Warehouse, Information System

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    - Riddhi M Sanghavi

    -(19028)

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    Awarehouse is a commercial building used for storage

    of goods

    Awarehouse is normally used by manufacturers,

    importers, exporters, wholesalers, transport businesses,customs and many other industries.

    Traditionally warehouses are used for:

    - receiving of goods from a source

    - storing of the goods until they are required- picking of the goods when they are required

    - shipping the goods to the appropriate users

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    The primary role of a warehouse and distributioncenter is to facilitate the movement of goods fromsuppliers to the customers and by doing so whilemeeting to customers demand and in a cost effective

    manner. In order to achieve efficiency in supply chain, stocks

    have to be kept, but this is not the main role of awarehouse.

    Stocks may be hold for contingencies, or to enablerapid customer service, or in preparation for a newproduct launch.

    But in the most basic purpose of a warehouse, it is thetransshipment area from where all the goods receivedare dispatched as effectively and efficiently as possible.

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    Reasons for holding stock include the following.

    -As a buffer/consolidation point between twoproduction processes

    - To cover demand during suppliers' lead-time- To enable savings to be made through bulkpurchases or discounts

    - To cope with seasonal fluctuations

    - To provide a variety of product in a centralized

    location- The build up/holding of anticipation stocks (forexample,before a new product launch)

    - The build-up and holding of investment stocks

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    Warehouses and distribution centers have become

    integral parts of the supply chain, and are increasingly

    pressured to do more with less. Therefore there is a

    pressure to perform better in warehouses.Warehouses today are often referred as distribution

    centers, operation centers, or fulfillment warehouses.

    Today, a warehouse is no longer a standalone part but

    an integral part of the supply chain.

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    To achieve such level of efficiency and effectiveness,

    there are several solutions and assistance to this and

    they are called information technology systems such as

    W

    arehouse Management System (W

    MS), ElectronicData Interchange (EDI), Enterprise Resource

    Planning(ERP), no to mention the internet and many

    more technologies which can enable the achievement

    of the goal of the warehouses.

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    Warehouse Management System (WMS) have been

    available since the earliest computer systems were

    introduced and it allowed simple storage location

    functionality. TodayWMS systems can be either standalone or as a

    part of an Enterprise Resource Planning (ERP) system.

    The basic principle of theWMS is to provide

    information which allows efficient control of the

    materials movement within the warehouse.

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    Implementation ofWMS is often complicated.

    It requires warehouse resources to collect data on the

    physical warehouse, materials, inventories as well as

    defining the strategies required to operate thewarehouse.

    The complexity ofWMS implementation varies with

    different businesses.

    Data on the physical dimensions and characteristics ofeach item in the warehouse are required to be collected

    and entered into theWMS system

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    The physical size and weight of the items are to be

    calculated, can the items be stored separately, can it be

    stacked, all this information are to be fed into the

    W

    MS system correctly. Hazardous material information needs to be collected

    so that the item is not stored in certain areas.

    WMS offer businesses significant benefits. Not only

    will placement and removal cycle times be reduced,

    but inventory accuracy should be improved as well as

    increased storage capacity, more organized storage of

    materials and greater flexibility of warehouse

    operations.

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    Faster inventory turns

    More efficient use of available warehouse space

    Reduction in inventory paperwork

    Improved cycle counting

    Reduced dependency on warehouse personnel

    Enhanced customer service

    Improved labor productivity

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    How much inventory exists in the warehouse

    How many orders are currently being shipped

    What are the stages of processing of pending orders

    Staff productivity details

    Goods shipped by the warehouse over any given period

    of time.

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    PublicWarehouse

    PrivateWarehouse

    DistributionWarehouses

    Fulfillment/ ConsolidationWarehouses

    Warehouses Providing ValueAdded Services

    Cross Docking and Trans-loadingWarehouses

    Break BulkWarehouses

    StorageWarehouses

    RefrigeratedWarehouses

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    An interacting structure of people, equipment, and

    procedures that together make relevant information

    available to the logistics manager for the purposes of

    Planning , Implementation, and control.

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