Warehouse Management What Is Order Picking: Types, Best Practices and Warehouse Integration By Tamoghna Das Warehouse Management 1 comment August 5, 2024 The most vital part of order fulfillment is warehouse order picking. Imagine placing the right order but ending up receiving the wrong product. Unfortunately, customers can’t pack their own orders to ensure they go to the right place. So, how do you pick the right items every time? Implementing the best order picking methods along with a warehouse management system is the answer! Get our Warehouse Management Software Requirements Template What This Article Covers: What Is Order Picking? Types Automated Picking Methods WMS Integration Primary Benefits Best Practices How To Choose the Best System Most Popular Order Picking Software FAQs Next Steps Whether you’re picking items for small online stores or a global retail giant, order picking is a critical function that can make or break your business. So, let’s dive deep into the world of order picking and explore the intricacies of this vital process. What Is Order Picking? Order picking is a warehouse picking process of selecting appropriate items from the stock to complete your customer’s orders. It’s a vital part of order fulfillment, where you collect individual shipment items for packing and shipping based on their destination. As one of the many warehousing components, it’s essential to shipping speed, efficiency and accuracy. It requires the right equipment and technology to move many SKUs efficiently. Though today’s businesses look to improve their warehousing operations, order picking is usually an underperforming process. This fact is largely due to the general operations warehouses face daily. Pickers spend a lot of dead time walking around the warehouse or between picks. That’s a lot of resource usage without much positive contribution. That said, that’s part of the reality of distribution centers and warehouses. There are large spaces where the items you need won’t be right next to each other. You can optimize this process via automated warehouse management systems (WMS) to reduce this issue and improve order picking productivity. You can incorporate multiple types of warehouse automation to enhance warehouse picking software. These tools, coupled with order picking systems, assist pickers in finding the right item using the shortest route. It helps verify the items and assists the picker in performing other repetitive warehouse operations. For example, automated storage and retrieval systems (ASRSs) can seamlessly integrate with any WMS to improve overall picking efficiency. Some of the market’s most popular order picking software include Manhattan Associates and HighJump. If you’re wondering how to leverage this integration, you’re in luck. After we cover some of the variant types of order picking, we’ll discuss how to integrate order picking systems with a WMS. It’s also good to note that many businesses combine one or more of these strategies with order picking software to cultivate a method that best suits their unique requirements. Get our Warehouse Management Software Requirements Template Types Let’s look at some common order picking methods: Batch Picking: As the wording suggests, this method works well for multiple orders. It optimizes the time pickers take to fulfill multiple orders at once by allowing them to pick different items from the same picking zone. This system is ideal for warehouses that receive numerous orders with the same SKUs. Single-Order Picking: Pickers walk around the warehouse to fulfill one order at a time. Though this picking method is time-consuming, it’s suitable for small warehouses that handle small units. Wave Picking: Primarily works well in warehouses with varied inventory and high fulfillment demand. Prioritize “waves” of orders by their importance and when they need to be shipped out. This way, critical shipments of time-sensitive and in-demand products move out first. Cluster Picking: While this method requires specific technological inclusions, it’s fantastic for increasing fulfillment efficiency. Typically, a picker will gather multiple or a cluster of orders at once. This method can be successful if you have a speedy picker and the gear required (such as voice-activated solutions). Zone Picking: This strategy involves items that contain multiple components. Each zone assigns a picker that picks items within the perimeter, not from other zones. Smaller zones allow pickers to become familiar with their pick location, resulting in accurate and faster picking. Discrete Picking: Discrete picking minimizes product touches by having one picker find each piece of an order one at a time. This method works best in smaller warehouses without complex orders. This way, only one employee is needed to retrieve all pieces of an order, and the number of touches required drops to one. Multi-Order or Multi-Batch Picking: This method complements companies with fairly predictable orders. A manager assesses and groups current orders by popularity and puts them into SKU-ordered batches. Pickers can quickly grab the products they need to find, as they are all grouped in easily accessible locations. We will also discuss this method a bit more in the next section. Pick and Pass: Managers assign specific zones to warehouse workers by dividing the storage system into different sections. They categorize totes, containers or bins within the same zone into SKU selections to expedite orders. In the zone picking method, they don’t necessarily have to move containers or bins between different zones. Pick-To-Box: Pickers place boxes onto a conveyor belt and fill them as they move along the belt, reducing congestion and streamlining packing. Case Picking: Workers choose products from different storage options, including carton flow racks, whole cases, pallet positions and shelving. For instance, most select fast-moving packages from pallet placements and slower ones from the flow of cartons. Pallet Picking: Pallets are wooden platforms where warehouse managers store products. Depending on the pallet’s size, it can hold single or multiple products. This method helps pick and transport pallets. Piece Picking: It lets you pick items from the warehouse one at a time. It’s mostly used for orders with several SKUs but fewer items per pick. Piece picking can be time-consuming because it handles individual items. Automated Picking Methods Typically, pickers use pen and paper to track the order picking process. However, many have moved to automated picking methods to simplify the process. Pick-To-Light: This method requires barcode scanners and pick-to-light LEDs placed strategically on shelves and racks in the warehouse. If the picker scans the barcode on any shipping container, LEDs near the goods will light up. You can just follow these lights to find products in your warehouse easily. It reduces manual labor costs and order picking time. Voice Picking: Pickers wear headsets connected to an order management system. They can receive commands guiding them to the exact location of packages they’ve to pick. It’s an increasingly popular method for warehousing companies to boost their productivity. Mobile Scanner Picking: Pickers label each product with a unique barcode. You can scan the code with a mobile app to know the product’s location and all associated details. It ensures order accuracy and eliminates chances of human error. There’s no one-size-fits-all approach to finding the best picking methods since they vary from one organization to another. However, with the list mentioned above, you should be able to choose the one that best suits your needs. Now that we know some of the most popular strategies, we can jump into how to integrate order picking with a WMS. WMS Integration Manual or single order picking is time-consuming and likely to burn more resources than usual. However, with automated warehouse picking systems, your team will have the most efficient tools to choose from that can integrate with your existing WMS or warehouse execution system (WES). Optimizing Slotting Optimizing your warehouse’s slotting is one of the best strategies for streamlining order fulfillment. Slotting stores your products in the most efficient manner possible to make picking easier and faster. This technique involves placing the most popular items closer to the packing area while leaving them spaced out enough to avoid congestion. It’s important to place these items at a height where pickers don’t have to bend down or reach up to get to them. Many of today’s WMSs include floor planning features that optimize slotting. By tracking how quickly your inventory flows through the warehouse, you can easily determine which items to place in the most strategic (aka easiest to reach and find) areas. Once you slot all your items and your order pickers memorize the new floor plan, the order picking process will take less time and reduce walking. Batch Picking Implementing batch picking further increases the effectiveness of slotting. Batch picking is when pickers pick several customer orders simultaneously to minimize repeat visits to the same product bin. So rather than making, for example, 20 trips per day to grab a popular item, you may only have to make three or fewer. A WMS provides functionality that helps with batch picking as well. Rather than manually deciding which orders to pick together, a WMS can automatically group all your orders. As such, pickers can pick orders with the same items or items located next to each other to improve overall productivity. Robotics Yes, picking robots is a thing. They’re eliminating the need for manual order picking and improving picking operations. As we discussed earlier, one of the biggest problems with today’s methods is the time wasted by walking. It isn’t your order pickers’ fault — it’s just the reality of a warehouse. No wonder automated warehouse picking software is the way of the future. Robots can speed up picking time for a sales order by calculating the optimal route instantly. They can then do the actual picking by collecting items and delivering them to the packing area. Thanks to the Internet of Things (IoT), your warehouse management system can manage and control these robots. It lets you collect and analyze data about your robotic order pickers’ efficiency. In addition, you can set various priorities and conditions, such as requiring that pickers pick certain items first. Get our Warehouse Management Software Requirements Template Primary Benefits Let us look at some of the benefits of integrating the right order picking systems: Optimize Picking A voice picking system allows pickers to concentrate on retrieving the correct products. Since their hands and eyes are free from reading directions, they only need to follow instructions to locate the items. It keeps pickers focused on their tasks while allowing them to be productive throughout the process. Reducing distractions can also boost picking accuracy. Integrating an order picking system with the right WMS software improves performance across the board. Reduce Warehouse Costs Picking is one of the most expensive warehouse processes, especially in larger facilities. It handles tracking and maintaining records of customer orders while generating automated picking lists for your pickers. Increasing picking efficiency requires the right WMS. Many WMSs provide complete inventory control along with warehouse mapping. Investing in a warehouse order picking system can go a long way toward saving resources. Boost Efficiency Consider an automated picking system to reduce pickers’ walking time. Ensure the picking and packing process follows SOPs to eliminate inconsistencies. Using the right storage systems also reduces the likelihood of errors. With multiple order picking methods available, you can start testing which one best suits your requirements. Small warehouses often prefer batch picking, while larger operations leverage zone picking. Strengthen Customer Experience Wrong picks, late deliveries and damaged products directly affect customer satisfaction. The longer this continues, the more money you lose. You need to integrate automated warehouse solutions or technology to minimize mistakes during picking. Conduct regular cycle counts to avoid stock issues. Pickers can use RFIDs to ensure they scan and pick the right items. Compare Top Warehouse Management Systems Software Leaders Best Practices It’s all well and good to have an order picking strategy in mind, but without a backbone of practices meant to support these strategies, you won’t make much progress. Strengthening your order picking from the ground up can be tricky without an idea of what to do. Luckily, we have some ideas to help you get off the ground. Optimize Picking Routes: Re-evaluating and updating warehouse picking routes is a great way to eliminate wasted time. These paths need constant revision to ensure there is minimal backtracking. Check-in with your pickers to get their opinions on what is causing them to slow down. Adopt Automation: Automation is growing in popularity, and for good reason. Adopting robotics comes with a hefty price tag, but smart automation can drastically boost order picking efficiency and accuracy. Identify Prime Slots: Much like optimizing your warehouse picking routes, your product storage locations should often undergo review. You may have an unpopular product sitting in a prime slot. Ensure you always maximize product locations within the warehouse to speed up order picking. Don’t Ignore Your Errors: Sure, ripping up a failed document can feel nice, but owning your errors has benefits as well. By compiling data on issues in timing or accuracy, you can discover the root of the problem and take action. Implement Efficient Warehousing Layout: Organizing your warehouse layout is another critical aspect of achieving best practices in order picking. Designing the layout based on the type of picking method will reduce travel time and increase productivity. By optimizing the flow of goods, organizing storage areas, standardizing the picking process, maximizing technology usage and ensuring worker safety, it’s possible to improve the speed and accuracy of order picking, reduce errors and optimize overall resource utilization. Continuously Monitor Performance: Collecting data and analyzing performance metrics (order picking and inventory accuracy) can identify improvement areas and help implement corrective solutions. After analyzing these metrics, warehouse workers can strategize solutions such as changing warehouse layouts, introducing new technology or revising picking processes. There is another route to explore in the quest for optimization. If you’re looking for ways to innovate and streamline your order picking system, keep the following pieces of technology in mind. How To Choose the Best System Order picking strategies can make or break your warehouse business. Consider metrics like business size, employee strength and requirements before choosing a strategy. Selecting the best plan helps boost customer satisfaction, improve productivity and ROI, and eliminate errors. Here are a few things to consider before choosing the best system for your business: Number of Pickers The number of order pickers your business has directly influences the picking method you should use. If you have multiple pickers, you must choose a system that divides zones for efficient picking. For instance, the zone picking method works best for companies with a high volume of pickers and orders. Travel Time Minimizing the time your employees spend moving through the warehouse to pick products is crucial. Long travel times inadvertently affect productivity and increase labor costs. Select a method that ensures minimum movement time and reorganize the warehouse efficiently to decrease it further. Sales Data Analyzing sales data with business intelligence tools can provide insights into order potential and trends. It also sheds light on the average number of items per order. Staying on top of these metrics can help you select the most appropriate picking method. Combined Systems Don’t worry if you cannot choose a single method for your warehouse order picking; you can combine two or more techniques. For instance, the pick-and-pass and the zone method work together efficiently, increasing productivity. Automated Methods Manual errors can significantly threaten the business reputation, customer experience and overall costs. You should automate your order picking process as much as possible to eliminate these mistakes. Implementing automated picking methods can improve efficiency and accuracy. Compare Top Warehouse Management Systems Software Leaders Most Popular Order Picking Software To provide you with a reference, we’ve listed some of the top order picking software available in the market: Increff WMS: This warehouse and order management software provides comprehensive visibility into your inventory through online and offline channels. Its key capabilities include access management, behavioral analytics, multichannel order management, threat intelligence and order syncing. Veeqo: Veeqo is free order management and fulfillment software that offers order picking and shipping management services. It’s ideal for small and medium enterprises. Top features are detailed sales reports, multichannel orders, carrier integration and warehouse picking automation. Handifox: It’s an inventory and sales management system with both desktop and mobile interfaces. You can use the solution in the office and the warehouse while picking and moving goods. The mobile version allows you to track containers, scan barcodes, conduct cycle counts, generate sales orders and pick/pack orders. FAQs Is order picking a challenging process? Order picking is a more complicated process than it looks. In addition to physical labor, it also requires a keen eye for details, efficient movement, tim e management skills and organizational capabilities. However, efficient order picking methods and warehouse management systems can make the job comparatively easier. Why do you need order picking in order management? The primary goal of order picking is to ensure that your customers get the products they ordered. Fulfilling that order starts with picking the right product from the warehouse. Due to the size and complexity of warehouse management, finding and moving the right product becomes a challenging yet vital task. How to be a good order picker? You must keep a few things to keep in mind while picking items from the warehouse: Put the most popular items near your reach for better accessibility. Get yourself accustomed to the picking process and software. Try to minimize travel time. Ensure that you sync your WMS and ERP systems. Streamline your storage space management. What are the most common order picking methods? Most warehousing companies use batch picking, zone picking or wave picking methods as their order picking strategy. Some companies also combine these methods to achieve maximum efficiency and productivity. Is order picking the most expensive module of warehouse management? Order picking is the most expensive order fulfillment module because it requires intensive manual labor and expensive equipment (automated picking methods). More than 50% of the total warehouse cost is typically associated with this process. Compare Top Warehouse Management Systems Software Leaders Next Steps The formula is pretty straightforward: efficient warehouse picking systems lead to more shipments arriving on time and, ultimately, happier customers. And that’s what we’re all striving for, isn’t it? Make sure you implement a proper warehouse management solution to get the best out of your order picking and fulfillment processes. Need help in finding the best fit for your business? Try our free comparison report to analyze top warehouse management systems. It contains top features, analyst scores and reviews to help you make an informed decision. How has integrating order picking systems with warehouse management software improved your business? Let us know in the comments below. Tamoghna DasWhat Is Order Picking: Types, Best Practices and Warehouse Integration08.05.2024