What is a mispick?
A mispick is something that can happen in warehouses and distribution centers when an order is not fully completed for a variety of reasons. The act of getting an order together after it has been placed is called picking and a mispick can happen when there is an order within this process. There are four different types of mispicks than can happen.
The first type of mispick is when an item is completely left off from an order. The item is not packed and the customer does not receive the product. The second type is when an incorrect item is included in the order. This may be in replacement of the correct item, or just an additional item. The third mispick is when the wrong number of items is sent. The customer receives too little or too many of what they ordered. Lastly, when an item arrives to the customer damaged, or in unacceptable condition, that is also considered a mispick.
Now that you know what mispicks are, you may be wondering what the overall effects of them are to your warehouse or distribution center. On average, a single mispick can cost a company about $22; however, depending on the facility and what type of merchandise is being sold, it can cost up to $100. Annually, the typical business is facing up to $390,000 due to mispicks.
Another effect of mispicks is the cost of labor. This is because picking, packaging and sorting incorrect items wastes company time and money. These errors may lead the company to believe that they need more employees, costing them more money in the long run. In addition, consumers are less likely to repurchase from a company when they received incorrect or damaged orders.
During the holidays:
Mispicks can be costly to the company, but they also cause irritation to the consumer, especially during the holidays. Consumers are already on edge when waiting for gifts to arrive on time for the holiday season, and mispicks can cause an extreme headache and irritation during this time. When a package arrives incorrectly the customer has to take additional time to send the order back, contact the distributor and wait for the correct product to arrive. This puts them at risk to not receive their order in time for the holidays, ultimately upsetting them as well as giving your company a bad reputation.
How to prevent:
A big way to prevent mispicks, especially during the holiday season would be to assess your warehouse layout. This means assessing your processes and workflow to ensure constant flow, organization, storage capacity, space utilization and forklift utilization. All these things can ensure your warehouse is running smoothly throughout the holidays to avoid the possibility of mispicks. To further prevent the possibility of a mispick, you can establish a thorough number identification system to ensure proper picking and packing.
Not only can mispicks cost your organization money every time the error happens, but it causes stress and negative opinions from the consumer. Especially during the holiday season, make sure your warehouses and distribution centers are being diligent, detailed and efficient to ensure the smoothest sailing this season.