Optimizing Inventory Accuracy, Reducing OS&D Claims and Increasing Throughput
How Leverage identified warehouse process failures and oversaw automated pallet verification that improved order quality and reduced recurring labor and packaging costs.
$52K
Annual quality-control labor savings
$10K
Annual packaging material savings
Client
U.S.-based 3PL serving healthcare accounts
Sector
Healthcare logistics
Location
United States
Scope
Warehouse verification and quality-control modernization
Services
Warehouse & Distribution; Technology & Automation; Supply Chain Optimization
Manual processes undermined accuracy and control.
A U.S.-based third-party logistics provider was managing persistent order errors and inefficient quality-control practices for a flagship healthcare account. Manual verification, inconsistent labeling, and redundant wrapping contributed to elevated labor costs and unreliable shipment execution.
During a broader operational turnaround, Leverage assessed the warehouse operation and identified opportunities to strengthen receiving, shipment verification, and traceability. The findings led to a technology-enabled improvement initiative centered on automated pallet scanning and practical changes to daily workflows
What stood in the way, and what we were asked to deliver.
What stood in the way
-
Manual quality checks
Inconsistent verification contributed to shipment errors, damages, returns, and labor-intensive rework. -
Receiving documentation gaps
Missing shipment paperwork and required advance shipping notices forced time-consuming manual searches. -
Incomplete pallet identification
Inconsistent labeling limited pallet-level traceability and increased the risk of incorrect shipments. -
Processes that hindered scanning
Redundant green stretch wrap and label orientation prevented reliable use of automated verification equipment.
What we were asked to deliver
-
Improve order accuracy
Reduce shipment errors, damage-related claims, returns, and complaints through more reliable verification. -
Reduce quality-control labor
Minimize manual checking and direct employee effort toward shipments requiring intervention. -
Lower packaging costs
Eliminate redundant wrapping steps and unnecessary material use without compromising shipment quality. -
Strengthen shipment visibility
Create consistent pallet-level verification and photographic evidence to improve accountability and issue resolution.
Turning warehouse diagnostics into automated verification.
Leverage translated its operational assessment into a practical automation rollout, coordinating process changes with the 3PL and technology partner to strengthen shipment-level quality control.
Warehouse process assessment
Reviewed receiving documentation, quality checks, labeling, and handling practices to identify recurring causes of errors and excess labor. Prioritized the verification and traceability gaps that most directly affected customer service and operating cost.
Automation implementation oversight
Recommended automated pallet scanning and oversaw deployment with the 3PL and technology partner. Addressed scanning barriers and operational adoption requirements so the equipment could support everyday workflows.
Packaging and labeling redesign
Removed redundant green wrap from truckload shipments and standardized outward-facing pallet labels. These changes reduced packaging waste and improved scanner readability at key verification points.
Automated quality verification
Introduced automated SKU, lot, and quantity checks supported by photographic shipment evidence. Directed quality-control attention toward flagged exceptions and strengthened the basis for investigating potential shipping errors.
Leverage turned labor-intensive quality checks into proactive, technology-enabled shipment verification—catching damaged pallets before departure while reducing recurring operating costs.
What the client got.
Improved order accuracy and shipment quality
Automated verification identified damaged pallets before loading and contributed to fewer overage, shortage, and damage claims. The final case study reports performance above contractual quality KPIs.
Approximately $52K in annual labor savings
Reduced manual verification and quality-control staffing requirements lowered recurring labor expense by approximately $52,000 per year.
Approximately $10K in annual material savings
Eliminating redundant green stretch wrap from truckload shipments reduced packaging waste and saved approximately $10,000 annually.
Stronger visibility and accountability
Automated pallet checks and photographic evidence improved shipment verification and the ability to investigate exceptions before they reached customers.
Is your network built for where you are going?
- 60 minutes. No cost. No obligation.