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WAREHOUSE CONCEPT VISION. Warehousing provides time and place utility for raw materials, industrial goods, and finished products, allowing firms to use.

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Presentation on theme: "WAREHOUSE CONCEPT VISION. Warehousing provides time and place utility for raw materials, industrial goods, and finished products, allowing firms to use."— Presentation transcript:

1 WAREHOUSE CONCEPT VISION

2 Warehousing provides time and place utility for raw materials, industrial goods, and finished products, allowing firms to use customer service as a dynamic value-adding competitive tool.

3 TYPES OF WAREHOUSES  PUBLIC  PRIVATE  CONTRACT  MULTI-CLIENT

4 RETAIL GROCERY & GENERAL MERCHANDISE FOOD & BEVERAGES MANUFACTURING & FINISHED GOODS WHOLESALE & DIRECT DISTRIBUTION DIFFERENT SECTORS OF WAREHOUSE

5 Grocery Cold Storage Apparel General Merchandise

6 Food & Beverages Dairy Industry Brewing Industry Packaged Goods Confectionary Snack Foods Tobacco

7 WHOLESALE & DIRECT DISTRIBUTION Pharmaceuticals Stationary Office Supplies CosmeticsSpare Parts Home DeliveryBooks/CD’s Industry

8 Electronics Chemicals Paper Products Pharmaceuticals Computer Products Appliances

9 Warehouse Functions

10 Material Handling  Loading & Unloading  Material Movement  Order Filling Information Handling  Goods Inwards & Outwards  Quality Check  Stock  Transit Damage & Breakage Material Handling  Loading & Unloading  Material Movement  Order Filling Information Handling  Goods Inwards & Outwards  Quality Check  Stock  Transit Damage & Breakage

11 Use one-storey facility Move goods in a straight line Use efficient materials-handling equipment Use effective storage plan Minimize aisle space Use maximum height of the building Ideal Facility for Pure Supplier Consolidation (Full Pallet Movement) Warehouse Space Requirements DESIGN CONSIDERATION

12  Location analysis techniques are available to assist in selecting a general area for warehouse location. Once location analysis is completed, a specific building site must be selected.  Three areas in a community may be considered for location: (1) commercial zones, (2) outlying areas served by motor truck only, and (3) central or downtown areas. The primary factors in site selection are the availability of services and cost.  The cost of procurement is the most important factor governing site selection.  Beyond procurement cost, setup and operating expenses such as rail sidings, utility expenses, taxes, insurance rates, and highway access require evaluation.

13 Warehouse Management Systems Warehouse Management Systems are a key part of the supply chain and provide directed stock rotation, intelligent picking derivatives, automatic consolidation, and cross docking to maximize the use of valuable warehouse space.

14 Warehouse Techniques….  RFID Information Availability Labor Pacing Material Tracking  Bar Coding Labor reduction Data Acquisition Accuracy Compliance Labeling

15 COSTS OF OPERATING A WAREHOUSE Capital costs — Costs of space & materials handling equipment Operating costs — Cost of labor


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