From productivity gains to 100% picking accuracy, voice
technology enables organisations to drive down head count
while meeting evolving customer demands and, says
Martyn Broadhead of Solarsoft Distribution and Wholesale
Systems, it’s not just for the larger corporates

Cost cutting through head count
reduction may have seemed the best
approach to surviving the recession,
but as the economic decline continues,
manufacturing and distribution companies
are facing new challenges. Driven by the
explosion in online purchasing and
integrated supply chains, customer
expectations of excellent product choice and
immediate delivery are forcing organisations
to be more accurate and efficient in their
warehouse operations.

While larger organisations achieve new
levels of efficiency through innovations such
as voice technology, the majority of SMEs are
still constrained by outdated manual
warehouse processes and exposed to
significant levels of mis-picking and cost.

Despite the widespread perception, voice
technology is not just for organisations with
multiple warehouses and a minimum of 50
warehouse employees. Any organisation
picking high volumes of goods, or operating
in an environment that requires two hands
for effective picking, can achieve cost savings
and immediate benefits from voice technology.

SMEs still reliant on manual warehouse
processes have to consider the expectations
of an online customer community that has
rapid access to a range of
competitive suppliers, and
which is intolerant of
inaccurate delivery, making
the business cost of mispicking
rise further.

Voice opportunity
Despite advances in
technology, the majority of
SME warehouse facilities
are not automated in any
way. It is estimated that
only 30% of all warehouse
operations of any size
across the country are
automated, leaving huge
numbers of organisations still wrestling with
paper-based systems.

However, a growing number of larger
organisations are embracing the use of voice
technology- and benefiting from a massive
productivity jump and a reduction in
picking errors to close to zero.

So why are SMEs not following suit? Voice
systems are easy to use, especially since they
now support user-dependent voice
recognition, which significantly improves
accuracy, and can even be used by seasonal
workers.

Any situation where equipment or process
volume interferes with the speed and
accuracy of the picking process is an
excellent candidate for voice picking, almost
irrespective of company size. Throughput
increases significantly when picks can be
repeated into the voice system without
interrupting proceedings to scan barcodes or
complete paper forms.

Flexible approach
In an industry dominated by paper
processes, the rapid evolution of voice
technology to its current level of robust
maturity offers organisations a real chance to
address one of the most labour-intensive and
error-prone areas of the warehouse: the
picking function. Once in place,
organisations can look to build on the
improvements in accuracy and control by
adding warehouse management functions,
including scanning at goods receipt and
dispatch. Time-consuming manual checks of
inbound deliveries can be replaced with
regular but less frequent audits to confirm
stock levels (supported by heavy penalties),
allowing the most efficient SME distributor
to win more.

This is not just a technology for the largest
distribution and manufacturing operations;
by deploying voice technology in the right
SME environment, organisations can
transform efficiency, cost effectiveness and
customer service while retaining a viable
margin.

Flexing a business up and down in line
with the country’s economic position cannot
be achieved solely by changing head count.

In a highly competitive market increasingly
driven by the demands of the online
customer base, integrated supply chain and
just-in-time ordering, organisations need to
be more productive, deliver the right goods
at the right time and respond fast to
customer demands.

Competing against larger organisations
that can leverage economies of scale to drive
down price will always be a challenge in a
tough economy. SMEs must appreciate that
they too can take advantage of the
warehouse efficiency and accuracy that voice
technology provides. By ensuring improved
customer service and fulfilment, SMEs will
be best placed to endure the financial
challenges and maximise the opportunities
their competitors will miss.