Order picking

Picking acts as the pacemaker for the performance of the entire supply chain, which is why methodological expertise in picking processes can be a key driver for seamless value creation.

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In logistics, order picking refers to the fundamental process of selecting items from a total product range on the basis of specific customer orders. As a key cost driver, accounting for up to 55 per cent of operational warehouse costs across all sectors, this process requires the utmost methodological precision and technological support. To optimise your supply chain in the long term, tailor-made picking methods must be implemented that minimise error rates and maximise throughput. As an experienced planning partner, ebp-consulting GmbH combines in-depth engineering knowledge with operational excellence to make your intralogistics future-proof and high-performing. Benefit from our scientifically grounded expertise and transform your warehouse into a strategic competitive advantage.

The definition of order picking encompasses the physical and IT-related process in which sub-sets are assembled from a pre-prepared total quantity in accordance with specific demand requirements. In modern distribution logistics, this operational step acts as an absolutely critical interface between internal material provision and external goods dispatch. An expert from ebp-consulting GmbH states: ‘The efficiency of order picking in the warehouse is a key determinant of delivery reliability and thus of customer satisfaction at the end of the entire value chain.’ Historically characterised primarily by manual activities, the focus in today’s planning scenarios is increasingly shifting towards algorithm-based route optimisation and automated material flows. The correct configuration of this system determines the profitability and scalability of the entire logistics site.

As a pragmatic architect of value chains, ebp-consulting GmbH never views order picking in isolation, but always as an integral part of your global supply chain management. Our Fraunhofer DNA guarantees you the highest methodological excellence, which we combine with strong operational implementation capabilities to ensure your logistics centres are future-proof. We consistently avoid one-size-fits-all standard solutions and instead develop bespoke automation and process concepts that are precisely calibrated to your product structure. From the initial feasibility study through the system tender to IT integration and go-live, we stand by your side as a neutral partner. Leverage our in-depth engineering expertise to secure a solid basis for decision-making regarding your upcoming logistics investments.

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The design of intralogistics requires a careful selection from the four picking methods, which can be divided into manual, automated and hybrid approaches. Each of these methods has specific investment requirements and performance limits, which is why an isolated assessment without taking material flow data into account is insufficient in practice. The classification fundamentally distinguishes between static provision (man-to-goods) and dynamic provision (goods-to-man), which is realised through modern automation technology. Statistical analyses of structural data show that incorrect decisions in the initial system selection can extend operational lead times by up to 30 per cent. As neutral logistics planners, we therefore always evaluate the optimal method rigorously and analytically based on your individual order structure, volume and product affinity.

Order-oriented serial picking

Order-based sequential picking is characterised by the fact that a single customer order passes through various storage zones one after the other until all items have been completely picked. This methodology drastically minimises the administrative consolidation effort in goods issue, as the items are already sorted by order in the corresponding collection bins. In operational practice, however, this concept often leads to longer throughput times if the distances between zones are not optimised using data-driven methods. Our project analyses clearly demonstrate that intelligent zoning and the reduction of handover points significantly increase the efficiency of this serial picking method. For companies with low order complexity and a manageable range of items, this classic approach remains an extremely cost-effective and robust solution.

Paperless picking and Pick by Light

Paperless picking eliminates error-prone paper documents and replaces them with digital assistance systems that guide staff through the process visually or audibly without error. A prominent and high-performance example of this is ‘Pick by Light’ order picking, where visual signals at the picking bin indicate the exact item location and the quantity to be picked. This technology drastically reduces unproductive search times and has been proven to lower the error rate to below 0.1 per cent. As experienced logistics consultants, we integrate such systems seamlessly into your existing IT architecture to ensure a continuous flow of information without risky data breaks. The investment in such digital assistance systems often pays for itself within 18 to 24 months in high-volume distribution centres.

Automated picking in the warehouse

Automated order picking represents the highest level of technological maturity, in which autonomous robotic systems or fully automated order-picking machines take over the physical gripping and transport processes. This technology realises its full economic potential particularly in the case of fast-moving stock items or in working environments that place a heavy ergonomic strain on staff. An expert from ebp-consulting calculates: “Fully automated systems can achieve picking rates of over 1,000 picks per hour per station, which is more than five times the manual throughput.” However, implementation requires highly precise master data quality and an absolutely error-free interface architecture to the higher-level Warehouse Management System (WMS). We provide detailed support in the impartial selection of a system and ensure the successful ramp-up of these capital-intensive installations.

An overview of picking methods:

Order-based, parallel picking

In parallel picking, complexity is managed through division: an order is split into several sub-orders, which are processed simultaneously in different warehouse zones. This massively reduces lead times, but requires a so-called ‘marriage point’ (consolidation point) where all parts are recombined to form the complete order. Statistical analyses show that this approach can reduce lead times by over 60% in large warehouses.

• Application focus: Time-critical distribution centres (e.g. same-day delivery) with extensive warehouse areas and a high number of items per order.
• Example: An electronics retailer where small parts (cables) are picked simultaneously from the shelf-based warehouse and large appliances (TVs) from the palletised warehouse, and are only combined at the packing station.
      
        

Batch-oriented, parallel picking (batch picking)

Batch picking is the ‘crowning achievement’ of route optimisation, as it involves picking items for a large number of orders in a single round. The separation of items for individual customers takes place either directly during picking (‘pick-and-pack’) or downstream at a sorting system. Our project experience shows that by increasing picking density, the proportion of travel time in the overall process can be reduced from the usual 55% to below 25%.

• Application focus: E-commerce and retail with a high number of single-item orders or very similar shopping baskets.
• Example: A fashion retailer on Black Friday, where 50 identical T-shirts are picked in a single batch for 50 different customers, rather than making 50 separate trips to the same storage location.

Paperless picking (Pick-by-Light/Voice/Vision)

Paperless picking transforms the flow of information from physical lists to digital, intuitive user guidance. Systems such as Pick-by-Light (visual signals at the bin) or Pick-by-Voice (voice-guided instructions) eliminate the cognitive ‘searching’ and leave the employee with both hands free for the physical picking process (‘hands-free’). An expert from ebp-consulting states: “The switch to paperless systems immediately reduces the error rate by an average of 85% whilst simultaneously increasing picking performance by approx. 20–30%.”

• Application focus: High-performance distribution centres with minimal error tolerance and high staff turnover (rapid onboarding of new employees).
• Example: A pharmaceutical wholesaler uses Pick-by-Light to ensure that, even under time pressure, there are absolutely no mix-ups with life-critical medicines..

The traditional order-picking process follows a strict algorithmic sequence, starting with order release, through route optimisation, to the physical picking of items and final confirmation. In the e-commerce sector, extremely fluctuating order volumes require highly flexible processes that can absorb order peaks on promotional days without significant drops in performance. In industrial spare parts logistics, on the other hand, the need for absolute process reliability is paramount, as shortages lead to costly machine downtime for end customers. By using detailed material flow simulations, we methodically identify bottlenecks in your process as early as the virtual planning phase, long before construction begins. A scientifically sound reorganisation of these process steps regularly leads to real productivity increases of 15 to 25 per cent in practice.

Steps in the picking process

Step 1: Order preparation and scheduling In the first step, the Warehouse Management System (WMS) consolidates incoming customer orders into optimised picking lists or digital batches to maximise picking performance per employee through intelligent order consolidation. This data-driven preparation eliminates the need for manual searching at an early stage and forms the algorithmic basis for an error-free process chain.

Step 2: Route optimisation and movement The picker or an autonomous transport system navigates to the target coordinates based on calculated routes to systematically minimise unproductive idle times, which often account for up to 50% of working time. In highly efficient systems, a precise distinction is made here between static staging (man-to-goods) and dynamic concepts (goods-to-man) to accelerate the material flow.

Step 3: Physical Picking (The Pick) At the storage location, the physical retrieval of the batch takes place, with digital assistance systems such as Pick-by-Light or wearable scanners verifying the exact quantity and item variant in real time. This step is the most critical phase for picking quality and, at ebp-consulting, is designed using technological safeguards to ensure that the error rate is reduced to virtually zero.

Step 4: Confirmation and stock reconciliation Immediately after the item is removed, the transaction is confirmed by the system, which means that the change in stock is recorded in the ERP system in real time, ensuring complete transparency regarding available quantities. This real-time feedback is essential for immediately identifying shortages and triggering automatic replenishment processes without delay.

Step 5: Handover and consolidation The picked items are placed in the designated handover zone, where the final consolidation of partial orders from different warehouse zones takes place for dispatch. This step completes the physical picking cycle and serves as the interface with packaging logistics and goods issue.