It is the goal of the Warehouse Excellence Study to support executives of distribution centers within the continuous improvement process.
For that purpose, we offer a structured and standardized procedure for evaluating the performance of distribution centers. The study evaluates both efficiency (doing things right) and effectiveness (doing the right things) and points out opportunities for improvement.
Benchmarking allows products, performances and processes to be evaluated, thereby identifying inefficient processes and performance gaps and deriving potential starting-points for future improvements.
The methodology of benchmarking itself is not new to the process of comparing distributions centers. The following comparative approaches can be identified:
Comparisons at an aggregated level, which consider the distribution center as a whole.
In this approach it is very difficult to find an adequate benchmarking partner because the processes within distribution centers differ greatly from one center to another.
Technically oriented approaches, which compare same implementations with each other.
With this approach, the feasibility of the implementation regarding specific requirements cannot be evaluated.
Selective approaches which are tailored specifically to a few participating distribution centers.
Because of their small scope, these approaches are very limited in their generality.
Because of the limitations of these approaches, the Distribution Center Reference Model (DCRM), a task oriented reference model, has been developed within the Warehouse Excellence Study.
Further components of the Warehouse Excellence Study complete this reference model to form a standardized method for evaluating the performance of distribution centers.