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Warehousing Management: - Objectives of Efficient Warehouse Operations
Warehousing Management: - Objectives of Efficient Warehouse Operations
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Warehousing Management
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Warehousing Management
Costs of Operating a Warehouse
Capital costs
costs of space & materials handling equipment
Operating costs
cost of labor
measure of labor productivity is the number of
units that an operator can move in a day
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Warehouse Activities
Receive goods
Identify the goods
Dispatch goods to storage
Hold goods
Pick goods
Marshal shipment
Dispatch shipment
Operate an information system
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Warehouse Activities
Receive goods
accepts goods from outside transportation or
attached factory & accepts responsibility
check the goods against an order & the bill of lading
check the quantities
check for damage & fill out damage reports if
necessary
inspect goods if required
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Warehouse Activities
Hold goods
goods are kept in storage & under proper protection until needed
Pick goods
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items required from stock must be selected from storage & brought to
a marshalling area
Warehouse Activities
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Warehouse Activities
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Warehouse Activities
Factors influencing effective use of
warehouses
cube utilization and accessibility
stock location
order picking and assembly
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Warehouse Activities
Cube utilization and accessibility
Goods stored not just on the floor, but in the
cubic space of the warehouse; warehouse
capacity depends on how high goods can be
stored
Accessibility means being able to get at the
goods wanted w/ a minimum amount of work
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Warehouse Activities
Stock Location
Objectives:
To provide the required customer service
To keep track of where items are stored
To minimize effort to receive, put away, and retrieve items
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Central storage
Contains all inventory in one central location
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Warehouse Activities
Order Picking and Assembly
When an order is received, items must be
obtained from the warehouse, grouped, &
prepared for shipment, systems used:
Area system
Zone system
Multiorder system
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Warehouse Activities
Zone system
Warehouse is divided into zones, & each picker works only in an
assigned zone -- order is divided by zone, & the items from each
zone are sent to the marshaling area
Multiorder system
Same as the zone system, except that each picker collects items for
a number of orders at the same time
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Limited access
Inventory must be kept in a safe, secure (locked) place with
limited general access
Well-trained workforce
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Cycle Counting
A system of counting inventory continually
throughout the year
Advantages of cycle counting:
Timely detection & correction of problems
Complete or partial reduction of lost production
Use of personnel trained & dedicated to cycle counting
Count frequency
Number of times an item is counted in a year
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Methods used
ABC Method
Zone Method
Location Audit System
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