Methods of Increasing Labor Productivity in Multistory and Small One-Floor Grocery Warehouses

Excerpts from the report Summary: The number of man-hours required in warehousing was reduced an average of 19 percent in 4 multistory and in 5 small 1-floor (less than 40,000 square feet) wholesale grocery warehouses studied, through improved work methods, use of better materials-handling equipment, improved physical layouts, and more nearly balanced work crews. Additional man-hour savings of 36 percent, for a total saving of 55 percent, can be expected after new facilities are constructed for 4 firms and recommended equipment is installed and in operation in 3 other firms. Since warehouse labor accounts for more than 50 percent of the total warehousing cost, methods of increasing productivity are of major concern to warehouse management. During this study, the following objectives were given primary consideration: (1) Evaluation of present methods and development of new methods for use by wholesale grocers for increasing warehouse labor productivity in receiving merchandise, selecting orders, checking, and loading assembled orders; (2) to show the effect of improved methods on warehouse labor costs; and (3) to show by case study analysis the problems involved in determining whether a new warehouse or new equipment should be acquired.