the same repetitive tasks each shift. However, they do perform a number of similar tasks over a period of time. To measure the warehouse productivity, the management must apply standard measurements that can be used for operations that occur in the store, for example, perform physical inventory or place goods in picking area. However, in the store, there are any number of factors that can change the time taken to perform a task. The use of enterprise resource planning (ERP) systems can easily calculate the length of time an operation can take to perform, but a
standard measurement must be calculated using a sampling method or time study.

Only after the standard measurements are agreed upon can the benefits of any labor measurement can be enjoyed. The major benefit for store management that is the standards can help when any changes are to be made to store layout changes, loading, or shipping dock changes, and staff reduction. The standard labor measurement combined with the number of operations performed in the store on any shift or series of shifts can result in an accurate picture of the performance of the store.

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