The Assessment of Warehouse Management in the

Case of Ramsey Shoe and Leather Industry

Research Proposal

Course Code :

Tenagne Fekadu Beza

MBA: ID Number 7104/21
Admas University, Mekanissa Campus
Contents
1. Introduction ............................................................................................................................................... 1
2. Research Problem ..................................................................................................................................... 2
3. Research Objectives .................................................................................................................................. 2
3.1. General Objective ............................................................................................................................. 2
3.2. Specific Objective .............................................................................................................................. 2
4. Research Questions ................................................................................................................................... 3
5. Conceptual Framework ............................................................................................................................. 3
5.1. Effective use of Applicable Warehouse Mgmt. Manual ................................................................... 3
5.2. Collaboration from top Management, ............................................................................................... 3
5.3. Availability of Competent Employee................................................................................................ 4
6. Scope and expected limitation of the study............................................................................................... 4
7. Significant of the study ............................................................................................................................. 4
8. Methodology ............................................................................................................................................. 5
8.1. Types of Data .................................................................................................................................... 5
8.2. Method of Data Collection ................................................................................................................ 5
8.3. Collection of Data Tools ................................................................................................................... 5
8.4. Target population and Sample Size................................................................................................... 6
8.5. Data Analysis & interpretation ......................................................................................................... 6
9. Preliminary Literature Review .................................................................................................................. 7
10. Questionnaires ...................................................................................................................................... 9
11. References ........................................................................................................................................... 12
Introduction
Ethiopia has a long-term strategy to transform agriculture sector to industry sector. The strategy
emphasises to convert gradually the agricultural lead economy to the industry lead economy. The
growth of this Agricultural Lead Industrialization (ADLI) has still gone very slowly; the result
had not been achieved as expected.
There are different factors for the slow growth of agricultural transformation, the main factor
includes using streamlined and standardized operational procedure in the factory and boost the
company production, manage costs, expand markets, enhancing the company competitive
strategy, improve the company sustainability and profitability.

Warehouse Management en the factory continuously assesses the gap and apply better rules and
procedure it will be in a better position to achieve operational excellence of the organization.

This research will find out the solution for the current problem of Ramsay Shoe and Leather
Factory in regard to proper management of warehouse, the research will make a recommendation
and practicable solution and system of Ramsay Shoe and Leather Factory.

Ramsay Shoe Factory established in the early 1900s; it recognized as one of the pioneers and the
starter of modern leather products in Ethiopia.

Ramsay mainly engaged in production and exports all types of all types of shoes. The major
products of Ramsey shoe and leather factory produces men’s and women’s casual shoes, sports
shoes and working boots. Ramsey exports the products to international markets for European and
African’s, together with their design and brand name. In addition to international market,
Ramsey Shoe and Leather Factory have eight shopping centers in Addis Ababa and other
regions.

The factory has been procuring raw materials from local sources and abroad. The raw materials
of shoe and leather factory includes but not limited to industrial Fabric, Jute Fabrics, Narrow
Woven Fabrics, Mesh Fabrics, Polypropylene Fabric, Fiberglass Fabric, Reflective Fabrics,
Needle Punch Fabrics, Burlap Fabric, Aluminized Fabric, Bolting Cloth, Acetate Fabric, and
Inflatable Fabric.

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The research expected to contribute improving of management of warehouse in Ramsay Shoe
Factory. The research paper will try to determine other researchers undertaking similar research
Warehouse Management ich has a significant importance in the industry.
1. Research Problem
Proper warehouse management is an integral part of the organization. The organization
Warehouse Management o has an appropriate warehouse management has able to make the
supply chain smooth and streamline, Warehouse Management of course lead the organization to
have a strong system of sustainability profitability and competitive in the market.
Ramsay Shoe and Leather factory has one of the pioneer factories Warehouse Management
established in 1990’s to fil the gap of the leather and shoe industry in Ethiopia. Over the three
decades the factory has been using manual system of warehouse management and the problem
on the managing the warehouse goods has a significant problem in overall company
performance. The inventory and the warehouse recordkeeping, updating, reconciling has been
taking place in a manual system. Most often not using an automatic system has lack of clarity
and transparency. The factory fails to know the reorder level as fast as possible. The problem of
monitoring in and out of goods has undesirable consequence in managing the supply chain in
general. Weakening in supply chain has a direct impact on the company sustainable profitability
and competitiveness.
The objective of this research paper will be to investigate the system of warehouse management
in Ramsay Shoe and Leather Factory and to recommend the solution. The research will consider
the preferable and recommended method of managing warehouse.
2. Research Objectives
The general objective of the research will be giving a well understanding about the challenges of
the Warehouse Management System and assesses and the underlying factors that hinder the
company performance because of ineffective warehouse management.
The research will have a general and specific objective.
2.1.General Objective
The general objectives of the research will be to assess effectiveness of the current practice of
warehouse management.
2.2. Specific Objective
➢ To assess the current warehouse management manual,
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➢ To investigate the awareness and collaboration of the factory top management,
➢ To assess the capability of the employees assigned in the warehouse management,
3. Research Questions
Based on the research objectives, the case assessment of the research will try to answer the
below researchable questions.
➢ How the organization applies manual recording of warehouse management has been
undertaking in the factory?
➢ Does the factory top management has understood and collaborate on applicability of
warehouse manual.
➢ Does the organization have assigned competent employees in the warehouse section?
4. Conceptual Framework
This research intends to use the following conceptual framework; it defines the relationship
between independent & dependent variables for the research to be undertaken.

Effective and Applicable

Warehouse Mgmt. Manual

Collaboration from top Effective and Efficient Warehouse

Management Management

Availability of Competent
Employee

4.1.Effective use of Applicable Warehouse Mgmt. Manual

An organization that uses proper procedure and manual has a great chance of achieving its
objectives. A procedure manual is intended to support others in completing a certain task, so it
should be written with the readers in mind. The processes that are described should be clear and
logical, so that all readers can follow the procedure without difficulty. In the Warehouse
Management every organization expected to have a procedural manual, this manual has to be a
living document and it should include every step to accomplish the tasks and also has to include
the template to be used. The manual has to include a plan of updating in a regular basis.

4.2.Collaboration from top Management,

In applying rules, procedures and manuals the top management collaboration and supporting has
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a great benefit. Without the management understand and support the rules and regulation the
system will not be effective. The research paper intended to assess the support of management
and the willingness related to the application of the existing warehouse manual.
4.3.Availability of Competent Employee
Organization that has competent employee has a great advantage of to understand and to support
the achievement of the organization objective. Competent employees have been trained to be
able to do their jobs appropriately. Within an organization competency of employees required to
the development of knowledge and skills combined with certain attribute. The research paper
intended to access the learning and development of the employees, understanding of the existing
rules and regulation, awareness of the new technology and their preparedness to lead and
coordinate the intended recommended approach of the research study.
5. Scope and expected limitation of the study
Warehouse management is a broad concept. Warehouse Management en we talk about
warehouse, we must have in mind the concept of supply chain management in a broad. To assess
the warehouse management, it is preferable to assess the end-to-end process of the supply chain,
and this is unmanageable due to time and cost. The study will focus on the specific area of
supply chain management, Warehouse Management ich is warehouse. The study will focus on
the practice of Ramsey Shoe Factory on managing warehouse, due to time and resource
limitations, the research will focus on the internal factor of managing warehouse will not go to
the supplier side or the customer perspective of warehouse management. The research paper will
cover two financial years closing of the factory these are 2012 and 2013 E.C. Despite these
limitations, the cogency of the findings originating from this study will be very important, to
improve the warehouse management of the factory.
6. Significant of the study
Many literatures suggested that effective management of Warehouse Management has been
accepted as salient for the organization profitability and sustainable growth. Companies that have
standard rules procedures have a great chance of to effectively meet the organization objectives.

Using appropriate warehouse management will facilitate internal control; it’s a tool to
systematize the factory efficient use of resources.
Consequently, undertaking this kind of research is important to demonstrate the problem & the
way to solving the issue.
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7. Methodology
Based on the research objectives and questions, the researcher preferred descriptive method
Warehouse Management helps to describe the current effectiveness of the warehouse
management and practice & to propose the necessary recommendation to the factory
management Warehouse Management leads them to make the required decision.
Subsequently, the research will be undertaken by the quantitative approach method. The purpose
of quantitative research is to accomplish greater knowledge and thoughtful of the social world.
Consequently, the proposed research approach is quantitative; since quantitative research aims to
measuring a particular phenomenon, this approach is useful to study the relationship among
variables. The major good reason behind for the selection of this research approach is to propose
impartial recommendation for the improvement of warehouse performance.
7.1.Types of Data
To assess the effectiveness of warehouse management in the Ramsey Leather and Shoe Factory
the researcher planned to apply the primary and secondary data. The primary data includes the
collection of information through questionnaires and the secondary data will intend to include
collecting data from manuals, rules, regulations of the organization and the government as well.
The researcher will also use the previous research, journals and books Warehouse Management
ich will strengthen the research outputs. Assessing those documents are useful for the gap
analysis, to answer research questions related to rules & procedures, to go through in-depth the
process of warehouse management & its pitfall.
7.2.Method of Data Collection
The researcher will intend to collect the primary data by distributing appropriate questionnaires
and the secondary data planned to have by officially requesting the factory, government
authority, and library & internet sources.
To create a confidence, the researchers also will apply the informed consent to be signed by the
respondents of the participants Warehouse Management ich is going to participate in the research
study. Having this consent will help the research study to make the research confidential and
very well-thought-out Warehouse Management ich deal about data unveils to any party.
7.3.Collection of Data Tools
In the assessment of Warehouse Management Practice of Ramsey Shoe and Leather Industry, the
researcher intended to use close-ended questionnaires format. Applying proper decision the

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information has to be unbiased and accurate, the researcher will use this questionnaire to gather
data objectively. Having this type of the structured research questionnaires is very helpful to
gather impartial data.
7.4.Target population and Sample Size

Due to time, cost and resource constraints using the entire population will not be practical. Due
to the least bias sampling method, the researcher intended to use stratified sampling method.
Stratified sampling method is helpful to get relatively reliable data/
In addition, I propose to use stratified random sampling because it’s least bias sampling method,
consequently, to assure representativeness 40% sample will take from each department.
Out of the total population of 155 employees, the proposed required sample will be 43
employees; they are the staff of warehouse, finance, factory employees, Human Resource. The
researcher will select to use this staff since they are familiarity to the Warehouse Management
Process and due to they are facing & victims on the inefficiency of the warehouse management
process.

No Target Department Population Sample 40 %

1 Warehouse 12 5
2 Finance 7 4
3 Factory Employees 105 24
4 Human Resource 8 3
5 Sales and Casher 19 6
6 Marketer 4 1
Total 155 43
7.5.Data Analysis & interpretation
The researcher will apply Statistical Package for the Social Sciences/SPSS/ data analysis
software. This software is extremely useful to analyze and summarize data & it is preferred
model to manage wide range of data. By using the SPSS information, the research will present
the result by using charts, tables and graphs.
In analyzing and interpreting the research, the researcher will strictly follow the ethical
obligations on how the data analyzed, managed and reported in the study. Accordingly,
unforeseen, or undesirable findings have to be completely revealed.

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8. Preliminary Literature Review
The following are the definition of Supply Chain Management by the Chartered institute of
Supply Chain Management defines ‘’ Supply Chain Management (SCM) is the handling of the
flow of goods and services from the raw manufacturing of the product through to the
consumption by the consumer’’. Basically, supply chain has five main stages Warehouse
Management ich are developing a strategy of getting materials, production of goods or service,
distribution, and returns.
Supply chain starts from sourcing of goods, providing to the end user and obsolescence of the
goods. Warehouse management is the vital component of the broader Supply Chain Management
(SCM). Effective and efficient management of warehouse has a very importance benefit in
managing the entire supply chain of the organization, Warehouse Management helps for the
company competitiveness and sustainable profitability. s
Adapted from Van den Berg (2011) says a ‘’ Warehouse should be viewed as a temporary place
to store inventory and as a buffer in supply chains’’ It serves as a motionless unit – in the main –
corresponding product accessibility to consumer demand and as such has a primary aim
Warehouse Management is to enable the movement of goods from suppliers to customers,
meeting demand in a appropriate and lucrative manner’’
Warehouses are a considerable component of logistic operations, and an important contributor to
speed and cost in supply chains. Warehouse Management ile there are extensively accepted
standards for individual warehouse functions like order alternative, little is known about the
complete practical competence of warehouses.
The warehouses are playing a main role in each supply chain. Warehouses may be defined as
material handling stations devoted to receiving, storage, order-picking, buildup, sorting and
shipping of goods. But the role of warehouses in a supply chain is much wider. Such a
multifaceted situation has led to a significant interest in the design, planning and control of
warehousing.

With the increasing difficulty of supply chains, handling of information is attractive

progressively problematic. It is starting to play a main role in the efficiency of warehouses. So
different companies are coming up with new methods and strategies on how to manage this
information movement effectively in order to get a competitive advantage. The warehouses

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contain of a sequence of manual work such as picking, moving, categorization, etc. But
managing all the manual activities effectively is the challenge in the present. The purpose of a
good warehouse management system is to accomplish all these manual processes. They are
constructed in goal to control the inventory, equipment and amenities in order to progress the
total efficacy of the Warehouse Management.
But the usage of these systems doesn’t always give the expected results. This is due to factors
such as knowledge on IT, human factors, and incompatibility of Warehouse Management
operations with the Warehouse Management. Systems etc. These reasons vary from warehouse
to warehouse. So, these factors must be analyzed for each and possible improvements should be
found to improve the overall efficiency.

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9. Questionnaires

Section I: Respondents Profile:

26-35 year 36-45 y ears above 45 year

1. Age: 18-25 years
s
2. Sex: Male Fem al
e
3. Educational Qualification: Below college diploma Colle Degree diploma

First Degree Second Degree PhD and above

4. Current Position

5. Year of service in the current position:

Below 1 year 1 to 5 years 6 to 10 years year

bove1
0

Section II Main Questionnaire

Please indicate your choice by putting thick mark (√) on the appropriate cell. Where,

1 = Strongly Disagree, 2 = Disagree, 3 = Neutral, 4 = Agree, 5 = Strongly Agree.

Please indicate the degree to which you agree with the following statements
regarding the Warehouse Operation Management of Sugar Corporation at Corporate
Level.

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No Score
1 2 3 4 5
Effective and Applicable Warehouse Mgmt. Manual
(SD) (D) (N) (A) (SA)

Does the organization Warehouse Manual have a practical in the

factory
Does the organization is useful to manage the factory warehouse end to
end

There is computerized system that facilitates receiving, storing and

picking the required goods and products.

Does the organization manual is updated in a regular basis to

incorporate the changes

1 2 3 4 5
Collaboration from top Management (SD) (D) (N) (A) (SA)

Do the organization recognize and collaborate in managing warehouse?

Does the organization take measurement when the warehouse is not

going in accordance with rules and regulations?

Most of the time, in our warehouse there is accurate and up to date

information

1 2 3 4 5
Availability of Competent Employee (SD) (D) (N) (A) (SA)

There is enough skilled and professional manpower in the

warehouse.

Materials are readily accessible to customers at all time

Inventory is kept in a safe, secure place with limited general access.

The space between shelves and pallets is enough for movement of

staffs and customers.

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The warehouse has enough space to store goods and products.

There is accurate and up to date information in the warehouse

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10. References
• Gwynne Richards (2018) Third Edition Warehouse Management A complete guide to
improving efficiency and minimizing costs in the modern warehouse
• https://businessguide.ezega.com/Default.aspx?action=BussinessDetail&bid=1694845,
extracted on February 22, 2022
• https://1library.net/article/job-analysis-case-study-ramsay-shoe-factory.z144mrdz, extracted
on February 22, 2022
• Vienna, Jan Grumiller and Werner Raza (2019) The Ethiopian Leather and Leather Products
Sector: An Assessment of Export Potentials to Europe and Austria
• Institute of Material Management (2020) Logistics and Warehouse Management,
• https://www.americanwarehouses.com/blog/the-role-of-warehousing-in-supply-chain-
management, extracted on February 22, 2022
• https://www.cips.org/knowledge/procurement-topics-and-skills/supply-chain-management/,
extracted on February 22, 2022
• https://www.investopedia.com/terms/s/scm.asp extracted on February 22, 2022
• Jeroen P. van den Berg on 18 November 2015.

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