Operational & intralogistics optimisation

A logistics operation consists of many separate processes, but performance is ultimately determined by how those processes connect with each other.

Inbound can run efficiently while goods then wait unnecessarily long before becoming available. Order picking can deliver strong performance while employees cover unnecessary distances every day. A warehouse can have enough capacity yet still grind to a halt regularly because goods flows cross at the wrong moments.

That is why OctaFlow looks not only at individual processes, but at the total flow of goods, people and resources through the organisation.

With operational and intralogistics optimisation, we map that coherence and translate insights into concrete improvements. We look at processes, routing, working methods, warehouse layout, capacity, equipment deployment and the collaboration between different parts of the operation.

The goal is not to make the operation more complex, but to make it simpler, more efficient and easier to manage.

When is operational and intralogistics optimisation worthwhile?

An optimisation project is worthwhile when the operation fundamentally works, but performance, capacity or efficiency no longer match what the organisation needs.

That can become visible, for example, through:

• growing volumes without a proportional increase in available capacity;
• long driving or walking distances;
• recurring waiting times and congestion;
• goods that get moved multiple times before reaching their destination;
• a warehouse layout that no longer matches current goods flows;
• processes that rely heavily on exceptions or manual workarounds;
• departments that each function well individually but together create insufficient flow;
• a lack of space while it is unclear where the space is actually being lost;
• rising staffing costs without a clear improvement in output;
• investments in automation or equipment where it is not yet clear whether they solve the underlying problem.

Growth, too, can be a reason for optimisation. A process that worked well at 5,000 pallet movements a week does not necessarily deliver the same performance at 10,000 movements.

The right question then is not only how to increase capacity, but whether the current way of working is still the most logical way to reach the desired performance.

What does OctaFlow optimise?

Every operation has different characteristics and constraints. That is why optimisation does not start with a standard solution, but with understanding the existing situation. Depending on the question, we look at some or all of the following.

How does an optimisation project work?

1. Determining the goal and starting situation

   An optimisation project starts with establishing the reason and the desired result. What needs to improve? Is it about capacity, cost, throughput time, use of space, staffing, reliability, or a combination of these?

   We also map the key starting points and constraints. That prevents solutions being developed that look attractive in theory but turn out not to be workable in practice.

2. Analysing the current operation

   Next, we examine how the operation functions. Depending on the question, we use available data, process information, floor plans and on-site observations. We look at the actual goods flows, working methods and movements within the operation.

   Coherence matters most here. A process can look efficient on its own, while in combination with another process it actually causes delay.

3. Determining bottlenecks and improvement potential

   Based on the analysis, we map where the biggest opportunities lie. We look not only at what is not going well, but also at the cause and the consequences for the rest of the operation.

   A problem that appears to cost only a few minutes a day can have a significant operational impact when hundreds of employees or thousands of movements a week are involved.

4. Developing improvements

   The insights are then translated into concrete improvements. That can relate to, for example:

   • process design;
   • goods flows;
   • routing;
   • warehouse layout;
   • working methods;
   • capacity allocation;
   • deployment of people and equipment;
   • collaboration between departments;
   • automation or other technical solutions.

   We look for the solution that fits the organisation and its future development, not just the solution that delivers the fastest result today.

5. Prioritising and substantiating

   Not every improvement needs to happen at the same time. That is why we distinguish between measures that are relatively easy to introduce and improvements that require more preparation, investment or organisational change.

   The result is a realistic improvement agenda that makes clear what needs to happen, why it is needed, and what priority it has.

6. Guiding the next step

   When desired, OctaFlow can also support the next step. That can include further developing a solution direction, comparing alternatives, substantiating an investment, or guiding implementation.

From analysis to concrete improvement

The goal of optimisation is not a report describing what could be better. The goal is an operation that actually functions better.

That is why improvements are translated into concrete choices and practical measures wherever possible. Think of adjusting goods flows, laying out a warehouse differently, reducing unnecessary movements, redistributing work, or making better use of existing capacity.

Sometimes an optimisation project shows that a relatively simple process adjustment is enough. In other situations, a bigger change is needed, for example a different warehouse layout, additional automation, or a different way of organising work.

The solution follows from the question, not the other way around.

What does optimisation deliver?

A well-designed logistics process lets goods, people and resources move through the operation with as few unnecessary interruptions as possible. Depending on the question, optimisation can lead to:

• shorter driving and walking distances;
• less waiting time;
• better use of available capacity;
• lower operational costs;
• fewer unnecessary goods movements;
• better use of warehouse space;
• higher predictability of processes;
• better deployment of employees and equipment;
• more room for growth without immediately adding extra capacity.

The exact improvement differs per organisation. That is why a good optimisation project always starts with the current situation and the concrete objectives.

What does OctaFlow deliberately not do?

Operational optimisation does not automatically mean automation. A new system, extra equipment or a larger warehouse location can be a solution, but only when the underlying problem calls for it.

OctaFlow therefore does not work from a predetermined technology or supplier. We first establish where the operational need lies and what improvement is needed. Only then can it be determined whether a process adjustment is enough or whether an investment is necessary.

We also do not look only at the performance of one department. An improvement that speeds up inbound but then causes congestion at storage has not actually improved the total operation. The starting point is always the total flow.

When is optimisation not the right step?

Not every organisation needs an extensive optimisation project straight away. When it is still unclear where the main problems lie, an Operational Quick Scan can be a better first step. That establishes independently, first, where the main bottlenecks and improvement priorities lie.

When the problem is very specific, a targeted analysis can be more suitable, for example a question around material handling equipment, energy transition, safety, or an investment project.

The right approach therefore depends on the question that needs answering. Sometimes optimisation is the next step. Sometimes it starts with first understanding what is really going on.