%201.svg){kind=small}
Latest posts
Download resources
Warehouse key figures: Definition & important aspects for buyers
.jpeg)
Warehouse key figures in a nutshell:
Warehouse KPIs are quantitative metrics for evaluating and controlling warehouse performance, such as inventory turnover, range or service level. They enable purchasing to optimize inventory effectively and provide an important decision-making basis for the procurement strategy.
Example: An automotive supplier improves its inventory turnover from 6 to 8 per year by monitoring its inventory key figures on a monthly basis and simultaneously reduces the average storage period from 60 to 45 days, resulting in cost savings of EUR 120,000 per year.
Contents
What are inventory ratios?
Warehouse KPIs are measurable variables that provide information about the performance, efficiency and effectiveness of warehouse processes. They are used to quantify various aspects of warehousing, such as inventory analysis, storage costs and readiness to deliver. By systematically recording and evaluating these key figures, companies can assess the performance of their warehouse and identify optimization potential.
Core components of warehouse key figures
- Turnover rate: Number of times the average stock is sold or consumed in a given period.
- Storage duration: Average duration of goods in the warehouse, which indicates stock levels and possible excess stock.
- Degree of readiness to deliver: Percentage of orders that can be serviced immediately from the warehouse.
- Storage cost ratio: ratio of storage costs to the total value of the stored goods.
Significance for purchasing
Key stock figures are crucial for purchasing in order to optimally plan order management and timing. They enable a well-founded determination of requirements and help to avoid excess stock or bottlenecks. By analyzing key stock figures, buyers can create a basis for decision-making in supplier negotiations and ensure security of supply.
- Inventory optimization: Reduction of storage costs through coordinated order cycles.
- Security of supply: Ensuring product availability by monitoring stock levels.
- Cost control: Identification of potential savings by analyzing warehousing costs.
Whitepaper: Warehouse KPIs at a glance - optimization through effective measurement and analysis
Key warehouse figures: From manual stocktaking to real-time analytics
Building on the theoretical basis that warehouse KPIs are essential for evaluating the efficiency of warehouse processes, the practical application shows their true strength. They enable companies to not only know their current inventory levels, but also to make decisions that reduce costs and increase service levels. With increasing demands on delivery times and cost efficiency, a transformation from traditional methods to modern approaches is essential.
Old: Manual warehouse data entry
Traditional approach: In traditional warehouse systems, stocks and movements were recorded manually. Employees counted goods by hand and made bookings on paper or in simple tables. Data collection was time-consuming and error-prone. Tools such as manual inventory lists and physical stock analysis dominated day-to-day work. Limitations such as a lack of real-time information led to overstocking or supply bottlenecks. Inconsistent data also made strategic planning more difficult and led to increased logistics costs.
New: digitalization and real-time analysis
Real-time analytics: The modern approach uses digital technologies to automatically record and evaluate key warehouse figures. Inventories are monitored in real time using warehouse management systems (WMS), RFID technology and IoT devices. Innovative tools such as data analysis software provide in-depth insights into warehouse processes. Improvements can be seen in increased transparency, faster response times and optimized inventories. In practical terms, this results in reduced storage costs, higher inventory turnover and improved customer satisfaction.
Practical example: Optimization in retail logistics
A leading retail company implemented an integrated WMS with RFID support. Real-time monitoring of stock levels reduced the average stock value by 20%. The stock turnover rate increased from 5 to 10 times per year. In addition, delivery times were reduced by 30%, resulting in a 15% increase in customer satisfaction. The precise inventory figures enabled a more accurate demand analysis and reduced stock shortages by 40%.
Conclusion on the warehouse key figure analysis
Warehouse key figures, in particular the inventory turnover rate, are indispensable control instruments for efficient inventory management. They enable a precise assessment of warehouse performance and form the basis for strategic decisions in purchasing. By systematically recording and analyzing these key figures, combined with modern technologies such as AI and predictive analytics, companies can continuously optimize their warehouse processes and reduce costs. The key to success lies in striking a balance between high inventory turnover rates and sufficient readiness to deliver.
