10 Steps To Track Labor Productivity in Warehouse

10 Steps to Track Labor Productivity in Warehouse

To track labor productivity in a warehouse, here are 10 steps to follow:

Suggested Read: What is Labor Tracking

1. Define Productivity Metrics

Identify key performance indicators (KPIs) that are relevant to warehouse operations. Common productivity metrics include units picked per hour, order fulfillment rate, cycle time, or inventory accuracy. Select metrics that align with your warehouse goals and objectives.

2. Set Benchmarks

Establish productivity benchmarks based on historical data, industry standards, or organizational targets. These benchmarks will serve as a reference point to evaluate performance and identify areas for improvement.

3. Track Labor Hours

Implement Axacute to track the number of hours worked by each employee or team in the warehouse. This can be done through time-tracking software, clock-in/clock-out systems, or manual records. 

Axacute is an inventory and production system that provides labor performance tracking and analytics capabilities. You can integrate it into your existing systems or use it as a standalone solution. 

4. Measure Throughput

Measure the quantity of goods processed or tasks completed within a specific time period. For example, track the number of orders fulfilled, items received, or shipments dispatched. This data will provide insights into the productivity of your warehouse operations.

5. Capture Cycle Times

Measure the time taken to complete specific tasks or processes within the warehouse, such as picking, packing, or restocking. This information will help identify bottlenecks and areas where efficiency can be improved.

6. Analyze Data

Use the collected data to calculate productivity metrics and analyze performance. Compare the actual results against the benchmarks set earlier. Look for trends, patterns, and areas of improvement. Data visualization tools or warehouse management software can assist in analyzing and interpreting the data effectively.

7. Involve Employees

Engage with warehouse staff and seek their input on improving productivity. They can provide valuable insights into operational challenges and suggest process improvements. Encourage a culture of continuous improvement and involve employees in problem-solving and decision-making.

8. Implement Process Improvements

Based on the insights gained from data analysis and employee input, identify and implement process improvements. This could involve optimizing layouts, streamlining workflows, providing additional training, or investing in automation technologies to enhance productivity.

9. Monitor and Communicate

Continuously monitor productivity metrics and communicate the results to the warehouse team. Regularly share performance updates, celebrate achievements, and address any concerns or challenges. This transparency fosters accountability and motivates employees to work towards improving productivity.

10. Review and Iterate

Periodically review the effectiveness of your productivity tracking efforts. Assess whether the implemented improvements are yielding the desired results. Make necessary adjustments and iterate the tracking and improvement processes as needed.


Remember that the specific methods and tools used for tracking labor productivity in a warehouse may vary based on the size, nature of operations, and available resources. Choose tools and techniques that suit your specific needs and consider utilizing specialized warehouse management software for more comprehensive productivity tracking and optimization.

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