The Real Margin Killer: Micro-Inefficiencies
A major breakdown (e.g., the lights go out) gets fixed immediately. A micro-inefficiency (e.g., the tape gun is always 5 steps away) gets ignored.
The "Death by 1,000 Cuts"
- Picker walks 5 steps to get a label. (10 seconds).
- Repeats 500 times a day.
- Total: 1.4 hours wasted per day.
- Cost: £4,000 per year.
Just moving the printer saved £4,000.
Spotting the Invisible
You can't see these from the office. You have to "Walk the Gemba" (Go to the floor). Watch a picker for 30 minutes. Note every time they stop, hesitate, or walk backwards. Those are your leaks. Plug them.
Standard Operating Procedures (SOPs)
"Put the scanner back in the holster." "Put the trolley in the yellow box." Rigid SOPs prevent drift. Without them, entropy takes over, and your efficient warehouse becomes a messy bedroom.
Frequently Asked Questions
What is "Gemba"?
Japanese term for "The Real Place." In Lean management, it means going to where the value is created (the warehouse floor) to observe actual processes, not theoretical ones.
What is "5S"?
Sort, Set in order, Shine, Standardise, Sustain. A methodology for organising a workspace for efficiency and effectiveness.
How often should we review processes?
Continuously. But formally, once a quarter. "Is this still the best way to do this?"