Assignment Cover Sheet

This must be completed and added to the front of every assignment

Learner Name Himali Kaushalya De Silva

Learner Registration No.
Study Centre Name
Qualification Title
Unit Reference No.
Unit Title
Submission Date
AP 00256 /OTL7L062022
Apex Ed (Pvt) Ltd
OTHM Level 7 Diploma in Logistics and Supply Chain Management
T/508/0626
Business Research Methods
25th November 2022

Declaration of authenticity:
1. I declare that the attached submission is my own original work. No significant part of it has been submitted for
any other assignment and I have acknowledged in my notes and bibliography all written and electronic sources
used.
2. I acknowledge that my assignment will be subject to electronic scrutiny for academic honesty.
3. I understand that failure to meet these guidelines may instigate the centre’s malpractice procedures and risk
failure of the unit and / or qualification.

H.K. De Silva

Learner signature Tutor signature

Date: 25/11/2022 Date:

ASSIGNMENT COVER SHEET V3.0 | JULY 2019

1
 Apex Ed (Pvt) Ltd.

Assessing the impact of warehousing on production efficiency

In
Richard Pieris & Company PLC.

Research proposal
for
OTHM level 7 Post Graduate Diploma
in
Logistics and Supply chain management

By.
Himali Kaushalya De Silva.

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 Table of Contents

Chapter 01 ……….…………………………………………………………… 4
1.0 Introduction ………………………………………………………………… 4
1.a. Introduce the problem. ……………………………………………………. 4
1.b. Background of the problem ………………………………………............... 4
1.c. Research aims, objectives and questions …………………………………. 4
1.d. Limitations and scope of the proposed research ………………………… 5

Chapter 02 ………………………………………………………………………. 5
2.0. Introduction ………………………………………………………………… 5
2.a. Literature Review ………………………………………………………….. 6
2.b. Conceptual framework …………………………………………………….. 8

Chapter 03 ……………………………………………………………………….. 8
3.0. Introduction ………………………………………………………………… 8
3.a. Research design …………………………………………………………….. 8
3.b. Data collection ……………………………………………………………… 9
3.b.a. Data collection methods …………………………………………………. 9
3.b.b. Instrumentation ………………………………………………………….. 9
3.b.c. Data collection process …………………………………………………… 9
3.c. Population and sampling …………………………………………………… 9
3.d. Data analysis ……………………………………………………………….. 10

Chapter 04 ……………………………………………………………………… 10
4.a. Statement of Ethics ……………………………………………………….. 10

Chapter 05 ……………………………………………………………………… 11
5.a. Timeline (GANTT CHART) ……………………………………………… 11

Appendix 01 (List of references) ………………………………………………. 12

Appendix 02 (Questionnaire form) ……………………………………………. 13

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 CHAPTER 01

1.0 Introduction.

Introduce the problem, background of the problem, research project’s aims and
objectives, state the research questions, and the limitations and scope of the research
are all included in this chapter, which should explain the reasoning behind the study.

1.a. Introduce the problem.

Manufacturing businesses are under increasing pressure to develop innovative

methods to provide value and satisfy their consumers in the highly competitive global
marketplace of today. Develop more effective storage techniques to support
production as a result of businesses' growing requirement to compete with their
products on a worldwide market for cost, quality, and service. With the development
of mass production processes, warehousing has become recognized as a distinct
function.

1.b. Background of the problem.

This study is anticipated to assist Richard Pieris & Company PLC's management and
employees in enhancing the effectiveness of their current warehouse management
system. This study will help Richard Pieris & Company PLC enhance its storage
practices and procedures. It will support management in achieving production
effectiveness and efficiency, boosting their profitability and competitive edge. This
study will serve as a foundation for reducing the average lead time of manufacturing,
which will reduce customer dissatisfaction while also satisfying customer requests,
for the community and the country as a whole.

The goal of this study is to determine how Richard Pieris & Company PLC 's storage
practices affect production efficiency. This is a group of companies, with the main
branch in Nawinna and the central warehouse in Mattegoda. In Sri Lanka, they
specialize in the production of tyres, rubber, plastic, and furniture.

This research seeks to find out what are the non performing areas and limitations of
warehouse management of this company.

1.c. Research aims, objectives and questions.

The purpose of the study is to determine how warehousing affects the effectiveness of
production in industrial firms in Colombo district. Therefore, the primary goal of this
study is to identify areas where the warehouse management of Richard Pieris &
Company PLC has to be improved

This study's objective is to assess how warehousing affects the productivity of

manufacturing firms in Colombo while examining the factor related with Richard
Pieris & Company PLC. The following are the study's primary research objectives:

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  To highlight the impact of storage facilities on Richard Pieris & Company
PLS's production efficiency.
 To find out the effect of proper inventory control on productivity in Richard
Pieris & Company PLC.
 To point out the impact of maximizing use of space in warehouse on
production efficiency.
 To determine how Richard Pieris & Company PLC's warehouse management
systems and production efficiency relate to one another.
 To determine how Richard Pieris & Company PLC’s warehouse performance
affects productivity.

The following research questions are part of the study:

 What impact might storage facilities have on Richard Pieris & Company
PLC’s production effectiveness?
 How does proper inventory control affect production efficiency in Richard
Pieris & Company PLC?
 How does maximizing use of space in warehouse impact production efficiency
in Richard Pieris & Company PLC?
 How do warehouse management systems at Richard Pieris & Company PLC
relate to production efficiency?
 How does Richard Pieris & Company PLC’s warehouse performance effect
productivity?

1.d. Limitations and scope of the proposed research.

I will have some budgetary limitations when doing a study of this kind because of the
expense of creating and printing the questionnaires, transportation, and other
necessary research supplies. Due of my existing employment and other obligations, I
will also have time restrictions. The lack of reading materials on warehouse
management will restrict my research. Another drawback would be the attitudes of
my respondents at Richard Pieris & Company PLC. They might decide to suppress
some information that would be helpful to me, which would restrict my investigation.

The scope of this study will be limited to evaluating Richard Pieris & Company PLC
‘s present warehouse practices. I’ll hear back from the company’s management and
employees, especially those at the warehouse.

CHAPTER 02

2.0 Introduction.

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Warehousing is the process of storing things in a facility while maintaining a proper
environment. The specificity of this procedure must focus on those factors that have a
significant impact on production efficiency: i.e., storage facilities, inventory control,
maximize use of space, warehouse management systems and warehouse performance.

2.a. Literature review.

Storage facility
A warehousing storage facility is important to the supply chain. It also has a big
impact on operational efficiency, from inventory management to conveying things to
key clients. Because of breakthroughs in warehousing storage procedures and other
technological advancements, specialist storage fulfillment has grown in popularity
over the last decade. Work efficiency relates to the amount of labor, time, and raw
material needed to complete a task. (Anon, 2021).

A number of operations or actions are carried out within each modernize or

standardize storage facility utilized by manufacturing organizations to ensure the flow
of supplies and information. The primary activities in manufacturing businesses'
storage facilities include,

 Receiving -Receiving is the first and most important warehouse process. To

successfully complete the receiving process, the warehouse must be able to
verify that it has received the correct product, in the correct quantity, in the
correct condition, and at the correct time.

 Put-Away - The second warehouse procedure is put-away, which involves the

movement of products from the receiving dock to the best warehouse storage
site.

 Storage - Storage is the warehousing process of placing things in the most

appropriate storage area.

 Picking - Picking is the warehousing operation of gathering merchandise in

order to fulfill customer orders.

 Packing - Packing is the warehouse process of combining selected items in a

sales order and preparing them for shipping to the customer.

 Shipping - The beginning of the trip of the items from the warehouse to the
client is shipping, which is the last warehousing step. (H. Sunol,2020).

Storage facilities provide material flows and the delivery of high-quality goods to
clients, thereby meeting their needs for such goods. A manufacturing organization can
achieve production economies of scale when storage space is easily accessible to
support output.

Proper inventory control

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Sales, customer satisfaction, and revenue are all negatively impacted by poor
inventory management, which has a negative effect on an organization's performance.
By knowing what the customer wants, keeping correct inventory records enhances
customer service, boosts organizational productivity by guaranteeing that resources
are available when needed, and raises income by avoiding holding surplus inventory
that will eventually be written off. As a subset of business management, inventory
management is involved with creating guidelines that the company's inventory is
required to follow. It is the totality of all actions necessary for the purchase, retention,
transfer, and use of material. (CIPS,2020).

Maximize use of space.

The transportation of items into the best storage location is referred to as the
warehouse storage procedure. This is easier said than done, though. Warehouses
frequently run out of storage capacity as a result of variables like quick development,
seasonal peaks, and poor sales, according to James A. Tompkins and Dale A.
Harmelink. Being able to utilize all of the available space in your warehouse depends
on having an effective storage strategy in place. Without sacrificing efficiency,
effective warehouse storage keeps the stock management system in place. (H. Sunol,
2020).

Maintaining inventory visibility and accessibility can be helped by maximizing space

usage. solutions are an easy approach to boost output capacity and provide a high rate
of return on investment. Instead of spending money on a new warehouse that might
have the same problems with inefficiency, increasing storage space is a cost-effective
option that enables to make the most of your present area. (Anon, 2021).

Warehouse management system.

There is no other action that can be taken that will result in greater positive change
when it comes to increasing efficiency, lowering expenses, and raising customer
happiness than putting a warehouse management system in place. However, it would
be wiser to first determine what the organization's business needs are. Finding a
system that can interact with the present software and easily manage things like
inventory, labor, customer returns, and more is necessary if the goal is to streamline
operations and achieve cost savings. It's time to present a case for the chosen WMS
after determining its suitability for the company. Lower inventory levels, lower labor
costs, better reporting capabilities, and increased production efficiency are just a few
advantages of using a WMS. A WMS will assist in improving productivity and raising
output, which eventually lowers costs and raises profits. A WMS may automate
warehouse operations and get rid of labor-intensive manual procedures like data
collection on paper. This is also known as "paperless" storage. (D. Harvey,2022).

Measure warehouse performance.

KPIs can be used by warehouse managers to compare the productivity of their entire
workforce to goals. KPIs like productivity indicators can assist warehouse managers
in streamlining employee scheduling, performance evaluations, and assignments,
perhaps resulting in more productive workers. (Marak, S, 2022).

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 Category Measure
On time delivery %
Order Order fill rate %
Fulfillment Order accuracy %
Line accuracy %
Order cycle time hours
Perfect order completion
Orders per hour
Warehouse Lines per hour
Performance Items per hour
Metrics Cost per order
Cost as % of sales
Damage inventory %
Inventory Storage utilization %
management Dock stock time in hours
Inventory visibility hours
Definition
Orders On-Time/Total Orders Shipped
Orders filled complete/Total orders shipped
Error-free orders/Total orders shipped
Error-Free lines/Total lines shipped
Actual ship date minus/Total order shipped
Perfect deliveries/Total orders shipped
Orders packed/Total warehouse labor hours
Lines packed/ Total warehouse labor hours
Items packed/ Total warehouse labor hours
Total warehouse cost/Total orders shipped
Total warehouse cost/Total orders shipped
Total damage/Inventory value
Average occupied sqft/Total storage capacity
Total dock to stock ours/Total receipts
Receipt entry time/Physical receipt time

Table 01. Performance metrics of warehouse (Marak, S, 2022).

2.b. Conceptual framework.

A proper storage facility and a well-structured warehouse management system are

necessary for every manufacturing organization, such as Richard Pieris & Company
PLC, to improve production efficiency, which increases warehouse performance and
profitability. Production efficiency is often measured as the difference between the
actual output and the expected standard output.

Through proper storage layouts, material handling, efficient warehouse management

systems (WMS), and assuring the availability of technical and human resources to
fulfill the anticipated level of activity, businesses can maximize their storage space.
Key performance indicators (KPIs) must be considered in order to gauge production
efficiency and track warehouse performance.

CHAPTER 03

3.0 Introduction.

Research is the process of gathering knowledge that explains something to us and aids
in our decision-making. Thus, research technique refers to the formal procedures we
follow when conducting an investigation or asking questions. The research design,
data collection methods, population and sampling, data analysis, and budget are
covered in this chapter.

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3.a. Research Design.

This study will help to define the scope of improvements by examining the overall
effects of warehousing on the production efficiency of Richard Pieris & Company
PLC. The study will employ both quantitative and qualitative research models in
order to meet this goal. With the aid of standardized questionnaires and interviews
with the company management and staff members in the production and warehousing
departments, primary and secondary data will be gathered. This will assist me in
gathering statistical information as well as organizing the perspectives of staff
members who are really working in the warehouse and the production unit.

3.b. Data Collection.

The process of acquiring and analyzing data on certain variables in an established

system allows one to analyze outcomes and respond to pertinent inquiries. The main
data gathered from various respondents in Richard Pieris & Company PLC, will be
used in this study.

3.b.a. Data Collection methods.

Structured questionnaires and interviews with Richard Pieris & Company PLC
management and warehouse and production department personnel will be used to
collect primary and secondary data.

3.b.b. Instrumentation.

I want to use questionnaires to collect firsthand data/information from employees at

Richard Pieris & Company PLC in Mattegoda for this study. This is a relatively
popular approach of gathering primary data. A questionnaire is a document that the
researcher creates that contains a series of questions. These questions are either
directly or indirectly related to the problem of investigation. I choose to use a
questionnaire for the following reasons: low cost, bias-free, and respondents have
enough time to provide well-thought-out responses.

3.b.c. Data collection process.

Employees at Richard Pieris & Company PLC will be given questionnaires and will
be asked to answer a series of questions freely and easily. The goal of this research is
to collect both quantitative and qualitative data (triangulation) from the Central
warehouse Mattegoda. I will collect information from the General Manager,
accountants, warehouse supervisors, storekeepers, production supervisor, quality
control supervisors, operations manager, operators, plant attendants, and other
employees.

3.c. Population and sampling.

 Population
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There are 192 employees overall at Richard Peiris & Company, including
management and administrative level. They have three departments namely transport,
inventory/production, and logistics. Every person in this organization has a chance of
being chosen to complete the questionnaire and interview, but for the purposes of this
study, I will focus more on the staff members involved in production. As far as this
study is concerned, all departments have a direct relationship, which is why I chose to
gather more responses from them.
 Sampling
A sample is a portion of the accessible or target population that has been randomly
chosen to represent it. Data for this study will be gathered from the technical and
administrative staff engaged in the warehouse. As stated in the table below, data will
be gathered from 76 employees (40% of the target population).

Sample Population Number of employees

General managers 3
Inventory/production department 36
Logistics department 34
Transport department 3
Total 76

Table 02. Sampling size of employees at Richard Pieris & company PLC.

3.d. Data Analysis.

The translation of raw data into a form that is easy to understand and interpret is
referred to as data analysis. Data analysis gives it significance for its intended purpose
and uses it to generate information. Following the collection of data via
questionnaires, the data will be processed using tabulation and statistical format
utilizing measures of central tendency such as mean, median, mode and measures of
dispersion such as range, variance, standard deviations, and so on. To examine the
collected data, other statistical software tools will be employed such as Microsoft
Excel, SPSS, and FoxPro.

The standard tools used in statistical investigations are questionnaires and interviews.
After the topic was approved, the researcher was monitored by a supervisor for
validity and reliability.

CHAPTER 04

4.a. Statement of Ethics.

The researcher's top priority is to protect data confidentiality, which includes ethical
consideration. To safeguard the respondents' identities, the information obtained from
them must be treated confidentially. Respondents were free to provide any
information they deemed necessary in order to produce accurate and trustworthy data

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for the study project.

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 CHAPTER 05

5.a. Timeline (GANTT Chart).

Individual columns represent weeks

Month 2022/2023 November December January February March
1 1 2 1
Week start date 7 14 21 28 5 2 19 26 2 9 6 3 30 6 13 20 27 6 3 20 27
Start End 1 1 1 1 1
Activity Date Date 1 2 3 4 5 6 7 8 9 0 1 2 13 4 15 16 17 18 9 20 21
Identify research area 07/11/22 10/11/22                                          
Formulate research questions 10/11/22 13/11/22                                          
Literature review 13/11/22 20/11/22                                          
Develop theoretical framework 20/11/22 22/11/22                                          
Designing research 22/11/22 24/11/22                                          
Questionnaire design 25/11/22 30/11/22                                          
Data collection 01/12/22 04/12/22                                          
Data Analysis 05/12/22 08/12/22                                          
Statement of Ethics 09/12/22 12/12/22                                          
Write research proposal 13/12/22 20/12/22                                          
Questionnaire distribution 26/12/22 10/01/23                                          
Conducting interviews 15/01/23 10/02/23                                          
Observation 12/02/23 25/02/23                                          
Discuss of evidences and findings 26/02/23 15/03/23                                          
Writing first draft of Research 15/03/23 20/03/23                                          
Formatting and editing 20/03/12 23/03/23                                          
Write final report 23/03/23 27/03/23                                          
 Appendix 1

List of references.

blog.silverliningstorage.in. (n.d.). Why is storage space slotting important

and what benefits does it offer a warehouse? – silverliningstorage. [online]
Available at: https://blog.silverliningstorage.in/storage-space-slotting-
importance-and-benefits-in-warehouse-operations

Business.org. (2020). Types of Inventory Management. [online] Available at:

https://www.business.org/finance/inventory-management/types-of-
inventory-management/.
‌
Essential Business Guides. (2020). 21 Essential Warehouse KPIs To Measure
Performance - Zoho Inventory. [online] Available at:
https://www.zoho.com/inventory/guides/everything-you-need-to-know-
about-warehouse-kpis.html.

‌ arvey, D. (2022). Drive Productivity and Profitability With a Warehouse

H
Management System. [online] Signum Solutions. Available at:
https://signum-solutions.co.uk/drive-productivity-and-profitability-with-a-
warehouse-management-

LiveAbout. (n.d.). How to Maximize Your Warehouse Space Utilization.

[online] Available at: https://www.liveabout.com/maximizing-space-
utilization-2221378 [Accessed 17 Nov. 2022].

Luong, I. (2021). 6 must-have inventory control features. [online] World’s

#1 POS for Magento. Available at: https://www.magestore.com/blog/6-
must-have-inventory-control-features/ [Accessed 23 Nov. 2022].

‌ anagement, D.W. (2019). Top 5 advantages of using a storage unit.

M
[online] Collect A Store. Available at: https://collectastore.co.za/top-5-
advantages-of-using-a-storage-unit/ [Accessed 17 Nov. 2022].

Marak, S. (2022). Top Warehouse KPIs To Measure Performance In 2022.

[online] Available at: https://www.selecthub.com/warehouse-
management/warehouse-kpis.

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Storage. (2021). 4 Strategies To Increase Your Production Capacity | SEC
Storage. [online] Available at: https://sec-group.co.uk/storage/strategies-
increase-production-capacity/.

Sunol, H. (2020). 6 Primary Warehouse Processes & How to Optimize Them.

[online] articles.cyzerg.com. Available at:
https://articles.cyzerg.com/warehouse-processes-how-to-optimize-them.

Sunol, H. (2020). Warehouse Operations: Optimizing the Storage Process.

[online] articles.cyzerg.com. Available at:
https://articles.cyzerg.com/warehouse-operations-optimizing-the-storage-
process.

Appendix 2

Questionnaire Form.

A questionnaire form that can only be completed by Richard Pieris & Company PLC
staff at warehouse Mattegoda.

Dear respondents, the purpose of this questionnaire is to gather information on

production systems and warehouse management practices. There is no risk in
answering the questions below, and your answers will remain private.
Please tick/check (x) the boxes next to closed questions and provide detailed
responses to open-ended questions.

1. Personal Information.
(a) Age 21 – 30 31 – 40 41 - 50
51 - 60 Above 61

(b) Sex Male Female

(c) Level of education O/L A/L

Degree Above

Storage facility information.

2. Does this company have a warehouse?

Yes No

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3. If yes, What is the type of the company warehouse?
Distribution center
Public warehouse
Private warehouse
Bonded warehouse
Consolidated warehouse

4. What is your warehouse's maximum capacity?

100 – 500 metric tons
500 – 1000 metric tons
1000 – 2000 metric tons
2000 – 5000 metric tons
Above 5000 metric tons

5. Do you have warehouse equipments like pallets and measuring scales in your
warehouse?
Yes No

6. Are there methods for checking the raw materials received and the goods
shipped?
Yes No

If Yes, please specify

………………………………………………………………………………….
………………………………………………………………………………….
If No, please specify
…………………………………………………………………………………
…………………………………………………………………………………

Inventory management information.

7. What type of an inventory management do you have?

Raw materials
Works-In-Process
Repair and Operations
Finished Goods
Other (please specify) ……………………………………………

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8. Which method do you use when taking inventory?
First in-first out (FIFO)
Last in-first out (LIFO)
Weighted average cost (WAC) methods
Other (please specify) ……………………………………………

9. Do you use any of following inventory management techniques?

Just in time
ABC Analysis
Bulk shipment
Drop shipping

10. Do you use warehouse inventory management system?

Yes No
If Yes, please specify
………………………………………………………………………….

11. Do you have proper inventory system?

Yes No

Maximize use of storage information.

12. Do you have enough warehouse space?

Yes No

13. Which type of storage racks do you have?

Pallet racks
Carton flow racks
Cantilever racks
Mezzanines
Other (please specify) ……………………………………………

14. Do you use vertical space?

Yes No

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15. Select which 5-S and Lean Management Principles you use to Improve
Warehouse Space from the following?
Identify potentially unnecessary items in the warehouse
Place all necessary items in their optimal positions
Look for the root cause of every problem that arises
None of them

16. What are the methods do you use to reduce excess inventory?
Use the right forecasting system
Forecast at the right level
Measure forecast accuracy and track the result
Other (please specify) ……………………………………………

Warehouse management system information.

17. Does the company have a warehouse management system?

Yes No
If Yes, please specify …………………………………………………..

18. Is there any issue that has an impact on your business' warehouse management
function?
Yes No

19. If "yes" for Q.18, which of the following factors do you believe has the most
impact on warehouse management?
Excessive speeding up
Advance system operations
In accurate system operations
Issues with manual compassing
Other (please specify) ……………………………………………

20. What are the methods do you use for picking and put away?
…………………………………………………………………………..
…………………………………………………………………………...

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21. How much does your warehouse management system cost?
High setup cost
High stock cost
High order / setup cost
Other (please specify) ……………………………………………

Warehouse performance management information.

22. Are the staff in your warehouse well trained?

Yes No

23. Do you use KPI s to measure warehouse performance?

Yes No

24. How often do you measure warehouse performance?

1 – 4 months
1 – 6 months
1 – 12 months
1 – 2 years
Other ……………………………………………

25. What are the KPI s do you use to measure warehouse performance?
Inventory accuracy
Carrying cost of inventory
Inventory turnover
Inventory to sales ratio
Receiving efficiency
Cost of receiving per line
Receiving cycle time
Put away Accuracy rate
Put away cost per line
Put away cycle time
Picking accuracy
Total order cycle time
Order lead time

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 Backorder rate
Fulfillment accuracy rate
On-time shipping rate
Cost per order
Rate of returns
Accidents per year
Time since last accident

The end of questionnaire.

I appreciate your important contribution.

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