Your task is to produce a KPI Improvement$/$Implementation Plan for improving each of the KPIs that were identified in the report provided by the General Manager of Operations of VinaTalks Corporation during your last performance review. This written plan is to include your justifications for the improvements to be made based on the theories and best practices of operating and managing a warehouse and how they will impact those KPIs.

The three latest KPI measurements reported to you $($see below$)$ will help you to determine where you need to focus your attention. The red colored figures $(**)$ are where you need to launch a study, record your findings, share your recommendations, and implement a strategy. The green colored figures $(*)$ are a positive measurement for that KPI. These may help you to gauge how much effort is needed to report all green numbers by the time of the next warehouse audit.

KPI: Inventory Management

Measurement Calculations Results

Number of Days on Hand Avg Monthly $($$$)$ Inventory$/$Avg Daily Sales$/$Month $**41$ Days

Storage Utilization Avg Occupied m$^2/$Capacity $**60\%$

Dock to Stock D$.$T$.$S$.$ Hours$/$Total Receipts $**0\mathrm{.}75$ hours

Damaged Inventory Damage $($$$)/$Inventory Value $*0\mathrm{.}4\%$

KPI: Warehouse Performance

Measurement Calculations Results

Orders Per Hour Picked & Packed$/$Whse Hours $**4$ orders per hour

Items Per Hour Picked & Packed$/$Whse Hours $**80-100$ items per hour

Cost Per Order Whse Cost$/$Orders Shipped $*5\mathrm{.}04\%$

Cost as $\%$ of Sales Whse Cost$/$Overall Sales $*2\mathrm{.}08\%$

Safety $($Accidents per year$)$ Number of incidents per year $**6$

KPI: Order Fulfilment

Measurement Calculations Results

On$-$Time Delivery Orders On$-$Time$/$Orders Shipped $*96\%$ On$-$Time

Order Fill Rate Filled Complete$/$Orders Shipped $*90\%$ Complete Orders

Order Accuracy Error$-$Free Orders$/$Total Shipped $*93\%$ Error$-$Free

Order Cycle Time Ship Date$/$Order Date $**4$ Orders $48$ hours late

Perfect Order Completion Perfect Deliveries$/$Total Shipped $*95\mathrm{.}8\%$ Perfect Orders

YOU, the Warehouse Manager must use the information and layout$/$flow drawing provided above to determine the problems related to wasted or inefficient use of space, inventory management, warehouse performance and order fulfilment. You will investigate these areas as if producing a corrective action report $($CAR$)$ to identify, evaluate, determine the cause, make a recommendation, and a plan to implement the improvement.