When warehouse overtime refuses to match pick volume

A field checklist for tying overtime cost centres to wave releases and clock records inside warehouse applications.

Pallets staged in a distribution warehouse

Rising overtime with flat outbound volume is a common trigger for Warehouse Cost Allocation work. The mistake is to argue averages. Overtime lives in specific shifts and waves.

Align calendars first

Confirm whether finance accrues overtime by payroll week while the warehouse application reports by calendar day. Misaligned calendars create phantom spikes.

Ask for clock-in exports that include department or cost centre, then join them to wave or wave-batch identifiers. Gaps often appear on evening waves staffed “just in case” after last appointments cancel.

Separate agency labour

Agency hours frequently post to a different cost centre than permanent staff. Mix them and you will blame the wrong roster.

Close with one operational change

Findings that name a wave time or a cancelled-appointment rule travel further than a chart of “labour inefficiency.” Logistics cost analysis earns trust when it proposes a single adjustable lever.