One of the main challenges for a warehouse manager is to match labor hours with work content. Handling a product in the least amount of time possible leads to reduced labor hours and, as a consequence, reduced cost. Depending on the operation, labor can be the single biggest cost within a warehouse. It can be between 48 and 60 per cent of the total warehouse cost depending on the amount of automation utilized. It is also the most difficult cost to control. In-handling makes up approximately 20 per cent of the total direct labor cost within a retail warehouse.
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