Speedy throughput sets industry standards

IT’S NOT the size of the warehouse but rather the speed of throughput that sets the industry standards. “Previously, cargo was spending more time in the warehouse, but now time pressures and client urgency are pulling the goods out of storage,” says Patrick Federle, MD of Birkart Globistics. “Companies are having to adapt their warehousing and equipment to meet these changing logistics needs.” The relatively lower cost of labour in South Africa compared to that in Europe is driving in-house warehousing solutions with more and more SA logistics companies opting for their own storage facilities. “European firms tend to outsource warehousing because of the labour costs and also because it allows them to focus on their core business,” says Federle. “Warehouses tend to be more sophisticated than SA operations, with pick-by-light and pick-by-voice solutions that are not available here and are far more efficient than manual picking. We are still quite far behind when it comes to automation.” That is not to say South African companies are in the dark when it comes to technology, although with Eskom these days, it may appear that way. “Security remains a big concern, which is why we rely on a full coverage network of CCTV cameras and high-tech alarms,” adds Durban operations manager Hutton Damant. “It is also critical to have an alert warehouse manager, someone who has come through the ranks and is prepared to get his hands dirty.” Birkart recently leased a 2000m2 facility in Sydney Road in Durban to take advantage of the growing demand for storage space. “Warehousing has emerged as a growth area over the last two years for us, and we will enhance our storage capabilities when we take occupation in March,” adds Hutton.