Articles

Order Fulfillment Process Improvement in E-Commerce Warehouse: A DMAIC Approach for PT XYZ

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This research analyzes PT XYZ’s e-commerce fulfillment warehouse using the DMAIC (Define, Measure, Analyze, Improve, Control) methodology due to a shortfall in order processing, averaging 184.64 orders per shift versus a target of 250. The objective is to enhance operational efficiency and manpower productivity. Initial analysis identified significant inefficiencies and high variability in processing times due to Warehouse Management System (WMS) synchronization issues, manual rework, lack of standards, and non-value-adding activities. The improvement phase proposed solutions such as implementing a Pick-to-Light (PTL) system, WMS enhancements, standardized receipt picking, and incentive schemes. These improvements aim to reduce errors, optimize workflows, and increase employee productivity. The control phase includes comprehensive training plans, documentation, and monitoring tools to ensure sustainability and continuous improvement. Implementing these solutions is expected to increase order processing efficiency by 40-50%, build a more competitive and motivated workforce, and address issues between regular and freelance employees through targeted training and incentive schemes.

Increasing Order Fulfilment of Spare Parts in WIS and AS/RS Warehouse in PT. KTK Using Operational Excellence to Enhance Competitive Advantages

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The research is focused on the inventory storing process and used both generic and thematic framework to gain a better understanding from both perspective between business environment and the operational environment that currently occurred in PT. KTK. Competitor analysis, 7Ps marketing mix, and SWOT analysis are used to gain an understanding of the internal and external situation of PT. KTK and to compare PT. KTK with its competitors. On the operational sides, operational excellence is used to gain a better understanding and formulate a potential solution to improve the existing order fulfillment of PT. KTK. DMADV methodology from Six Sigma is used to gain a better understanding, measure the related metric, analyze the problem, providing a solution design, and implementing the solution in the existing warehouse process in PT.KTK. To align the operational strategy with PT. KTK business strategy, Porter’s Generic Strategy is used to gain and decide the best strategy for them. And the result, PT. KTK should focus on cost leadership by improving the effectiveness and efficiencies of their warehouse process enhance competitive advantages. Lastly, after the implementation is conducted and the result is observed, the solution can improve the order fulfillment of PT. KTK warehouse by 52.5%.