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Warehouse Pick Optimization

Where inventory should live in a warehouse so that filling orders takes less walking, and what Microsoft Dynamics 365 does and does not decide for you.

warehouse pick optimizationDistribution and operations leaders, and the Dynamics 365 consultants who serve them
Articles
9
Total read
24m
Pillar

Reading path

Ordered by chapter. Each post stands alone but builds on the one before it.

Archive shelves of bound volumes, standing in for the citation trail behind a widely repeated warehouse statistic
Chapter 1

Where Does the '50% of Picking Time Is Travel' Statistic Actually Come From?

The most-quoted number in warehousing is that travel is half of a picker's time. It is not from a study. It traces to a self-published 1996 consultant book. Here is the full chain.

3 minRead
A warehouse manager reviewing inventory on a tablet beside racking
Chapter 2

Who Can Help With Pick Optimization in Dynamics 365?

If you run warehouses on Dynamics 365 and your pickers walk too far, here is who actually solves this, what to look for, and the questions that separate real help from a sales pitch.

4 minRead
A long warehouse aisle receding into the distance, showing the walking a picker route has to cover
Chapter 4

Should You Optimize Slotting or Picker Routing First?

Slotting and routing both reduce walking, but they are not equal. Routing shortens the trip. Slotting removes it. Here is which to fix first and why.

2 minRead
Barcoded location labels on warehouse racking, the addresses a location directive resolves to
Chapter 5

How Do Dynamics 365 Location Directives Work?

Location directives are the rules that steer where Dynamics 365 directs warehouse work. There are eleven strategies. None of them is based on travel distance. Here is what that means.

2 minRead
Overhead view of a warehouse floor, the physical space that coordinates describe
Chapter 6

Does Dynamics 365 Spatial Location Do Slotting?

Dynamics 365 warehouse spatial location adds X, Y, Z coordinates and can sequence picking by travel distance. That is real, and it is routing, not slotting. Here is the difference.

2 minRead
A worker placing cartons into a storage location during put-away
Chapter 7

What Is Dynamics 365 Dynamic Item Placement?

Dynamic item placement is a Dynamics 365 feature described with words like 'optimal placement' and 'AI-driven.' Read both paragraphs of the documentation and you find you still define the placement yourself.

2 minRead
Cartons sorted into groups, illustrating how items are ranked into A, B and C classes
Chapter 8

Should ABC Analysis Rank by Dollars or by Picks?

Most ABC analysis ranks items by dollar value, because that is the ERP's default report. For slotting, that is the wrong variable. You should rank by how often an item is picked.

3 minRead
A pallet being moved to replenish a pick face, the hidden cost that offsets placement savings
Chapter 9

Why Slotting Savings Must Be Shown Net of Replenishment

Every item you move closer to packing is an item you now replenish more often, and a restock costs more than a pick. Any slotting savings that ignore replenishment labour are only half the picture.

3 minRead
Rows of tabular data on screen, the order-line export a slotting analysis starts from
Chapter 10

How Do You Export Order Lines From Dynamics 365 for Slotting Analysis?

Slotting analysis needs two things from Dynamics 365: ninety days of order lines and a location list. Both are standard exports. Here is what you need and how to pull it.

3 minRead
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