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Receiving and Put-away

of goods in Warehouse
Rohit Sharma
PGDM - 2013035
Receiving is the setup for all other warehousing activities. If we do not
receive the merchandise properly it will be difficult to handle it
properly in put-away, storage, picking or shipping.
If we allow damaged or inaccurate deliveries in the door, we are likely
to ship damaged or inaccurate shipments out of door.
The individual tasks of merchandise handling vary from one store to
another. The size of the delivery, the type of products, location for
receiving and method of tagging each play a vital part in merchandise
handling. However, the overall concept of receiving merchandise is
very similar across most retail stores.

Receiving Practise
Direct shipping
Vendors bypass warehouse completely and ship directly to the
All the labour, time and equipment normally consumed in warehouse
are eliminated
Opportunities for direct shipping includes large, bulky items, made to
order items and high consumer demand.
For Eg. Coca cola, Bisleri water
Cross Docking
Loads are scheduled for delivery into the warehouse from vendors
Inbound materials are sorted immediately into their outbound orders
Out bound orders are transported immediately to their outbound
Receiving staging or inspection is not required
Product storage is not required
Certain containerisation and communication requirement must be
met before high volume cross docking can be implemented
Requirement for cross docking
First, each container and merchandise/product must be automatically
be identifiable through a barcode label or RFID tag
Second, loads must be scheduled into the distribution center and
assigned to dock doors automatically
Third, inbound pallets or cases that will be cross docked should
contain single SKU or be configured for their destination to minimise
sortation requirements.
In addition to normal order flows, backorders, special orders and
transfer orders are good candidates for cross docking
The receiving function is often the need to hold material for location
assignment, product identification and so on.
This information can be captured ahead of time by having the
information communicated by the vendor ahead of time of shipment
Inbound load information can be captured on a smart card, enabling
immediate input of the information at the receiving dock
Load content can also be communicated in RF tags readable by
antennae located along major highways, at each receiving dock, on
lift truck and/or conveyors.
Internal logistics process from receipt of a load to when it is stocked
in its final destination within a warehouse.
Activities may include inspection, breaking down the load into more
mobile components, determining the appropriate destination,
preparing the destination location, transporting the items, and
physically stocking them.
Putaway Practice
Best practice is to put away product the same day; not doing so wastes
space, causes congestion, increases transaction errors, and makes product
more susceptible to damageall of which can reduce fill rates.
The put-away process is typically managed by staging product from the
receiving area, based on the purchase order, based on the part number, or
based on a put-away zone or by using direct delivery to the storage
The most efficient practice is to put-away directly from receipt to its final
location and is often the primary method used in best-practice companies.
This process uses the least space for staging, and product is handled less
and ready for use sooner.
Putaway Practice
Direct put-away programs do require a fairly sophisticated warehouse
management software (WMS) system that has the ability to assign
locations from an advanced shipment notice (ASN) or upon receipt to the
Automated conveyor systems that are capable of sorting and diverting
materials by zone and location can optimize the direct put-away process.
Best-practice companies also use their WMS to manage travel time from
receiving to storage areas, pick locations, and replenishment areas so that
the best put-away route can be selected.
The result is put-away travel paths sequenced based on the shortest route
for the product in the load, with reduced aisle conflicts and congestion.

Thank you