Title: Productivity Enhancement Complete Warehouse Project Sponsor: Swarnadip Sarkar Project Team: Task YB PPS Project A3

Rohit Show Data collections Reference Date

Operations Project Leader: Rahul S Devan Amarendra Seal 3
Nipu Das 19-May-22

1. Grasp the Situation 5. Investigate the Gap 7. Validate the Solutions & Create Improvement Plan
MAN MATERIAL METHOD

During operations in the month of December 2021 and January 2022 it was found that productivity of the associates can be improved by implementing Excess Manpower Task Task Desacription Who Due By Comments
Large and
new methods and Kizens Skill Matrix
Under performing Small mix IPP Monitoring KN Staff will track IPP daily and train those who are not performing Daily 25-12-2021 Shift Incharge
Manpower receiving

Skill Matrix Implimentaion Site Leader will plan cross deplyment and cross training with Shift Incharges and Manpower Vendor for Associates and supervisors Weekly 30-12-2021 Site Leader
UNIT PRICE REDUCED BY 0.30
MANPOWER REDUCED
Forcast VS Attaiment
2. Scope the Project
Space Physical
IPP Monitoring Constrain Verification

IS Not What Is Where When How Big

MESUREMENT MOTHER NATURE MACHINE

All the departments

Associates 8. Execute Plan

Productivity Loss Direct Cause 1 Why ? 2 Why ? 3 Why ? 4 Why ? 5 Why ? Root Cause
Complete During all the Since
and Incurring Coustomer customer
Sales
warehouse operations Less depend on End User
All the Assets of warehouse Manpower Cost Under
attaiment
is not able does online Since its
the end did not buy
Performing to give the selling they online
forcast vs users as
Manpower forcasted don’t have buiness
Actual buying forecasted
work load control on
trend
end user

Problem IS
IPP Monitoring of each individual and training them to improve productivity . Every day Shift In charge to Monitor the IPP and see who is not
Enhancement of complete operations to increase the productivity of all the associates
performing and train him if still there is no improvement understand why and try and guide and train the associates.
3. Discover the Current State
Direct Cause 1 Why ? 2 Why ? 3 Why ? 4 Why ? 5 Why ? Root Cause Skill Matrix implementation at warehouse along with the manpower vendor. Maintain the Skill Matrix tracker and track each and every ones
Customer
Large SKU and
Direct
There is no
business trained department and train them on the other departments.
Small SKU mix control Inbounding is Since its
It was observed that number of units processed was decreeing from month of December to February but there was increase in Vendor model is End user
receiving during decided by online
manpower cost and the number of manpower used. reduces
inwarding
inbounding customer
having
buiness
dependancy
productivity
and IWIT
for SML
multiple
SKU
9. Confirm Improvement
Description Dec'21 Jan'22 Feb'22 Benchmarking Mar'22 Apr'22 TOTAL
Direct Cause 1 Why ? 2 Why ? 3 Why ? 4 Why ? 5 Why ? Root Cause Monthly variable revenue as per unit processed 6362 6,159 5,563 - 5,865 6735 5,865
Description Dec'21 Jan'22 Feb'22 Most of the Other Revenue ( CN adjusted) -44 98 98 - 355 98 355
lack of
associates Depends on
Monthly variable revenue as per unit processed 6362 6,159 5,563
lack skills
training
Attrition and
Change in
customers End user
Total Revenue as per P&L 6,318 6,257 5,661 6,220 6,833 6,220
Other Revenue ( CN adjusted) -44 98 98 Skill Matrix
for all
and lack of
time for
dehiring
forcast by
customer
sales and dependancy Revenue considered for savings 6,362 6,159 5,563 5,865 6,735 5,865
Total Revenue as per P&L 6,318 6,257 5,661 department
training
projection
No of Units Processed 897871 850252 681,444 809,856 726,208 1011974 726,208
working
Revenue considered for savings 6,362 6,159 5,563
No of Units Processed 897871 850252 681,444 Temp Staff Cost (Actual invoice) 1788 1,927 1,947 - 1,840 2021 1,840
Direct Cause 1 Why ? 2 Why ? 3 Why ? 4 Why ? 5 Why ? Root Cause
Bonus and Gratuity 214 532 482 - 224 252 224
Temp Staff Cost (Actual invoice) 1788 1,927 1,947 Flipkart As per BAU Assumume One time / Yearly bonus 374 117 - - - -
Bonus and Gratuity 214 532 482 Warehouse Projected Under Accrual / (Over Accrual) 104 307 (609) - (13) (184) (13)
Space allocated they thought d there will End user
One time / Yearly bonus 374 117 - belongs to BAU was Total manpower cost as per P&L (GL- 5060009) 2,480 2,883 1,820 2,051 2,089 2,051
Constrain 38000 sq 38000 sq feet be less sales dependancy
Under Accrual / (Over Accrual) 104 307 (609) flipkart less
area for FC is enough in NE India
Total manpower cost as per P&L (GL- 5060009) 2,480 2,883 1,820 Manpower Cost considered for savings 2002 2459 2429 2,297 2,064 2,273 2,038
Conclusions and Quantification Number of FTE (Temp) 116 121 124 118 132 4,076
Manpower Cost considered for savings 2002 2459 2429 Manpower Cost Per Unit Processed 2.23 2.89 3.56 2.90 2.84 2.25 8,165
Number of FTE (Temp) 116 121 124 According to RCA, the only possible way to reduce the cost per unit is to train the manpower 14,279
Manpower Cost Per Unit Processed 2.23 2.89 3.56 and cross deploy them and make them process more units. Estimated Manpower Cost for Total Units Processed 2,102.68 2,930.10 28,558
Manpower cost considered for savings 2,064 2,273 55,078
Estimated Manpower Cost for Total Units Processed 6. Define and Develop Solutions Savings - 39 657 696
Manpower cost considered for savings 1.Skill Matrix implementation at warehouse What Must Be Controlled Requirments Frequency of Checks When Who Escalate To
Savings - 2.IPP Monitoring of each individual and training them to improve productivity
4. Establish Targets IPP Monitoring KN Staff Daily Daily Shift Incharge FW
Reduce Manpower cost per unit processed to 2.60 Skill Matrix Implimentaion Site Leader Weekly Weekly Site Leader FW
Objective Sign off Sponsor Sign Off KNPS Sign Off
 before after
inbo/ out /throughput volume 100 100
in headcount 10 9
prod 10 11.11111
improv % 90%

A3 1 Problem
expected target 11
current 10

2 Scope
inbound in
outbound out of scope
scope define

3 data collection

4 goal
expected target
 Jan Feb
1 250000 3000000
5 83333.33 1 in 83333.33 83333.33
5 2 out 83333.33 83333.33
5 3 RCA 83333.33 83333.33
6 RCA 5 4 Genral 50000 50000
per person cause identification20 300000 300000
per person 3.703704 3.703704
7 Cause - Solution

8 Solutuion
out of scope suitable or not suitable
validation

9 Implement the solution

confirm improvement 5
1 12
HS finance valdiation from P&L 9
CA
ReNe
SS

10 sustain
action plan
Mar Apr May Jun Jul Aug Sep Oct Nov Dec

83333.33 83333.33 83333.33 83333.33 83333.33 83333.33 83333.33 83333.33 83333.33 83333.33
83333.33 83333.33 83333.33 83333.33 83333.33 83333.33 83333.33 83333.33 83333.33 83333.33
83333.33 83333.33 83333.33 83333.33 83333.33 83333.33 83333.33 83333.33 83333.33 83333.33
50000 50000 50000 50000 50000 50000 50000 50000 50000 50000
300000 300000 300000 300000 300000 300000 300000 300000 300000 300000
3.703704 3.703704 3.703704 3.703704 3.703704 3.703704 3.703704 3.703704 3.703704 3.703704

CTC hand cip

1 rajkumar 13800 165600 3000000 18.11594 4 4.528986

6
 3600000 INR
44.44444 TCHF