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Johnson and Johnson: managing supply chain risk in healthcare
How Johnson & Johnson manages supply chain risk in health...
From falls to fatigue, warehouse labor needs to be as safe as it is productive. By implementing support systems and technology around workers, supply chains gain not only the benefit of a safe, pro-worker environment, but tools that increase adaptability and efficiency within the four walls.
Workplace injuries in the fulfillment and storage industries are a serious concern. In the EU, a 2017 report found that almost 18 percent of all fatal accidents at work took place within the transportation and storage sector. [1] Similarly, an Australian report found that the transportation, postal, and warehousing industries accounted for more than a quarter of workplace fatalities in 2016. [2] In Canada, transportation and storage is listed as the fifth most dangerous industry, with 16 workplace fatalities per 100,00 workers. [3] As for the U.S., in 2018 the Bureau of Labor Statistics found that there were 5.1 injuries for every 100 full-time workers [4] , with nearly 70,000 reported injuries requiring time away from work. [5] On top of that, the number of worker fatalities in the U.S. has been increasing year over year, from 11 in 2015 to 26 in 2018.
Fortunately, supply chain technology mitigates risk. For example, warehouse automation and robotics offer tools that put humans out of harm’s way. Supply chain and logistics will continue to shift towards these systems. In fact, some estimates project that the industry will be worth $27 billion by 2025. [6] Yet, as of 2019, only 4 percent of companies report having “highly automated” operations, while 42 percent use a mix of manual and automated processes. Of those surveyed, nearly half still rely mostly or completely on manual processes. [7]
By incorporating more robotics and automation into supply chain management, warehouse managers and fulfillment teams can eliminate inefficiencies, improve productivity and profits, and help keep workers safe. Here’s how...
The last safety concern we’ll touch on is training. Improperly trained employees are a major safety risk to themselves and others. Prevention is the best form of safety, and training is the key to avoiding issues before they happen.
Of course it’s key to provide critical training and onboarding; it’s also important to get workers on the floor as soon as possible. Some companies use voice technology to reduce training time while benefiting from the productivity boosts voice technology provides. We’ve seen voice reduce training from hours to under thirty minutes while still providing a thorough foundation for workers to be productive and safe.
Augmented and virtual reality (AR and VR) provide training simulations that allow workers to practice before stepping foot on the warehouse floor. This might be on the pricey side, but for those with particularly complex or intricate operations, these systems can reduce the learning curve and put workers in position for success (and safety).
Ultimately, warehousing is an essential part of supply chain management, and it’s important that orders are fulfilled without a hitch. Augmenting human workers with AMRs provides multiple benefits for everyone involved. Workers are kept safe from harm, and warehouse management teams will often see improvements in productivity and efficiency — both of which are crucial parts of an agile and well-organized supply chain.
Infios has been positioned as a Leader in the 2025 Gartner® Magic Quadrant™ for the seventh consecutive year.