Errors occur, even with the best

There are many sources of errors in today’s supply chain, and errors can occur in every step of the process.

Some warehouses use business systems and pick lists, while others have installed WMS solutions and computer support. Some warehouses have introduced voice picking, and some have high-level automation. The better the technical support a warehouse has, the fewer errors tend to occur, but regardless of the warehouse’s development level, the same types of errors exist.

 

This is where errors occur

Receiving

Picking

Packaging

Loading

Transport

Unknown

We help you figure out how much you can save with SiB’s logtech platform

The actual price of logistics errors is much higher than many people think. For example, many expect the cost of mis-picking an item to simply be the cost of sending out a new item and returning the item picked in error, but unfortunately there are a number of other costs. An industry standard is that each complaint costs 185 euros, but that only considers the inventory related costs and not the total cost to the business.

We help you figure out the true price of logistics errors, and we are happy to discuss how you can lower these costly errors with intelligent video analysis. Many of our customers save hundreds of thousands of euros. In addition, they reduce their environmental impact by many tonnes of CO2.

How much can you save?

BOOK A FREE MEETING

Why every mistake costs so much

It is easy to relate the correction of an error to just sending a new item. This is expensive in itself, but only covers the fraction of the cost, and errors often involve work for a number of different functions in the company.

To deal with an error, you often require:

  • Customer service time
  • Inventory management
  • Operator time
  • The involvement of the management in the event of more serious errors
  • New packaging
  • Extra transport
  • Correction of inventory differences

Sometimes these functions also need to be involved:

  • The leadership team
  • Sales department
  • Production department
  • The transport office
  • Finance department
  • Subcontractors
  • Carriers

In addition to these challenges, the environment is negatively affected by the extra transport, and you increase customer dissatisfaction – especially if they have to wait for the problem to be solved.

Do you want to know more?

Contact us

Fix and prevent your logistics errors

With SiB Solutions intelligent logtech platform, you can both find out what went wrong retroactively and prevent new logistics errors proactively. This combination allows you to get approach zero errors

Here's how it works

Get evidence showing that you did not cause the error

When an error occurs somewhere in the logistics chain, it is not uncommon for different parties to blame each other. It’s also possible that customers claim that they have received wrong or defective goods, even if this is not the case. With the SiB Solutions logtech platform, you can easily view exactly where and when the error occurred – or find out if the error did not occur at all. If there are contractual Service Level agreements in place, these errors can cost significant sums of money in claims.

FAQs

Can we see if the pallet was loaded and what it looked like when it was loaded on the truck?

Yes, with SiB Solutions logtech platform you can see all sides of the pallet except the underside. You also see what goods arrive at the warehouse, and what condition the goods are in.

What can I do if a customer calls and says goods are missing in a delivery?

In the user interface search field enter the order number, delivery number, pallet ID or another specific reference. In a few seconds you will see video sequences showing all occasions where the goods were handled in the various parts of the process, which means that you can easily determine if the customer is right, and find out exactly what has happened in such cases.

Sometimes we get an incorrect stock balance - can your solution find out the cause?

Yes. The most common cause of a negative balance error is that too much has been delivered to the customer, and it’s rare that the customer will notify you. With SiB Solutions’ logtech platform you only need to search for the article number to quickly get an answer on how much has been picked for each customer. Another reason for incorrect stock balance may be that the supplier has sent too few items and that the goods recipient has missed it in the registration process. With our solution you can go back in time and see exactly what arrived at the goods reception.

How do I use the video material as proof and be GDPR compliant?

Usually a screenshot is enough to prove whether or not a statement is correct. If people are seen in the picture, they can easily be masked with a blur function. If you need the video material as evidence, we have a service that makes people on the recording transparent and thus completely anonymized.