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Warehousing
Chapter8ChapterOutlineSpaceRequirementsTypicalStraight-thruFlowDesignofWarehousingTypicalStraight-thruFlowDesignofWarehousingTheMainActivitiesinaWarehousePartISpaceArrangementandWarehousingActivitiesPartII
TypesofWarehousing
OverviewofWarehousingPublicWarehousesValue-addedWarehousingPartIII
SupplementaryReading:Cross-DockingCrossdockWhyCross-dockingisPopularAmongRetailers?CriteriaforUsingCross-dockingOperationsPartI
SpaceArrangementandWarehousingActivitiesSpaceRequirementsThefirststepforwarehouselayoutistodeterminetheoverallspacerequirementsforallwarehouseprocesses.Thespacerequirementsforeachprocessshouldbecomputedandsummarizedtoestimatetheoverallbuildingrequirements.Anexampleforspacerequirementsforawarehouseisprovidedintable8-1.Table8-1WarehouseSpaceRequirementsProcessFloorspacerequirement(Sq.Feet)NotesandComments1.Receivingstaging30,000Assuming80%utilization2.Palletstorage120,000Atpeakinventory3.Casepicking25,000
4.Brokencasepicking15,000
5.Packing&unitizing15,000
6.Customizing20,000Assumes10%growthinvalue-addedservice7.Accumulation&sortation30,000
8.Shippingstaging30,000
9.Cross-docking15,000
10.Warehouseoffices15,000
11.Restrooms5,000
Subtotal320,000
Interactivityaisleallowance64,000@20%ofsubtotalTotal384,000
Spaceforreceivingandshippingisafunctionofthenumberofreceivingandshippingdockdoorsandtheturnaroundtimeforeachdock.Acommonpracticeistoallocateenoughstagingspacebehindeachdockdoortoaccommodateatruckload’sworthofmaterial.Floorspacerequirementsforpalletstorageandretrieval,casepicking,andbrokencasepickingshouldbecomputedaspartofthestorageanalysis.Floorspacerequirementsforpacking,unitizing,customizing,accumulation,andsortationshallconsiderthespaceneededforeachworkstation,thenumberofworkstationsrequired,andthematerialhandlingmethodsused.TypicalStraight-thruFlowDesignofWarehousingWarehousingactivityisanimportantlinkbetweentheproducerandthecustomer.Toillustratetheactivitiesinageneralwarehouse,wewillfirstlearnitsbasiclayout,whichcanbeclassifiedintofourtypes,accordingtotheactivitiesflowplanning:U-shaped,
straight-thru,modular-spine,ormultistoryflowpattern.Figure8-1illustratesanexampleofstraight-thruflowdesign.Itworkswellforoperationsinwhichthepeakreceivingandshippingtimescoincide.
Fig.8-1Company-operatedwarehouseactivitiesDespitethenameorrole,warehouseoperationshaveafundamentalsetofactivitiesincommon.Thefollowingactivitiesareperformedtosomedegreeinallwarehousingoperations.However,oneormoreofthemmaynotexistinagivenwarehouseorarecombinedwithotheractivities.Merchandiseandmaterialsarriveatwarehousesinlargequantityshipments.Thefirstactivityisreceiving.
TheMainActivitiesinaWarehouseMaterialreceiving:
Receivingisusuallytheunloadingofhighvolumeofsimilarproduct.Itinvolvesphysicallyacceptingmaterials,unloadingitfromthetransportationfacilities,verifyingquantityandconditionofthematerial,anddocumentingthisinformationasrequired.Lifttruckscanbeusedforreceiving.Removethegoods:Put-awaymeansremovingthegoodsfromthereceivingarea,transferthemtoastoragearea,movingthemtoaspecificlocationandrecordingthismovement.Thismovementismostlyhandledbyalifttruck.
Storage:Storageisthephysicalcontainmentofmerchandisewhileitisawaitingademand.Thestoragemethoddependsonthesizeandquantityoftheitemsininventoryandthehandlingcharacteristicsoftheproductoritscontainer.ReplenishmentReplenishmentoccurswhenmaterialisrelocatedfromstoragetoatemporaryresupplyareafromwhichordersaredirectlyfilled.Pickingproductaccordingtoorders
:
OrderSelectionisoneofthemajoractivitieswithinwarehouses.Itinvolvespickingtherequiredquantityofspecificproductsformovementtoapackingarea.Foreachorder,thecombinationofproductsmustbeselectedandpackagedtomeetspecificcustomerorderrequirements.Thetypicalselectionprocessiscoordinatedbyawarehousemanagementsystem.ChecktheproductsselectedCheckingmeansverifyinganddocumentingorderselectionintermsofproductnumberandquantity.
ProductpackingandlabelingPacking&markingreferstoplacingoneormoreitemsofanorderintoanappropriatecontainerandlabelingthatcontainerwithcustomershippingdestinationdataaswellasotherhandlinginformationthatmayberequired.Staging&consolidationforshippingStaging&consolidationmeansphysicallymovingmaterialfromthepackingzonetoashippingareabasedonaprescribedinstructionsrelatedtoaparticularoutboundvehicleordeliveryroute.Itmayinvolvesthesortationofbatchpickedforindividualordersandaccumulationofdistributedpickswhenanorderhasmorethanoneitemandtheaccumulationisnotdoneandthepicksaremade.LoadingonanoutboundvehicleShippinginvolvesloadingatransportationvehiclewithmaterialfromthestagingarea.Firmsmayuseconveyorsorlifttruckstomoveproducts.Shipmentcontentcheckingistypicallyrequiredwhenproductchangesownership.Itoftenincludethefollowingtasks:
Packagingmerchandiseinappropriateshippingcontainers;
Preparingshippingdocuments,includingpackinglists,addresslabelsandbillsoflading;
Weighingshipmentstodetermineshippingcharges;
Accumulatingordersbyoutboundcarrier;
Loadingtrucks(inmanycases,thisisacarrier’sresponsibility).AdministrationClerical/Officeadministrationreferstoallofthetasksrelatedwithkeepingtrackofitemsastheymoveinto,through,andoutofthewarehouse.
ObjectiveofwarehousingTheobjectiveofwarehouseoperationistoefficientlyreceiveinventory,possiblystoreituntilrequiredbythemarket,assembleitintocompleteorders,andinitiatemovementtocustomer.NewWordsandExpressionswarehousing/ˈweəhaʊzɪŋ/n. 入库;仓储floorspace/ˈflɔːspeɪs/ n.
占地面积unitize/ˈjuːnətaɪz/v. 单元化customize/ˈkʌstəmaɪz/v.
客户定制layout/ˈleɪaʊt/n.
布局;设计orderpick 订单分拣package/ˈpækɪdʒ/n. 包装;包装材料staging/ˈsteɪdʒɪŋ/v. 分批运输shippingdock 出货站台unload/ʌnˈləʊd/v. 卸下verify/ˈverɪfaɪ/v. 查验,验证lifttruck 叉车identify/aɪˈdentɪfaɪ/v. 确定,识别modular/ˈmɒdjələ/adj. 模块的coincide/ˌkəʊənˈsaɪd/v. 一致,符合sortation/sɔːˈteɪʃən/n. 分类accumulation/əˈkjuːmjəleɪt/n.
积聚,堆积物consolidate/kənˈsɒlədeɪt/v. 整合,合并,巩固administration/ədˌmɪnəˈstreɪʃən/n. 管理PartII
TypesofWarehousingOverviewofwarehousingDifferentformsofwarehousesWarehousingisanintegralpartofalogisticssystem.Thereareestimated750,000warehousefacilitiesworldwide,includingprofessionallymanagedwarehouses,andcompanystockrooms,garagesandevengardensheds.Twooptionsofwarehousing:public&privatewarehousing:Whenafirmdecidestostoreproduct,itfacestwowarehousingoptions:rentedfacilities,calledpublicwarehousing,orownedorleasedfacilities,calledprivatewarehousing.Comparingthetwooptions:Firmsmustexaminecloselytochoosebetweenthetwooptions.Forexample,thepriceofapublicwarehouseismostprobablyhigherbecauseitwillbeoperatedataprofit;itmayalsohavesellingandadvertisingcost.However,afirmmakesnoinitialinvestmentinthefacilities.Forcustomerservice,privatewarehousingcangenerallyprovidehigherservicelevelsbecauseofitsmorespecializedfacilitiesandequipment,anditsbetterfamiliaritywiththefirm’sproducts,customersandmarket.
Insomeinstances,innovativepublicwarehousescanprovidehigherlevelsofserviceowningtotheirexpertiseandstrongcompetitivedrivetoservethecustomer.Inthefollowing,wewilldiscussaboutpublicwarehousing.PublicWarehousesTypesofpublicwarehouses:PublicWarehouses.Therearemanytypesofpublicwarehouses,including:(1)generalmerchandisewarehousesformanufacturedgoods(2)refrigeratedstoragewarehouses(3)bondedwarehouse(4)specialcommoditywarehouses(5)bulkstoragewarehousesWarehousesforgeneralmerchandise:General
MerchandiseWarehouse.Thegeneralmerchandisewarehouseisprobablythemostcommonform.Itisdesignedtobeusedbymanufacturers,distributors,andcustomersforstoringalmostanykindofproduct.Warehousesforrefrigeratedproducts:RefrigeratedWarehouses.
Refrigeratedorcoldstoragewarehousesprovideatemperature-controlledstorageenvironment.Theytendtobeusedforpreservingperishableitemssuchasfruitsandvegetables.However,anumberofotheritems(e.g.,frozenfoodproducts,somepharmaceuticals,photographicpaperandfilm,andfurs)requirethistypeoffacility.Warehousesforspecialcommodities:SpecialCommodityWarehouses.Specialcommoditywarehousesareusedforparticularagriculturalproducts,suchasgrains,wool,andcotton.Ordinarilyeachofthesewarehouseshandlesonekindofproductandoffersspecialservicesspecifictothatproduct.
Warehousesforbondedproducts:Bonded
Warehouses.
Somegeneralmerchandiseorspecialcommoditywarehousesareknownasbondedwarehouses.Goodssuchasimportedtobaccoandalcoholicbeveragesarestoredinthistypeofwarehouse,althoughthegovernmentretainscontrolofthegoodsuntiltheyaredistributedtothemarketplace.Theadvantageofthebondedwarehouseisthattheimportdutiesneednotbepaiduntilthemerchandiseissold,sothattheimporterhasthefundsonhandtopaythesefees.WarehousesforbulkcargoesBulkStorageWarehouses.
Bulkstoragewarehousesprovidetankstorageofliquidsandopenorshelteredstorageofdryproductssuchascoal,sand,andchemicals.
Value-addedWarehousingSevenwaysofaddingvalueinwarehousingWarehousingoperationshavepotentialtoaddnewvaluetocustomers.StorageAccumulation.Itreferstotheuseofawarehousetostockpileandtohandleoverflow.Suchoverflowcapabilitiesareneededintwosituations:
Oneinvolvesseasonalproductionandleveldemand;theotherarisesfromlevelproductionandlumpydemand.
Postponement.Postponementmeanstheuseofawarehouseasafinalstepdefermentorpostponementuntilacustomerplacesanorderforaspecificquantity.Hereistheopportunitytomanufacturelongrunsofastandardproductandstoreitinlargequantitieswithoutfearofhavingtoomuchofanything.
Itallowsyoutoreduceyourinventoryvolumeoffinishedproductwhilestillprovidingahighlevelofservice.
SevenwaysofaddingvalueinwarehousingOrderConsolidation.Itusesawarehousetogatherproductwhichistobeshippedtoafinaldestination.Thistypeofoperationisusedtoassembleanorderoffinishedproductsfromseveraldifferentsources.HubandSpokeDistribution.Inahubandspokeconcept,fulltruckloadsofproductarereceivedintothehubDC(thehubwheretheloadisbrokendownforredistribution)and/oritiscrossdockedtothelimitedlineitem(smallerspokes)DCsdownstreamonadailybasis.Thistypeofdistributionoperationwillbeanetworkoflargeregionalorcentralized,full-lineitemDCsthatsupportoutlying,limitedlineitemDCsdownstreamfromthehubDCfacility.
SevenwaysofaddingvalueinwarehousingProductTransformation.Producttransformationmeanseitherusingofawarehouseasacentralgatheringpointfortransformingaproducttoashelf-readystateinamanufacturingorretailenvironmentoralteringinventorytomeetcustomerspecifications.Thismayincludesuchvalue-addedservicesaslightassembly,configuration,packagingandlabeling,kitting,orcustomunitloading.
OrderAssembly.Orderassemblyreferstotheuseofawarehousetofulfillunpredictableorderpatterns,toaccommodateabroadSKUmixandshipsame-dayorders,aswellastousecrossdockswheneverpossible.Thismayalsoincludevalue-addedservicesaskitting,sequencing,pre-assembly,packaging,unitizing,tagging,labeling,andticketing.
SevenwaysofaddingvalueinwarehousingProductMixing.Productmixingrefersusingofawarehousetocombineitemsintheentireproductlineforasinglemanufacturerfromproduct-orientedmanufacturingfacilitiesindifferentlocations.Thisconceptallowsthosecustomerswhowishtoordermixedpalletloads,truckloads,orcontainerloadsoftheentireproductline.
NewWordsandPhrasesintegral/ˈɪntəɡrəl/adj.facility/fəˈsɪləti/n.stockroom/ˈstɒkrʊm/n.familiarity/fəˌmɪliˈærəti/n.innovative/ˈɪnəvətɪv/adj.perishable/ˈperɪʃəbəl/adj.pharmaceutical/ˌfɑːməˈsjuːtɪkəl/n.customerservicecompetitivedrivespecializedfacilitiesprivatewarehousingpublicwarehousingbulk/bʌlk/adj.bulkcargophotographicpapertemperature-controlledshelter/ˈʃeltə/n.postponement/pəʊstˈpəʊnmənt/n.hubandspokeassembly/əˈsembli/v.n.完整的,必需的组成部分设施,设备,工具储藏室熟悉,了解创新的,革新的易腐烂的,易变质的药物客户服务竞争驱动力特殊设施,专用设施自用仓库公共仓库大量的,大批的大宗散装货物照相纸温控的掩蔽处,遮蔽处延期,推迟;延期的事轴辐式装配,集会;[机]装配,供装配的零件PartIII
SupplementaryReadingCross-dockingCrossdock:Crossdocksarehighspeedwarehouses.Ifanarrivingitemhasalreadybeenrequestedbyacustomer,thereisnoneedtostoreitasanticipationinventory;instead,theitemcanmovedirectlyfromreceivingtoshipping,withoutintermediatestorageandretrieval.Thustheitemcanmovemuchmorequicklythroughthefacilityandthemostcostlypartofwarehouselaborcanbeavoided.Inahigh-volumecrossdocktheturnovertimesmaybemeasuredinhours.Tosupportthisvelocityofmovement,acrossdockmaybenothingmorethanaslabofconcretewitharoofandwallspunctuatedwithdoorsfortrailers.Freightispulledoffarrivingtrailers,sortedandloadedontodepartingtrailerswithoutintermediatestorage.
Thereislittleornostorageprovidedinacrossdockbecauseitemsdonotstaylongenough;butthereisgenerallyalotofmaterial-handlingequipment,suchasforkliftsandpalletjacks,tomovefreight.Laborisfrequentlythemaincostanditisdevotedtounloadingincomingtrailers,movingthefreighttotheappropriateoutgoingtrailers,andloading.Consequently,theissueswithinacrossdockarethoseofmaterial-handlingandproductflowratherthanlocationandretrieval.
Fig.8-3CrossdocksbuiltinvarioustypesWhycross-dockingispopularamongretailers?Becauseofitsimpactoncostsandcustomerservice,cross-dockingisbecomingpopular,especiallyamongretailers.Forexample,approximately75percentoffooddistributioninvolvesthecross-dockingofproductsfromsuppliertoretailfoodstores.Thebiggestimpactofacrossdockisonreducingtransportationcosts.Thiscanbeachievedbyconsolidatingmultipleshipmentssothatfulltruckloadscanbesent.TheHomeDepotisamajorretailerandthelargestuserofLess-than-Truck-Load(LTL)shippinginNorthAmerica.Nowadays,LTLcostsabouttwicethecostofTruckLoad(TL)shipping,sothereisastrongincentivetofilltrailers.TheHomeDepothasbegundoingthisbyhavingvendorsshipfulltrailerstoitscrossdock.(Thetrailersarefullbecausetheyholdproductformanystores.)Atthecrossdocktheproductissortedoutforindividualstoresandconsolidatedwithproductfromothervendorsboundforthesamestore.Theresultisthateachstorehasenoughfreightorafewcloseneighborsgenerateafulltruckloadfromthecrossdock.Theresultcanbeconsiderablesavings.Additionalbenefitsincludelessinventory(becauseallproductflowsrightthrough)andlesslabor(becauseproductdoesnothavetobeputawayandlaterretrieved).
CriteriaforUsingCross-dockingCross-dockingshouldbeconsideredasanoptionbyfirmsmeetingtwoormoreofthefollowingcriteria:
Inventorydestinationisknownwhenreceived.
Customerisreadytoreceiveinventoryimmediately.
Shipmenttofewerthan200locationsdaily.
Dailythroughputexceeds2,000cartons.
Morethan70percentoftheinventoryisconveyable.
Largequantitiesofindividualitemsreceivedbyfirm.
Inventoryarrivesatfirm’sdocksprelabeled.
Someinventoryistimesensitive.
Firm’sdistributioncenterisnearcapacity.
Someoftheinventoryisprepriced.OperationsMostcrossdockingfreightterminalsarelaidoutaslong,narrowwarehouseswithdoorsaroundtheperimeter.Fig.7-5illustratesatypicalterminal,wherethesmallshadedrectanglesrepresentincomingtrailerswithfre
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