Cycle Time in Order Picking

Cycle time in order picking refers to the time it takes from the moment a picking order is created until the item is located, picked, and ready for the next step in the process – typically packing or shipping. In other words, it's a key metric for evaluating the efficiency of your warehouse operations and plays a central role in optimizing both delivery times and internal workflows.

Rackbeat October 31, 2025

Why Is Cycle Time Important?

A short cycle time is a strong indicator that your inventory management is running efficiently and without unnecessary disruptions. When items move quickly from the shelf to packing, you’re able to deliver faster to your customers – which boosts both customer satisfaction and competitiveness.

On the flip side, a long cycle time may point to bottlenecks in your processes, poor warehouse layout, or a lack of visibility in your inventory. And that costs both time and money. So, cycle time is not just about speed, but also about maintaining quality and stability in your operations. By tracking this key figure and working to improve it, you’re well on your way to a more scalable and professional warehouse setup.

How to Calculate Cycle Time

Cycle time is relatively easy to calculate – which is part of the reason why it’s a popular performance indicator. You simply divide the total time spent picking by the number of picking orders. The formula looks like this:

Cycle Time = (Total Picking Time) ÷ (Number of Picking Orders)

Example: If your warehouse employees spend a total of 400 minutes picking 100 orders, your cycle time is 4 minutes per order. That gives you a concrete number to assess whether your improvement efforts – such as smarter routing or zone-based picking – are having a real impact.

It’s also a KPI you should monitor continuously to spot fluctuations and trends over time.

How to Optimize Your Cycle Time

To turn cycle time into a competitive advantage, you need to optimize your processes, technology, and physical setup. First, your warehouse layout should be carefully considered – high-turnover items should be placed near the picking and packing areas. Then comes the picking method: Should you use single-order picking, batch picking, or zone picking? That depends on your business model and order volume.

Regardless of the method, a digital WMS is essential. It can automate many manual tasks, give staff real-time visibility, and reduce human errors. When combined with handheld scanners and up-to-date pick lists, your overall cycle time can be significantly reduced. On top of that, the technology allows you to collect data, so you can continuously evaluate and fine-tune your warehouse performance.

Cycle Time and Rackbeat

At Rackbeat, we know that a fast and accurate picking process is crucial for businesses handling physical products. That’s why our warehouse management system – Rackbeat WMS – offers a wide range of features designed to shorten your cycle time and boost efficiency.

With Rackbeat, you can:

  • Generate and access picking orders digitally

  • See exactly where each item is located in the warehouse

  • Distribute tasks and orders across multiple employees

  • Use the Rackbeat handheld scanner to register and confirm picks

  • Access real-time data so no one is working in the dark

Naturally, the system also integrates with your order management and purchasing management workflows, ensuring the entire value chain runs smoothly. This allows items to move quickly from receiving to shipping –  with no unnecessary delays or manual errors.

Want to Optimize Your Order Processing and Warehouse Operations?

Wondering how to make your picking more efficient, reduce your cycle time, and create a better flow in your order handling? Book a free, no-obligation meeting with one of our product specialists. You’ll gain insights into how Rackbeat can help streamline your warehouse processes and give you full visibility – without the need for a big IT setup. Book your free demo here:

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Related Terms

Warehouse Management System (WMS)
Batch Picking
Order Management
Pick and Pack
Handheld Scanner for Warehousing
Picking List
Warehouse Optimization
Inventory Value