How Does Your Operation Stack Up? Warehouse/distribution center operating metrics.
More Metrics
This is the second article in a series in which MHM will report the results of the 2005 MHM Census of Distribution.
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Managers of today's top performing warehouse/distribution centers— those in the top quartile (75th percentile)—report annual storage utilization rates of 90%, 26.5 orders picked or packed per hour, a one-hour dock-to-stock time, 99% on-time delivery rate, 99% order fill rate, and 12 inventory turns per year. Use the table below to compare your facility's performance against the best and the industry as a whole.
WAREHOUSE/DISTRIBUTION CENTER OPERATING METRICS
|
Metric (Formula) |
All Respondents |
|
|
Mean* |
25th percentile |
Median |
75th percentile |
N= |
|
Storage space, sq. ft. |
117,528 |
15,000 |
50,000 |
138,750 |
424 |
|
Storage space, cubic ft. |
2,843,898 |
62,400 |
595,000 |
3,000,000 |
283 |
|
SKUs (Number handled or stored over the past 12 months) |
108,698 |
1,000 |
5,000 |
20,000 |
386 |
|
Full-time equivalent employees (2005) |
225.6 |
21.5 |
59 |
180 |
441 |
|
Age, years (Years operating under current ownership) |
16.8 |
5 |
10 |
25 |
451 |
|
Warehousing costs as a % of shipment value, % [(labor + overhead) ÷ shipment dollar volume] |
12.2 |
15.0 |
6.3 |
3.0 |
259 |
|
Annual storage utilization, % (occupied capacity ÷ total storage capacity) |
77.8 |
70.0 |
80.0 |
90.0 |
335 |
|
Orders per hour (orders picked or packed ÷ total warehouse hours) |
57.4 |
2.8 |
8 |
26.5 |
261 |
|
Lines picked per hour (lines picked or packed ÷ total warehouse hours) |
184.9 |
10 |
25 |
74.7 |
220 |
|
Items picked per hour (items picked or packed ÷ total warehouse hours) |
1,577.9 |
25.0 |
79.5 |
203.8 |
232 |
|
Dock to stock time, hours (receipt to storage time in hours) |
10.8 |
12.0 |
4.0 |
1.0 |
271 |
|
Cost per order (annual labor and overhead costs ÷ total orders) |
$3,145.30 |
$155.50 |
$32.00 |
$10.00 |
200 |
|
On-time delivery rate, % (orders delivered on time ÷ total orders) |
93.5 |
94.0 |
97.0 |
99.0 |
311 |
|
Order fill rate, % (orders filled complete ÷ total orders) |
94.1 |
93.0 |
97.5 |
99.0 |
297 |
|
Order accuracy, % (error-free orders ÷ total orders) |
96.4 |
96.5 |
99.0 |
99.5 |
313 |
|
Line accuracy, % (error-free lines ÷ total lines shipped) |
96.4 |
98.0 |
99.0 |
99.7 |
246 |
|
Order cycle time, hours (order release to ship time) |
25.3 |
3.0 |
12.0 |
32.0 |
271 |
|
Perfect order rate, % (perfect deliveries ÷ total deliveries) |
92.5 |
92.1 |
98.0 |
99.0 |
248 |
|
Customer delivery lead time, days (receipt of order to delivery) |
11.4 |
7.0 |
3.0 |
2.0 |
289 |
|
Total inventory turn rate, turns |
11.3 |
4.0 |
6.0 |
12.0 |
275 |
|
Metric (Formula) |
Machinery, Equipment & Supplies |
|
|
25th percentile |
Median |
75th percentile |
N=** |
|
Storage space, sq. ft. |
5,000 |
17,000 |
56,500 |
62 |
|
Storage space, cubic ft. |
15,000 |
80,000 |
900,000 |
43 |
|
SKUs (Number handled or stored over the past 12 months) |
850 |
2,775 |
12,000 |
48 |
|
Full-time equivalent employees (2005) |
13.5 |
40 |
128.5 |
65 |
|
Age, years (Years operating under current ownership) |
4.75 |
10 |
25 |
62 |
|
Warehousing costs as a % of shipment value, % [(labor + overhead) ÷ shipment dollar volume] |
12.5 |
5.0 |
3.0 |
34 |
|
Annual storage utilization, % (occupied capacity ÷ total storage capacity) |
80.0 |
85.0 |
96.0 |
43 |
|
Orders per hour (orders picked or packed ÷ total warehouse hours) |
2 |
6 |
10 |
36 |
|
Lines picked per hour (lines picked or packed ÷ total warehouse hours) |
9 |
25 |
55 |
31 |
|
Items picked per hour (items picked or packed ÷ total warehouse hours) |
16.8 |
45.0 |
78.0 |
27 |
|
Dock to stock time, hours (receipt to storage time in hours) |
8.0 |
4.0 |
1.8 |
30 |
|
Cost per order (annual labor and overhead costs ÷ total orders) |
$250.00 |
$46.00 |
$11.79 |
23 |
|
On-time delivery rate, % (orders delivered on time ÷ total orders) |
89.0 |
96.0 |
98.0 |
39 |
|
Order fill rate, % (orders filled complete ÷ total orders) |
90.0 |
96.8 |
99.1 |
38 |
|
Order accuracy, % (error-free orders ÷ total orders) |
95.0 |
98.0 |
99.3 |
38 |
|
Line accuracy, % (error-free lines ÷ total lines shipped) |
96.0 |
99.0 |
99.8 |
27 |
|
Order cycle time, hours (order release to ship time) |
1.0 |
8.0 |
24.0 |
31 |
|
Perfect order rate, % (perfect deliveries ÷ total deliveries) |
90.0 |
97.0 |
99.0 |
28 |
|
Customer delivery lead time, days (receipt of order to delivery) |
7.0 |
3.0 |
2.0 |
37 |
|
Total inventory turn rate, turns |
4.0 |
6.3 |
9.3 |
30 |
|
Metric (Formula) |
Grocery & Related Products |
|
|
25th percentile |
Median |
75th percentile |
N=** |
|
Storage space, sq. ft. |
30,000 |
52,500 |
192,500 |
36 |
|
Storage space, cubic ft. |
200,000 |
1,000,000 |
3,027,500 |
27 |
|
SKUs (Number handled or stored over the past 12 months) |
300 |
1,900 |
12,000 |
35 |
|
Full-time equivalent employees (2005) |
12.25 |
45.5 |
265.5 |
38 |
|
Age, years (Years operating under current ownership) |
5.5 |
14 |
26.5 |
37 |
|
Warehousing costs as a % of shipment value, % [(labor + overhead) ÷ shipment dollar volume] |
28.5 |
10.0 |
3.7 |
21 |
|
Annual storage utilization, % (occupied capacity ÷ total storage capacity) |
65.0 |
77.5 |
88.8 |
28 |
|
Orders per hour (orders picked or packed ÷ total warehouse hours) |
2 |
3 |
10 |
19 |
|
Lines picked per hour (lines picked or packed ÷ total warehouse hours) |
12 |
30 |
60.5 |
13 |
|
Items picked per hour (items picked or packed ÷ total warehouse hours) |
75.0 |
147.5 |
227.5 |
18 |
|
Dock to stock time, hours (receipt to storage time in hours) |
2.8 |
1.0 |
0.9 |
20 |
|
Cost per order (annual labor and overhead costs ÷ total orders) |
$132.53 |
$19.13 |
$5.45 |
14 |
|
On-time delivery rate, % (orders delivered on time ÷ total orders) |
94.5 |
97.2 |
99.8 |
22 |
|
Order fill rate, % (orders filled complete ÷ total orders) |
96.5 |
99.0 |
100.0 |
25 |
|
Order accuracy, % (error-free orders ÷ total orders) |
95.5 |
99.0 |
99.8 |
25 |
|
Line accuracy, % (error-free lines ÷ total lines shipped) |
98.0 |
99.5 |
99.9 |
17 |
|
Order cycle time, hours (order release to ship time) |
12.0 |
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