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Warehouse Productivity: What’s a “Good” Cases-Per-Hour Benchmark in 2025? [Explained]

Written by FHI | Oct 6, 2025 7:29:41 PM

For operations leaders, cases per hour (CPH) is the ultimate metric. It captures the relationship between labor input and output—showing how efficiently your distribution center (DC) converts work hours into shipped goods. But as automation, SKU proliferation, and omnichannel fulfillment change the landscape, the question becomes: What’s a “good” benchmark for warehouse productivity in 2025?

In this article, we’ll explore what defines strong warehouse productivity, the variables that influence it, and how leading operations are achieving higher throughput without burning out their workforce.

 

What Is “Cases Per Hour”?

Cases per hour (CPH) measures how many cases an associate or team processes in one hour. It’s calculated as:

Total cases handled ÷ Total labor hours = Cases per hour

It’s a foundational KPI for warehouse performance because it ties directly to:

  • Labor cost per case
  • Throughput efficiency
  • Forecast accuracy
  • Labor planning and scheduling

However, “good” looks different for every operation depending on product type, layout, automation level, and workforce management.

 

Industry Benchmarks for 2025

According to data published by Warehouse Education and Research Council (WERC, 2025) and Supply Chain Dive, average CPH benchmarks vary widely:

Operation Type Average CPH (2025) Top Quartile CPH
Grocery DC (mixed SKU) 180–250 300+
Retail DC 150–225 275+
E-commerce Fulfillment 75–125 150+
Food & Beverage (cold chain) 100–180 220+

📊 Note: Highly automated DCs can exceed 400 CPH, but manual operations with strong managed labor programs often close 20–30% of that gap through process discipline alone.

What Impacts Your Productivity Benchmark

  • Facility Design & Flow – Poor dock layouts or long travel paths add non-value time.
  • Labor Model – Pay-for-performance incentives and managed warehouse labor models consistently outperform hourly-only systems.
  • Training & Cross-Training – Teams trained across inbound, picking, and loading improve utilization.
  • Automation Mix – The right tech—RF scanners, conveyors, pick-to-light—multiplies human efficiency.
  • Data Visibility – Real-time metrics from systems like FHI’s INSITE allow instant course correction before throughput suffers.

 

What “Good” Really Means in 2025

A “good” CPH benchmark isn’t static—it’s one that improves month over month while maintaining accuracy and safety. The goal isn’t just to move more cases—it’s to do it consistently and profitably.

For example:

  • A 3PL DC improving from 150 → 165 CPH across 60 associates saves roughly 300 labor hours per week.
  • That translates to thousands of dollars in weekly cost-per-case savings.

 

How to Raise Your Cases-Per-Hour

  • Implement Standard Work – Define, document, and repeat best practices.
  • Incentivize Throughput + Accuracy – Balance speed with error-free performance.
  • Use Managed Labor Providers – Dedicated on-site management ensures goals are met and exceeded.
  • Track in Real Time – Use dashboards to monitor productivity per shift and identify bottlenecks.
  • Coach, Don’t Punish – Real gains come from coaching underperformers, not penalizing them.

 

FAQ / Q&A Section

Q1: What is the most important productivity metric in a DC?
Cases per hour (CPH) is the top metric because it connects labor efficiency to cost-per-case and throughput.

Q2: How do automation and managed labor interact?
Automation handles repetition; managed labor optimizes the human factor—ensuring people and systems work in sync.

Q3: What’s a realistic improvement goal?
Most DCs can safely increase CPH by 5–10% within 90 days using standard work and managed labor supervision.

Q4: Does higher productivity mean more safety risk?
Not if done correctly. OSHA-aligned ergonomic training and rotation schedules protect associates while sustaining performance.

Q5: How should productivity goals differ by shift?
Night or weekend shifts may operate 10–15% lower in CPH due to staffing mix—set realistic, shift-specific goals.

 

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