Onward and Upward - Health insurance and energy costs top industry concerns, drive the need for operating cost reductions in 2006

摘要

In the parable of the three blind men and the elephant, each man describes the whole elephant based on the body part that he feels with his hands - trunk like a snake, leg like a tree, tail like a brush - and then they argue about what an elephant is really like. Distribution center and warehouse managers' can be just as nearsighted about their operations, and just as contentious about what makes their facility unique and different. Yes, every distribution operation faces unique challenges - high SKU count, rapid sales growth, low local unemployment, high seasonal demand fluctuations, public company ownership - but the basic activities of receiving, put-away, storage, picking and shipping remain the same. In order to offer an accurate profile of the typical distribution facility, and current performance levels, Material Handling Management joined forces with The MPI Group (Cleveland) and Industry Insights (Columbus, Ohio), two industry and market research firms. Together we launched the First Annual MHM Census of Distribution, surveying our readers over the summer. (See Methodology below.)