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Distribution: Improving Flexible Labor Performance

Retail

A Fortune 100 Retailer used temporary labor in their distribution centers to supplement their full-time associates to meet seasonal demand. 

Challenge

Like many retailers, this company used temporary staffing agencies to meet fluctuating work loads throughout the year.  While gaining flexibility, their DC’s experienced:

  • Never ending training burden driven by excessive turnover
  • An erosion of productivity compared to full-time associates
  • Little or no cost savings when training costs and loss of productivity were included

Solution

The temporary agency is replaced with an Insource performance-based labor program that provides:

  • A turnkey managed service that is responsive to daily staffing needs
  • A scorecard to measure clearly defined performance objectives
  • A train the trainer model – relieving the DC’s supervisors of this burden
  • Labor cost based on LMS– creating accountability and budget certainty

Result

 improving flexible labor performance

DC managers no longer have to deal with the daily headache of temporary labor.  In addition, Insource delivers these improvements:

  • New associate training curve is reduced by 75%
  • 23% gain in efficiency as measured in Red Prairie
  • A 14.9% labor cost savings

 

Received a Personalized Labor Assessment from Insource

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