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URL: https://us.blog.kardex-remstar.com/labor-shortage-manufacturing
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SURVIVING THE LABOR SHORTAGE IN MANUFACTURING WITH ASRS

by Gary Higginbothem
ASRS Technologies, Labor

There's been a steadily increasing labor shortage in the manufacturing
warehouse. COVID has only compounded the problem, making the standard "throw
more labor at the problem" nearly impossible. Not only is labor harder to find
(as baby boomers age out of the manufacturing workforce, the next generation
isn't so eager to replace them), it's harder to keep the labor you have (worker
retention is more difficult than ever). There is a silver lining - in many cases
automation can solve labor challenges.

 

The steep decline in available workers is a top challenge in manufacturing and
warehousing facilities nationwide. There simply aren’t as many willing and able
individuals as needed to fill job openings in manufacturing, material handling
and logistics, as The U.S. Roadmap for Material Handling & Logistics noted:

 

…the retirement of baby boomers will substantially dampen growth in the labor
force for the next decade. Although not unique to material handling and
logistics, this issue is especially pressing because so many current workers are
close to retirement.

 

Further, as retiring baby boomers take their unique skills with them, replacing
them with new workers of equivalent skill sets has proven difficult. A survey of
manufacturers found that 67% report a severe labor shortage of qualified
workers—a trend that 56% of respondents expect to worsen over the next decade.
The same survey estimated 5% of American manufacturing jobs (600,000 positions)
remain open due to a lack of qualified candidates.



For a deeper dive: Attracting Millennials to Your Warehouse Workforce

 

To make matters worse, COVID has had a lasting impact on the workforce - causing
many workers to leave the workplace completely - some left to care for children
or other family members while others reprioritized their work-life balance and
opted to leave the warehouse for a job with a more flexible schedule.


To compensate for these workforce challenges—fewer workers and the skills
gap—more companies are investing in automated solutions. These technologies help
to both reduce the physical demands of warehouse activities, as well as
streamline and organize the required tasks for better productivity with fewer
workers.




ELIMINATE TRAVEL TIME 

In a conventional storage system, manual fulfillment can account for as much as
60-65% of a workers’ time. However, with automation, goods are brought directly
to the worker operating on the “goods to person” principle. This eliminates the
need to walk and search for a part within the warehouse, saving time and
increasing productivity. Although we know most baby boomers like their daily
walks, taking them at work isn’t good for productivity.







IMPROVED ERGONOMICS

Stop making your workers bend down to retrieve an item or climb a ladder to
reach the highest shelf. This is just an accident or workers comp claim waiting
to happen. Instead, automated solutions deliver goods to an operator at an
ergonomic height, known as the “golden zone” which is waist height. No more
bending and reaching, thus eliminating those worker injuries.

 


REDUCE SEARCH TIME

Ever wonder how much time it takes for someone to find the correct item to pick
once they reach the storage location? Probably longer than you want to know.
Automated storage and retrieval systems can be equipped with light-directed
technology to quickly and easily guide the operator to the appropriate pick
location. Eliminating all of that search time and boosting accuracy.

 


PREVENT PICK ERRORS

The opportunity for human error is pretty significant in a manual picking
operation. Not only do automated solutions have indicator lights, as mentioned
previously, they also can be integrated with message center to communicate with
the operator. This tells the operator the exact part number and quantity to be
picked.

 


OPTIMIZE PICKS

It can be difficult for an individual operator to manually pick more than one
order at a time, resulting in maybe 50 lines per hour. For faster throughput,
dynamic storage solutions utilize inventory management software to sequence
picks which results in faster picking times. In addition, batch picking,
grouping orders with common items together can increase throughput by as much as
200%!

 


FAST TRAINING

A temporary worker unfamiliar with a facility’s layout can be stationed at an
automated storage and retrieval system for highly productive picking after just
a brief introduction to the equipment.

 

All of these functions can optimize an existing labor force, increasing
productivity from 200% to 600%. Because an automated solution enables just one
worker to handle the picking assignments of multiple operators, as many as
two-thirds of a facility’s workforce can be reassigned to other, non-picking
tasks, without a loss of throughput. Alternately, implementing these automated
storage solutions can compensate for a scarce and declining labor pool—a trend
that will only progress as baby boomers continue to retire, and take their
valuable skills with them.

 


...AND GOSH DARNIT, PEOPLE LIKE IT

Dynamic storage solutions can be considered attractive and a lot of these
products are innovative at their very core. If your facility is perceived as
high tech, perhaps you could also attract a younger labor force for the long
term and stave off this labor shortage.  May the labor force be with you!   








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