Logistics generally works in two directions: forward and reverse.
When we talk about forward logistics, we refer to all the activities that include:
receive the goods, process the order, check and prepare inventory, pack and check an item, ship it and define the transport route to deliver the product to the customer in the fastest and most efficient way possible.
Reverse logistics, on the other hand, includes processes designed to manage returns and the return of goods to the manufacturer to carry out repairs, recycling and / or disposal at the lowest possible cost. Therefore, it is nothing more than the backward flow in the supply chain of goods returning to the original manufacturer through the return made by customers.
The LMS software - Logistics Management System - is able to increase the value of the logistics site and allows managers to make informed decisions.
LMS is a workflow warehouse management system that allows you to manage through a single software:
- The level of service of the site in question, in terms of operating procedures, safety, etc.
- The skills of each operator through AS-IS and TO-BE skills matrix;
- The organization of work shifts within the construction site, integrated with the skills matrix;
- Productivity monitoring by plant, area and operator.
The latter facilitates the identification of areas where there are non-value-added or "unnecessary" activities; in this way, the waste to be reduced or, if feasible, eliminated, through the modification of some operating processes, a different distribution of workloads among the individual operators, and so on, are identified.
The productivity indices that can be analyzed are:
- OPE > Overall Plant Effectiveness (identifies the productivity of the entire plant under consideration);
- OAE > Overall Area Effectiveness (identifies the productivity of a single area);
- OLE > Overall Labor Effectiveness (identifies the specific operational or training needs and productivity of individual operators).
By crossing the KPIs it is possible to have real-time data to define weekly interventions where it is necessary to improve productivity.