7/24/2019 Lec 10 WMS

1/28

Warehouse Management:

Warehouse management & Logistics

Shujaat Mubarik

7/24/2019 Lec 10 WMS

2/28

2

THE ROLE OF THE WAREHOUSE INTHE LOGISTICS SYSTEM

The warehouse is where the suppl !hai"hol#s or stores $oo#s%

Fu"!tio"s o& warehousi"$ i"!lu#e

' Tra"sportatio" !o"soli#atio"

' (ro#u!t )i*i"$

' +o!,i"$

' Ser-i!e' (rote!tio" a$ai"st !o"ti"$e"!ies

7/24/2019 Lec 10 WMS

3/28

3

TY(E OF WAREHOUSING (u.li! Warehousi"$

(ri-ate Warehousi"$

Co"tra!t Warehousi"$

Multi/!lie"t Warehousi"$

7/24/2019 Lec 10 WMS

4/28

4

+ESIGN CONSI+ERATION

I#eal Fa!ilit &or (ure

Supplier Co"soli#atio"

0Full (allet Mo-e)e"t1

Warehouse Spa!eRe2uire)e"ts

7/24/2019 Lec 10 WMS

5/28

5

(RINCI(LES OF WAREHOUSELAYOUT +ESIGN

7/24/2019 Lec 10 WMS

6/28

6

WAREHOUSE (ROCESS(ut/awa

I#e"ti& (ro#u!tI#e"ti& (ro#u!tLo!atio"

Mo-e (ro#u!tsU

p#ate Re!or#s

Stora$eE2uip)e"tSto!, Lo!atio"'(opularit

'U"it Si3e'Cu.e

Shippi"$ (reparatio"(a!,i"$La.eli"$

Sta!,i"$

Or#er (i!,i"$I"&or)atio"Wal, 4 (i!,

5at!h (i!,i"$

Shippi"$S!he#ule CarrierLoa# 6ehi!le

5ill o& Loa#i"$Re!or# Up#ate

RECEI6INGS!he#ule CarrierU"loa# 6ehi!leI"spe!t &or#a)a$e

IN(UT

OUT(UT

7/24/2019 Lec 10 WMS

7/28

7

O57ECTI6ES OF EFFICIENTWAREHOUSE O(ERATIONS

(ro-i#e ti)el !usto)er ser-i!e%

8eep tra!, o& ite)s so the !a" .e &ou"#

rea#il 4 !orre!tl%

Mi"i)i3e the total phsi!al e9ort 4 thus the

!ost o& )o-i"$ $oo#s i"to 4 out o& stora$e%

(ro-i#e !o))u"i!atio" li",s with !usto)ers

7/24/2019 Lec 10 WMS

8/28

8

5e"e:ts o& Warehouse Ma"a$e)e"t

' (ro-i#e a pla!e to store 4 prote!t i"-e"tor

' Re#u!e tra"sportatio" !osts

' I)pro-e !usto)er ser-i!e le-els

Co)ple*it o& warehouse operatio" #epe"#s o"

the "u).er o& S8Us ha"#le# 4 the "u).er o&

or#ers re!ei-e# 4 :lle#%

Most a!ti-it i" a warehouse is )aterial ha"#li"$%

7/24/2019 Lec 10 WMS

9/28

9

Capital !osts

;Costs o& spa!e 4 )aterials ha"#li"$

e2uip)e"t

Operati"$ !osts

;Cost o& la.or

;Measure o& la.or pro#u!ti-it is the

"u).er o& u"its that a" operator !a"

)o-e i" a #a

COSTS OF O(ERATING A WAREHOUSE

7/24/2019 Lec 10 WMS

10/28

10

WAREHOUSE ACTI6ITIES Re!ei-e $oo#s

I#e"ti& the $oo#s

+ispat!h $oo#s to stora$e

Hol# $oo#s

(i!, $oo#s

Marshal ship)e"t

+ispat!h ship)e"t

Operate a" i"&or)atio"

sste)

7/24/2019 Lec 10 WMS

11/28

11

A!!epts $oo#s &ro)

< Outsi#e tra"sportatio" or atta!he# &a!tor

4 a!!epts respo"si.ilit

Che!, the $oo#s a$ai"st a" or#er 4 the .ill

o& loa#i"$

Che!, the 2ua"tities

Che!, &or #a)a$e 4 :ll out #a)a$e

reports i& "e!essar

I"spe!t $oo#s i& re2uire#

Re!ei-e $oo#s

7/24/2019 Lec 10 WMS

12/28

12

< ite)s are i#e"ti:e# with the appropriate

sto!,/,eepi"$ u"it 0S8U1 "u).er 0part

"u).er1 4 the 2ua"tit re!ei-e#

re!or#e#

I#e"ti& the $oo#s

+ispat!h $oo#s to stora$e< $oo#s are sorte# 4 put awa

Hol# $oo#s< $oo#s are ,ept i" stora$e 4 u"#er proper

prote!tio" u"til "ee#e#

7/24/2019 Lec 10 WMS

13/28

13

(i!, $oo#s< ite)s re2uire# &ro) sto!, )ust .e

sele!te# &ro) stora$e 4 .rou$ht to a

)arshalli"$ area

Marshal the ship)e"t< $oo#s )a,i"$ up a si"$le or#er are .rou$ht

to$ether 4 !he!,e# &or o)issio"s or errors=

or#er re!or#s are up#ate#

7/24/2019 Lec 10 WMS

14/28

14

+ispat!h the ship)e"t< or#ers are pa!,a$e#> shippi"$ #o!u)e"ts

are prepare#> 4 $oo#s loa#e# o" the

-ehi!le

Operate a" i"&or)atio" sste)< a re!or# )ust .e )ai"tai"e# &or ea!h

ite) i" sto!, showi"$ the 2ua"tit o"

ha"#> 2ua"tit re!ei-e#> 2ua"tit issue#>

4 lo!atio" i" the warehouse

7/24/2019 Lec 10 WMS

15/28

15

Ma*i)i3e pro#u!ti-it 4)i"i)i3e !ost> warehouse

)a"a$e)e"t )ust wor, with the&ollowi"$ Ma*i)i3e use o& spa!e

' spa!e is the lar$est !apital !ost

E9e!ti-e use o& la.or 4 e2uip)e"t

' la.or is the lar$est operati"$ !ost

' )aterial ha"#li"$ e2uip)e"t is the

se!o"# lar$est !apital !ost

7/24/2019 Lec 10 WMS

16/28

16

FACTORS INFLUENCING EFFECTI6EUSE OF WAREHOUSES

Cu.e utili3atio" a"# a!!essi.ilit

Sto!, lo!atio"

Or#er pi!,i"$ a"# asse).l

(hsi!al Co"trol 4 Se!urit / Ele)e"ts

C . ili i #

7/24/2019 Lec 10 WMS

17/28

17

Cu.e utili3atio" a"#a!!essi.ilit

< Goo#s store# "ot ?ust o" the @oor> .ut

i" the !u.i! spa!e o& the warehouse=

warehouse !apa!it #epe"#s o" how

hi$h $oo#s !a" .e store#

< A!!essi.ilit )ea"s .ei"$ a.le to $et at

the $oo#s wa"te# with a )i"i)u)

a)ou"t o& wor,

C . tili ti #

7/24/2019 Lec 10 WMS

18/28

18

Cu.e utili3atio" a"#a!!essi.ilit !o"ti"ue#

7/24/2019 Lec 10 WMS

19/28

19

Sto!,Lo!atio" O.?e!ti-es

' To pro-i#e the re2uire# !usto)er ser-i!e

' To ,eep tra!, o& where ite)s are store#

' To )i"i)i3e e9ort to re!ei-e> put awa>

a"# retrie-e ite)s

5asi! Sto!, Lo!ati"$ Sste)s

' Group &u"!tio"all relate# ite)s

to$ether

' Group &ast/)o-i"$ ite)s to$ether

' Group phsi!all si)ilar ite)s to$ether

'

7/24/2019 Lec 10 WMS

20/28

20

Fi*e# Lo!atio"

' S8U assi$"e# a per)a"e"t lo!atio"> 4 "o other ite)s are store#there

' Fi*e#/lo!atio" sste)s usuall ha-e poor !u.e utili3atio"

' Usuall use# i" s)all warehouses= throu$hput is s)all> 4 thereare &ew S8Us

Floati"$ 0Ra"#o)1 Lo!atio"' Goo#s store# where-er there is appropriate spa!e

' A#-a"ta$e is i)pro-e# !u.e utili3atio"

' It re2uires a!!urate a"# up/to/#ate i"&or)atio"

' Warehouses usi"$ @oati"$/lo!atio" sste)s are usuall !o)puter/.ase#

Sto!,Lo!atio"

!o"ti"ue#

7/24/2019 Lec 10 WMS

21/28

21

Sto!,Lo!atio"

!o"ti"ue#

Two other sste)s so)eti)es use# are

' (oi"t/o&/use stora$e

I"-e"tor store# !lose to where it will

.e "ee#e#

Use# i" repetiti-e )a"u&a!turi"$ 4

7IT sste)s

' Ce"tral stora$e

Co"tai"s all i"-e"tor i" o"e !e"tral

lo!atio"

7/24/2019 Lec 10 WMS

22/28

22

A#-a"ta$es o& (oi"t/o&/use Stora$e

' Materials are rea#il a!!essi.le to users

' Material ha"#li"$ is re#u!e# or

eli)i"ate#

' Ce"tral stora$e !osts are re#u!e#

' Material is a!!essi.le all the ti)e

Sto!,Lo!atio"

!o"ti"ue#

7/24/2019 Lec 10 WMS

23/28

23

A#-a"ta$es o& Ce"tral Stora$e

' Ease o& !o"trol

' I"-e"tor re!or# a!!ura! is easier to

)ai"tai"

' Spe!iali3e# stora$e !a" .e use#

' Re#u!e# sa&et sto!,> si"!e users #o "ot"ee# to !arr their ow" sa&et sto!,

Sto!,Lo!atio"

!o"ti"ue#

O # (i ,i #

7/24/2019 Lec 10 WMS

24/28

24

Or#er (i!,i"$ a"#Asse).l

Whe" a" or#er is re!ei-e#> ite)s

)ust .e o.tai"e# &ro) the

warehouse> $roupe#> 4 prepare# &or

ship)e"t> sste)s use#

' Area sste)

' Bo"e sste)

' Multi/or#er sste)

O # (i ,i #

7/24/2019 Lec 10 WMS

25/28

25

Area sste)

' Or#er pi!,er !ir!ulates throu$hout warehouse

sele!ti"$ ite)s o" a" or#er // or#er is rea# to ship

whe" or#er pi!,er is :"ishe#

Bo"e sste)

' Warehouse is #i-i#e# i"to 3o"es> 4 ea!h pi!,er

wor,s o"l i" a" assi$"e# 3o"e // or#er is #i-i#e#

. 3o"e> 4 the ite)s &ro) ea!h 3o"e are se"t to

the )arshali"$ area

Or#er (i!,i"$ a"#Asse).l !o"ti"ue#

Or#er (i!,i"$ a"#

7/24/2019 Lec 10 WMS

26/28

26

Multi/or#er sste)

' Sa)e as the 3o"e sste)> e*!ept that

ea!h pi!,er !olle!ts ite)s &or a "u).er o&

or#ers at the sa)e ti)e

Or#er (i!,i"$ a"#Asse).l !o"ti"ue#

7/24/2019 Lec 10 WMS

27/28

27

(HYSICAL CONTROL 4 SECURITY /ELEMENTS Goo# part "u).eri"$ sste)

Si)ple> well/#o!u)e"te# tra"sa!tio" sste)

' I#e"ti& the ite)

' 6eri& the 2ua"tit

' Re!or# the tra"sa!tio"' (hsi!all e*e!ute the tra"sa!tio"

Li)ite# a!!ess

' I"-e"tor )ust .e ,ept i" a sa&e> se!ure0lo!,e#1 pla!e with li)ite# $e"eral a!!ess

Well/trai"e# wor,&or!e

7/24/2019 Lec 10 WMS

28/28

28

Thanks