Fidelitone Logistics Automates Labor Planning in its DC

Oct. 14, 2010
3PL Fidelitone Logistics is working with consulting firm TZA on a performance improvement program centered on the 3PL’s distribution operations.

Fidelitone Logistics, a third-party logistics provider (3PL), and TZA, a supply chain consulting and labor management software firm, are nearing completion of a customer-specific site performance improvement program benefitting Fidelitone’s distribution operations.

The initiative to date has produced standards and early documentation of positive results for Fidelitone, including better workforce utilization, increased efficiencies and the development of a baseline to measure future distribution center (DC) performance.

TZA estimates the program will net productivity improvement gains at Fidelitone ranging from 15 to 20%.

Fidelitone is implementing most elements of TZA’s labor management program. They include TZA’s ProTrack Warehouse Labor Management System with XYZ mapping, standards development and validation, training, a change management program and incentives. Fidelitone managers and distribution center employees are active in the initiative.

“We are looking at labor utilization, overall efficiency, the reduction of manual systems and the introduction of precise performance measurement against goals, among other initiatives,” explains Chuck Perry, Fidelitone’s VP of business solutions and operations. The company has already seen initial strong results from the joint project. The software application in particular will give Fidelitone’s DC managers the ability to automate dynamic labor planning.

ProTrack Warehouse calculates multi-variable discreet standards, offers a labor planning and forecasting module, tracks and reports errors by type and by individual, and provides alerts for out-of-tolerance performance. The application also calculates incentive pay based on multiple factors and time frames, automatically manages discipline policies and recognizes employees for their performance achievements. Additionally, managers are provided with dynamic ad hoc reporting which gauges operational performance at any level.

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