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Pick And Pack Cost Calculator

Cost the pick-and-pack step from lines per order, pick rate and the labour rate paid.

About Pick And Pack Cost Calculator

Pick cost is driven by lines rather than units, because each line requires a separate trip. Dividing lines by the hourly pick rate gives labour hours, and multiplying by the loaded wage gives the labour component. Pick rate is the single highest-leverage number in a warehouse: a 20% improvement removes a fifth of the labour requirement and the headcount that goes with it.

Formula

Pick And Pack Cost

Cost per order = lines per order ÷ picks per hour × labour rate + packaging

picks per hour
Lines a picker completes in an hour, the key productivity driver

Worked example

With the default values below, Pick And Pack Cost Calculator returns Pick and Pack Cost per Order of $1.760. Change any input above and every figure here is recalculated in your browser.

Inputs used

Lines per orderminimum 0.1
2.4
Lines picked per hourminimum 1
80
Fully loaded labour rate per hourminimum 0
22
Packaging cost per orderminimum 0
1.1
Orders per monthminimum 0
12,000

Results

Pick and Pack Cost per Order
$1.760
Labour Cost per Order
$0.660
Monthly Pick and Pack Cost
$21,120.00
Labour Hours Required per Month
360.0 h
Full-Time Equivalents Required
2.25

Step by step

  1. 1Values used
  2. 2Pick And Pack Cost
  3. 3Pick and Pack Cost per Order= 1.760
  4. 4Labour Cost per Order= 0.660
  5. 5Monthly Pick and Pack Cost= 21,120.00
  6. 6Labour Hours Required per Month= 360.0 h
  7. 7Full-Time Equivalents Required= 2.25

Assumptions and limits

  • The result is derived only from the 5 inputs listed above. Anything not among them is not part of the calculation.
  • In particular, this calculator does not take inflation, tax or compounding frequency into account.
  • Figures are rounded for display to 3 decimal places, so totals built from several rounded parts can differ slightly from the unrounded arithmetic.
  • This is an estimate for general information and not professional financial, tax or legal advice. See the full disclaimer for the limits that apply to this kind of calculator.

How these calculators are built and tested is described on the Methodology page. If a figure looks wrong, please report it.

Frequently Asked Questions

How is Pick And Pack Cost calculated?

Cost per order = lines per order ÷ picks per hour × labour rate + packaging Pick cost is driven by lines rather than units, because each line requires a separate trip. Dividing lines by the hourly pick rate gives labour hours, and multiplying by the loaded wage gives the labour component.

Why does Pick And Pack Cost matter?

Pick rate is the single highest-leverage number in a warehouse: a 20% improvement removes a fifth of the labour requirement and the headcount that goes with it.

What values do I need to enter?

This calculator takes 5 inputs: Lines per order, Lines picked per hour, Fully loaded labour rate per hour, Packaging cost per order, Orders per month. The pre-filled defaults are a realistic starting point — replace them with figures from your own environment for a result you can act on.

Pick And Pack Cost Calculator | Calcrivo