Warehouse Management

Those of you who are planning to attend Collaborate in Denver, here is the Agenda for the upcoming Logistics SIG meeting:

Location: Colorado Convention Center , room 403
Date and Time:  Sunday, April 13th   2:15pm-3:15pm

Agenda
2:15pm - 2:20pm          Introductions
OAUG and Val Avery, SIG Leader

2:20 - 2:50pm                Forward Pick Replenishments  
Aditya Agarkar, Oracle
Best practices of replenishment and how to enable replenishments within Oracle WMS

2:50pm - 3:05pm            Voice Transactions in Oracle WMS
Rajeev Varshney, Voice Insight
Voice picking capabilities using Oracle WMS

3:05pm - 3:15pm            Q & A

Collaborate 08 got off to a flying start.  There was a good turnout for WMS SIG meeting even though it was a Sunday. As usual its always exciting to connect with WMS users in such conferences.

The WMS SIG agenda was hopefully useful (the replenishment stuff) and exciting (the voice demo). The replenishment part covered the whole spectrum:

• Why have a pick area and replenishment?

• What items should be considered for replenishment?

• How to analyze the demand profile using the Warehouse Control Board?

• The current replenishment functionality.

• The Push Replenishment and Pull Replenishment that is slated for an upcoming release.

I know that most of you have seen the physical pushing and pulling of stuff around in the warehouse. The Push and Pull in replenishment context is somewhat intriguing. However I will do a detailed post on it as soon as I get back to HQ. I will also elucidate on the Warehouse Control Board output and Excel macros to analyze the data in more detail.

Meanwhile I also want to acknowledge the efforts of Daio Syngkon from Oracle and the Voice-Insight team for hosting a wonderful demo involving voice driven WMS transactions. Voice-Insight solution opens up a lot of exciting possibilities. In fact I had blogged about a radical new approach for voice enablement in one of my previous blog entries (Mobile Hardware and Software Innovations in a Warehouse Environment). Its good to see that Voice-Insight has delivered just such a solution for Voice. After WMS SIG session, I sat down with Rajeev Varshaneya from Voice-Insight to have a detailed chat about what it means for Oracle WMS and how customers can benefit from it. I will post the transcripts from this conversation later today.

Meanwhile for those of you in Denver attending Collaborate 08, there is one more WMS session planned for Wednesday:

Oracle Warehouse Management System and RFID - Integrations, Enhancements and Overview

Aditya Agarkar, Oracle; Wednesday; April 16th, 2008; 3:15 PM-4:15 PM Room 201

Voice-Insight recently announced availability of their voice solution for Oracle WMS. The solution was presented at Oracle WMS SIG at Collaborate'08 event in Denver.

After the SIG presentation and the voice demo, I had a chat with Rajeev Varshaneya from Voice-Insight. Rajeev is the VP of Business Development at Voice Insight. I took notes from the conversation and here is the transcript from that conversation:

AA:  Rajeev thank you for participating in WMS SIG. Your presentation and voice demo was very well received. I think this could be of interest to other Oracle WMS customers who could not make it to this event. How can they view this information?

RV: Aditya, Thanks for giving us the opportunity to present the Voice Insight Mobile Client targeted for Oracle e-Business Suite and more specifically for the Oracle Warehouse Management System. We will make the presentation given there available to you so that it can be viewed by the larger Oracle WMS user community.

AA: Can you tell us a little bit about Voice Insight?

RV: Voice Insight creates voice interaction solutions for enterprise/manufacturing/mobile applications. We have been in this business for over 8 years. We have an international presence that spans United States, United Kingdom, Belgium, France, Germany and The Netherlands. Our current deployments are in the areas of Warehouse Logistics, Mobile Navigation, Inspections and Asset Management. We are specialized in Voice enabling applications with our significant IP portfolio and deep expertise in voice interpretation and processing techniques on mobile devices.

AA: Why is voice picking and voice enabled transactions getting so much importance these days?

RV: The applications used in the enterprise have been packing an incredible amount of functionality to automate the business operations. This has led to a significant usage complexity and a heavy requirement to constantly train the workforce in its usage and, in addition keeping them up to speed on changing work procedures.

By its very nature, voice interface is the most direct and natural form of interaction, cutting through the complex menu-driven logic and getting straight to the function a user needs to execute. The net effect is a significant reduction in cycle times (in order picking for example) and an increase data and performance (e.g. shipping) accuracy. Voice also obviates the need to learn and re-learn changing system features and procedures. At the same time, with the work that we have done and the others have done in the industry to make voice solutions more robust and reliable, there is now wider acceptance that voice interfaces have migrated from being a gimmick to real productivity enhancers. The ease of use, accuracy and productivity gains have been clearly demonstrated  and that brings the feeling of confidence in the minds of users as well as IT implementers who are now more seriously looking at this technology.

We believe our solutions are ready for prime time and the hands/eyes-free nature of voice is a real advantage in the warehouse situations.

AA: What type of voice solutions do you offer to Oracle WMS customers?

RV: We offer two distinct approaches to the Oracle customer base:

The first one is the mobile client approach, in which we have a software client running only on the mobile terminal with no need for integration to the back-end database or application. This allows data entry on the client device using voice/scanning and fill the defaults. The mobile client is ready to roll in a very quick implementation cycle. It is independent of the releases of Oracle WMS solution or the forms that needs to be voice enabled.

The second approach is a traditional Voice Client integration for high-volume, streamlined work-flow processes, whereby we integrate the Voice Insight VQL solution to the WMS and enhance the end to end productivity of the work-flow significantly. Our own voice terminal option is a Windows XP based rugged computer (wearable or mounted on a fork lift if using the wireless headset) that interacts over a TCP/IP network and acts in dual mode (on-line/off-line) with the WMS managing the Warehouse work-flow. External device integration with barcode/RFID scanners and an industrial grade Wireless Headset provide the ultimate performance in mobile work-flow task management (picking, put-away, QA). The integration process with the back-end systems is simplified because of our integration approach.

AA: The client based solution that you mentioned is very intriguing. Its very different from the traditional approach to voice enablement where WMS tasks and pick instructions are interfaced to a voice solution server. Can you tell us the benefits of the client based solution to voice enabling WMS?

RV: This is a result of a significant collaborative effort between Oracle and Voice Insight engineers. The solution offers a very short implementation cycle and offers appreciable productivity gains in short order. The solution does not require any integration effort with the back end systems and can be applied to any Oracle WMS  transaction available on the mobile terminal. A lot of default data can be pre-filled making operator's life relatively simple. We are excited about offering the Oracle WMS user base a solution that is unparalleled in user and system simplicity and ease of deployment.

AA: What transactions in Oracle WMS can be voice enabled using the client based approach?

RV: Any transaction can be voice enabled. The solution can be easily extended to the entire e-business suite just as well.

AA: You mentioned in your presentation that client based solution allows existing devices to be used for voice enabling WMS. Are there any hardware limitations or constraints like memory, blue tooth, etc.?

RV: The solution works on the current configurations offered by companies like Symbol and LXE.

AA: It seems to me that a client based solution offers tremendous value. Is there any situation where a server based solution makes more sense?

RV: If you have complex work-flow logic, a lot of real-time decision making that is done by the WMS, and a high-volume environment with simple streamlined work cycles, it may be better to use a traditional server integrated solution. Our VQL voice server option can also add complementary work flow logic to a WMS where the WMS  doesn't allow sufficient flexibility for streamlining or specializing processes to meet local needs on the floor of a given site implementation.

AA: Do you have any special offer for Oracle WMS customers?

RV: Since this is a new product added to our portfolio, we are looking at candidate companies that might want to try out the benefits this solution offers. We will do the pilots for limited numbers without charge in return, upon successful verification, for they're help in making our message to the market stronger.

AA: How can they get in touch with you?

RV: You can reach us by

e-mail:

info@voice-insight.com

bret.andersen@voice-insight.com

Rajeev.varshneya@voice-insight.com

Phone:

Bret Andersen: 650-380-3067

Rajeev Varshneya: 408-666-1684

AA: Rajeev, thanks for your time. I am sure our WMS community will find this very useful. I will make arrangements with OAUG to make the presentation available to all those who could not attend the event. Thank you.

This topic was covered in detail at the WMS SIG at Collaborate 08 in Denver. Replenishment plays a key role in the warehouse as it ensures that there is a enough stock in the pick area to cover the expected demand. The replenishment in this context means an intra-warehouse replenishment from a reserver or bulk area that is optimized for storage (Think pallet storage, high bay warehouse etc.) to a small and compact pick area optimized for unit picks (think flow racks, shelving, pick to light systems, etc).



This post also covers steps to analyze pick area activity using task history from warehouse control board.

A replenishment policy for pick face involves deciding the following factors:

1. Should there be a pick face? :  The answer clearly depends on the business scenario. If the warehouse is involved in distribution activities where it sources or manufactures goods in bulk (think pallets) and fulfills a large number of smaller orders in lower handling units (think cases or each), a pick area can often boost productivity and order velocity significantly. In Oracle WMS world this pick area should be defined as a sub-inventory.

2. What items to stock in the pick face? : Clearly all items need not exist in pick face at all times. If that were to happen, the resulting bloat in pick face will obliterate any productivity benefits arising from a small and compact pick area. The best practice is to have as many "Fast"  moving items stored in pick face. The definition of "fast" moving is important: an item is fast moving if it is picked from pick face at a higher frequency. Therefore its important to analyze the demand from pick area only. It does not matter what is the total pick frequency of the item across the warehouse or what is the value of the item or how much is the average pick quantity. In Oracle WMS world, the item's task history can provide us with insights about how frequently an item is picked from a given sub-inventory on a historic basis. Using this insight, its possible to make a decision  about whether to stock an item in pick sub-inventory or not. If the item is stocked in pick area, item sub-inventory relationship needs to be defined in Oracle WMS for the item and pick sub-inventory including the replenishment parameters. 
   

3. Where the item should be slotted? Should the locator be fixed or floating?: Clearly an item that is picked often in the pick face should be stored in the most optimum location for picking. However if demand profile is seasonal or highly erratic, its possible to have a floating location for an item. This way Putaway rule in Oracle WMS can dynamically slot an item based on certain characteristics e.g. Slot in the golden zone during "High" season or slot in the high season when item is flagged as a "Promotional" item. However if the item has a high steady demand, a dedicated locator can be identified for the item. In oracle WMS, its possible to dedicate a locator for the item using the item-sub inventory relationship.

4. How much quantity to stock in the pick face?: One of the objectives for having a pick face is to avoid going back to your reserve area often. Therefore a pick face should stock enough to cover 5-10 picks. Therefore the maximum quantity of an item to stock can be 5-10 times an average pick. If you replenish pick face in a standard pack, you can round this quantity to the nearest pack size e.g. 5 cases, 3 boxes, etc.  The maximum quantity is also constrained by locator capacity i.e. the maximum quantity to be stored can not exceed the available cubic volume. For this reason, step 3 and 4 are somewhat iterative in nature.

5. When should replenishment be triggered?: This determines the minimum quantity before a fresh replenishment is triggered. Usually the replenishment should be initiated when the pick area stock has just enough quantity to cover 2-3 picks. Once again the average historical pick quantity can be used to set the replenishment minimum.

6. What should be replenishment lot size? If you replenish pick face in a standard pack, you should set the standard pack quantity as the replenishment lot size.

The replenishment analysis spreadsheet is a tool that can be used to analyze the task information from WMS control board. It allows you to classify items using their pick frequency into "Fast", "Medium" and "Slow" moving. This excel spreadsheet is being provided as-is. Please feel free to use or modify it as you see fit.

Note: The Excel Sheet can be used to Analyze only 5000 items. You must extend the Array Formula on item column in the "Frequency Distribution" worksheet beyond A5001 row to include additional items if you are likely to have additional items.

The following steps must be taken to perform the Pick Frequency analysis:

1. Copy task history from Oracle WMS Warehouse Control Board: The warehouse control board can be used to get information for a specific sub-inventory e.g. EACH, CASE, BULK, etc. In order to view the task history in control board, you must check the Completed status on the task Tab. In addition the shipping date range can be populated on the outbound tab before you press the "Find" button. The results on the Warehouse Control Board shows the task history for completed tasks. In order to select the tasks and copy the task history to the clipboard, select all the rows (use the square on the top left hand corner of the spreadsheet), use the left mouse click and select "Copy All Rows". This action will copy all the rows to the clipboard.

2. Populate Task Data worksheet: The task information from Warehouse Control Board can be pasted in "Task Data"  worksheet using Control+V or using Edit->Paste. (look at the bottom of this Excel window to navigate to this worksheet)

3. Configure Item and Quantity Columns: The columns containing item and quantity needs to be defined. This can be done using Range definition feature in Excel. Use Insert->Name->Define to configure which column on the "Task Data" sheet contains the Item and Pick Quantity information from the tasks. By default the item information is assumed to be in the "A" column (A2:A1500) and Quantity information in the "E" (E2:E1500) column. The column and the range should be modified based on the data.

4. Perform Data Analysis: Press "Analyze Data" button to execute the Excel macro that categorizes the items into Fast, Medium and Slow items. This macro will uniquely identify all the items and count the number of times each item was picked. The macro will sort the items in descending pick frequency and categorize the items based on the "Fast", "Medium" and "Slow" cutoff fences. It will also compute the avaerage quantity per pick for each of the item