Warehouse Slotting Material Flow Design€¦ · 19/02/2020  · 0.5 0.6 0.7 ‐ 5.0 10.0 15.0 20.0...

37
Warehouse Slotting & Material Flow Design Mike Brown, Plymouth Foam, Continuous Improvement Manager Space and Flow Bulky Material and Minimal Variation (11) Steve Silvis, 3PLR, Sr Consultant, O: 2625275327 Best Storage Depth by the Numbers (8) Data Challenge (4) Baking a Cake ‐‐ Extended Impact of Slotting and Flow (8)

Transcript of Warehouse Slotting Material Flow Design€¦ · 19/02/2020  · 0.5 0.6 0.7 ‐ 5.0 10.0 15.0 20.0...

Page 1: Warehouse Slotting Material Flow Design€¦ · 19/02/2020  · 0.5 0.6 0.7 ‐ 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0 45.0 12 3456 78910 Feet/Pallet Percent Honeycombed The Honeycombing

Warehouse Slotting & Material Flow DesignMike Brown, Plymouth Foam, Continuous Improvement Manager

Space and FlowBulky Material and Minimal Variation  (11)

Steve Silvis, 3PLR, Sr Consultant, O: 262‐527‐5327

Best Storage Depth by the Numbers (8)Data Challenge (4)Baking a Cake ‐‐ Extended Impact of Slotting and Flow (8)

Page 2: Warehouse Slotting Material Flow Design€¦ · 19/02/2020  · 0.5 0.6 0.7 ‐ 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0 45.0 12 3456 78910 Feet/Pallet Percent Honeycombed The Honeycombing

About 3PLR

Page 3: Warehouse Slotting Material Flow Design€¦ · 19/02/2020  · 0.5 0.6 0.7 ‐ 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0 45.0 12 3456 78910 Feet/Pallet Percent Honeycombed The Honeycombing

Partial Listing

Page 4: Warehouse Slotting Material Flow Design€¦ · 19/02/2020  · 0.5 0.6 0.7 ‐ 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0 45.0 12 3456 78910 Feet/Pallet Percent Honeycombed The Honeycombing

Plymouth, WIGnadenhutten, OH

Page 5: Warehouse Slotting Material Flow Design€¦ · 19/02/2020  · 0.5 0.6 0.7 ‐ 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0 45.0 12 3456 78910 Feet/Pallet Percent Honeycombed The Honeycombing

TEAM MEMBERS• Mike Brown ‐ Continuous Improvement

• Steve Silvis – 3PLR

• Laura Engel ‐ Scheduling

• Terry Henckel ‐ Shipping Supervisor

• Brian Humphrey ‐ Shipping

• Barb Luedke ‐Material Handler

• Cody Keli ‐ Shipping

• Stewart Newberry ‐ Shipping

Page 6: Warehouse Slotting Material Flow Design€¦ · 19/02/2020  · 0.5 0.6 0.7 ‐ 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0 45.0 12 3456 78910 Feet/Pallet Percent Honeycombed The Honeycombing

Plymouth Foam Warehouse Addition

Initial Plant Size in 2016:  180,000 Sq. Ft.

Warehouse Addition:  118,000 Sq. Ft. (65% Increase)

3rd Party Warehousing Space:  60,000 Sq. Ft.

Page 7: Warehouse Slotting Material Flow Design€¦ · 19/02/2020  · 0.5 0.6 0.7 ‐ 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0 45.0 12 3456 78910 Feet/Pallet Percent Honeycombed The Honeycombing

DEFINE THE PROBLEMS

No First In, First Out (FIFO) procedure

Fluctuating Min/Max levels for Stock parts

Losing 6,000 Sq. Ft. Airehide® development

Losing 2,000 Sq. Ft. to Lease CrossFit® Gym

Numerous off‐site warehouses require double‐handling and additional costs

Limited space for staging LTLs, congestion at dock doors

Page 8: Warehouse Slotting Material Flow Design€¦ · 19/02/2020  · 0.5 0.6 0.7 ‐ 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0 45.0 12 3456 78910 Feet/Pallet Percent Honeycombed The Honeycombing

IDENTIFY SOLUTIONSLTL Staging ‐ Realign area in front of docks to better utilize available space.  

FI/FO ‐ Condense product from partial rows and develop shorter rows to reduce honeycombing. 2 to 6 rows deep from both sides.

Directed Put‐away and Directed Picking to cycle material by FIFO.

Clearly defined Aisles, Streets and Rows to allow Directed material movement using color coded paint or tape.  Yellow for stows, red for centers, blue for reserved areas and special projects.

Improved Handheld scanners (Surface Pro Tablets) to allow Directed material movement.

Page 9: Warehouse Slotting Material Flow Design€¦ · 19/02/2020  · 0.5 0.6 0.7 ‐ 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0 45.0 12 3456 78910 Feet/Pallet Percent Honeycombed The Honeycombing

Action Item List

Page 10: Warehouse Slotting Material Flow Design€¦ · 19/02/2020  · 0.5 0.6 0.7 ‐ 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0 45.0 12 3456 78910 Feet/Pallet Percent Honeycombed The Honeycombing

BEFORE

Page 11: Warehouse Slotting Material Flow Design€¦ · 19/02/2020  · 0.5 0.6 0.7 ‐ 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0 45.0 12 3456 78910 Feet/Pallet Percent Honeycombed The Honeycombing

HONEYCOMBING

Page 12: Warehouse Slotting Material Flow Design€¦ · 19/02/2020  · 0.5 0.6 0.7 ‐ 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0 45.0 12 3456 78910 Feet/Pallet Percent Honeycombed The Honeycombing

AFTER

Page 13: Warehouse Slotting Material Flow Design€¦ · 19/02/2020  · 0.5 0.6 0.7 ‐ 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0 45.0 12 3456 78910 Feet/Pallet Percent Honeycombed The Honeycombing

SHOW ME

Page 14: Warehouse Slotting Material Flow Design€¦ · 19/02/2020  · 0.5 0.6 0.7 ‐ 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0 45.0 12 3456 78910 Feet/Pallet Percent Honeycombed The Honeycombing

Honeycombed (Space lost to Incomplete Rows)Before ‐ 32% After ‐ 20%  (‐12%)

Utilization of SpaceBefore ‐ 1,719  After ‐ 2,090  (+22%)

Access Stows (Spaces facing Aisles)Before ‐ 240 After ‐ 468  (+95%)

Available Staging Space ‐ Sq. Ft.Before ‐ 10,450 After ‐ 20,200  (+93%)

BY THE NUMBERS

Page 15: Warehouse Slotting Material Flow Design€¦ · 19/02/2020  · 0.5 0.6 0.7 ‐ 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0 45.0 12 3456 78910 Feet/Pallet Percent Honeycombed The Honeycombing

By redesigning the layout of the warehouse and using shorter stows rather than fewer long stows 

We were able to better utilize our floor space and reduce voids (honeycombing).  Lining walls with racking increased accessibility from both sides of an aisle instead of aisles along walls with access from only one side.With more precise location names and better handheld scanners, we can better manage our inventory accuracy electronically and drive a First In, First Out mentality within our organization.

2018 Inventory Accuracy

By the end of 2018 we had eliminated manual monthly inventory.  In 2019, our year end inventory (the only manual inventory count of the year) was accurate to within 0.6% of total inventory!

SUMMARY

Page 16: Warehouse Slotting Material Flow Design€¦ · 19/02/2020  · 0.5 0.6 0.7 ‐ 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0 45.0 12 3456 78910 Feet/Pallet Percent Honeycombed The Honeycombing

• Maximize Use of Storage Space• Lower ft/pallet Position

• Minimize Honeycombed Space• Honeycombed Space: Empty space as a Stow is Filled and Depleted.

• More Stows Provide Better Access

BEST PALLET DEPTH?

Page 17: Warehouse Slotting Material Flow Design€¦ · 19/02/2020  · 0.5 0.6 0.7 ‐ 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0 45.0 12 3456 78910 Feet/Pallet Percent Honeycombed The Honeycombing

Deeper Storage Increases Honeycombing (empty space)

Deeper Provides Lower Ft/Pallet

OPTIMAL USE OF SPACE

Page 18: Warehouse Slotting Material Flow Design€¦ · 19/02/2020  · 0.5 0.6 0.7 ‐ 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0 45.0 12 3456 78910 Feet/Pallet Percent Honeycombed The Honeycombing

One Deep    40 Square Feet / Pallet Position

(½ aisle + pallet depth)*pallet width = 40 ft per pallet

16

20Aisle

Pallet Storage

MEASURING FEET PER PALLET X DEPTH

Page 19: Warehouse Slotting Material Flow Design€¦ · 19/02/2020  · 0.5 0.6 0.7 ‐ 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0 45.0 12 3456 78910 Feet/Pallet Percent Honeycombed The Honeycombing

Two Deep    28 Square Feet / Pallet Position

TWO DEEP

Page 20: Warehouse Slotting Material Flow Design€¦ · 19/02/2020  · 0.5 0.6 0.7 ‐ 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0 45.0 12 3456 78910 Feet/Pallet Percent Honeycombed The Honeycombing

Depth1 402 283 244 225 20.86 207 19.48 199 18.66

Feet/Pallet

Feet/Pallet Decreases at a Decreasing Rate

FEET PER PALLET AS DEPTH INCREASES

Page 21: Warehouse Slotting Material Flow Design€¦ · 19/02/2020  · 0.5 0.6 0.7 ‐ 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0 45.0 12 3456 78910 Feet/Pallet Percent Honeycombed The Honeycombing

 ‐

 5.0

 10.0

 15.0

 20.0

 25.0

 30.0

 35.0

 40.0

 45.0

1 2 3 4 5 6 7 8 9 10

Feet/Pallet

Depth

LINE GRAPH OF FEET PER PALLET

Page 22: Warehouse Slotting Material Flow Design€¦ · 19/02/2020  · 0.5 0.6 0.7 ‐ 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0 45.0 12 3456 78910 Feet/Pallet Percent Honeycombed The Honeycombing

 ‐

 5.0

 10.0

 15.0

 20.0

 25.0

 30.0

 35.0

 40.0

 45.0

1 2 3 4 5 6 7 8 9 10

Feet/Pallet

Honeycombing Waste as a %

Optimal Depth at the  IntersectionDepth

Feet/Pallet

HONEYCOMBING WASTE (RED)

Page 23: Warehouse Slotting Material Flow Design€¦ · 19/02/2020  · 0.5 0.6 0.7 ‐ 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0 45.0 12 3456 78910 Feet/Pallet Percent Honeycombed The Honeycombing

0

0.1

0.2

0.3

0.4

0.5

0.6

0.7

 ‐

 5.0

 10.0

 15.0

 20.0

 25.0

 30.0

 35.0

 40.0

 45.0

1 2 3 4 5 6 7 8 9 10

Feet/Pallet

Percent Honeycombed

The Honeycombing Percentage is Empirical

Although the Honeycombing Percentage is Empirical, Beyond Six Deep Provides:1. Only a Marginal Decrease in ft/pallet (Blue) .2. At the Risk of Increasing Empty Space (Red).3. Fewer stows, less access to product

Ft/Pallet is a Calculated Number

Remaining ft/pallet Benefit to go Deeper

Pending Empty Space as Depth Increases

MINIMIZE HONEYCOMBING TO SAVE SPACE 

Page 24: Warehouse Slotting Material Flow Design€¦ · 19/02/2020  · 0.5 0.6 0.7 ‐ 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0 45.0 12 3456 78910 Feet/Pallet Percent Honeycombed The Honeycombing

Slotting & Material Flowfor the Extended Supply Chain

Facility: Designed for Optimal Material Flow

Page 25: Warehouse Slotting Material Flow Design€¦ · 19/02/2020  · 0.5 0.6 0.7 ‐ 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0 45.0 12 3456 78910 Feet/Pallet Percent Honeycombed The Honeycombing

Data Question:

“Big Data” – How do I know there is opportunity?

Page 26: Warehouse Slotting Material Flow Design€¦ · 19/02/2020  · 0.5 0.6 0.7 ‐ 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0 45.0 12 3456 78910 Feet/Pallet Percent Honeycombed The Honeycombing

0

50

100

150

200

250

56 57 58 59 60 61 62 63 64 65 66 67 68 69 70 71 72 73 74 75 76

Height in Inches

Weight in Pounds

0

50

100

150

200

250

56 57 58 59 60 61 62 63 64 65 66 67 68 69 70 71 72 73 74 75 76

Weight By Gender

Female Male

Three Dimensions

TWO DIMENSIONS

Page 27: Warehouse Slotting Material Flow Design€¦ · 19/02/2020  · 0.5 0.6 0.7 ‐ 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0 45.0 12 3456 78910 Feet/Pallet Percent Honeycombed The Honeycombing

0

50

100

150

200

250

56 57 58 59 60 61 62 63 64 65 66 67 68 69 70 71 72 73 74 75 76

Asia Weight By Gender

Female Male0

50

100

150

200

250

56 57 58 59 60 61 62 63 64 65 66 67 68 69 70 71 72 73 74 75 76

Europe Weight By Gender

Female Male

0

50

100

150

200

250

56 57 58 59 60 61 62 63 64 65 66 67 68 69 70 71 72 73 74 75 76

North America Weight By Gender

Female Male

0

50

100

150

200

250

56 57 58 59 60 61 62 63 64 65 66 67 68 69 70 71 72 73 74 75 76

South America Weight By Gender

Female Male

Page 28: Warehouse Slotting Material Flow Design€¦ · 19/02/2020  · 0.5 0.6 0.7 ‐ 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0 45.0 12 3456 78910 Feet/Pallet Percent Honeycombed The Honeycombing

Plot it in Excel ??

1. Height2. Gender3. Geographic4. Age5. ????6. Weight

Page 29: Warehouse Slotting Material Flow Design€¦ · 19/02/2020  · 0.5 0.6 0.7 ‐ 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0 45.0 12 3456 78910 Feet/Pallet Percent Honeycombed The Honeycombing

• Supplier locations• Optimal order quantity and related buffer

• Cost/Demand and related probabilities• Supplier Origin and related response time

• Dimensions and storage requirements• Line placement• Facility layout• Rack alternatives• Packaging

SLOTTING CHALLENGES

Page 30: Warehouse Slotting Material Flow Design€¦ · 19/02/2020  · 0.5 0.6 0.7 ‐ 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0 45.0 12 3456 78910 Feet/Pallet Percent Honeycombed The Honeycombing

60,000 ft 35,000 ft

220,000 ft

20,000 ft

Total  500,000 ft.  A.  Assembly 165,000 ft. 

B. Material flow,Finished Goods 335,000 ft. 

Page 31: Warehouse Slotting Material Flow Design€¦ · 19/02/2020  · 0.5 0.6 0.7 ‐ 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0 45.0 12 3456 78910 Feet/Pallet Percent Honeycombed The Honeycombing

LOOK AT THE DETAILS

Page 32: Warehouse Slotting Material Flow Design€¦ · 19/02/2020  · 0.5 0.6 0.7 ‐ 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0 45.0 12 3456 78910 Feet/Pallet Percent Honeycombed The Honeycombing

COMPONENT REQUIREMENTS

Page 33: Warehouse Slotting Material Flow Design€¦ · 19/02/2020  · 0.5 0.6 0.7 ‐ 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0 45.0 12 3456 78910 Feet/Pallet Percent Honeycombed The Honeycombing

SPACE REQUIRED

Page 34: Warehouse Slotting Material Flow Design€¦ · 19/02/2020  · 0.5 0.6 0.7 ‐ 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0 45.0 12 3456 78910 Feet/Pallet Percent Honeycombed The Honeycombing
Page 35: Warehouse Slotting Material Flow Design€¦ · 19/02/2020  · 0.5 0.6 0.7 ‐ 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0 45.0 12 3456 78910 Feet/Pallet Percent Honeycombed The Honeycombing

It works

Page 36: Warehouse Slotting Material Flow Design€¦ · 19/02/2020  · 0.5 0.6 0.7 ‐ 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0 45.0 12 3456 78910 Feet/Pallet Percent Honeycombed The Honeycombing

• Order Quantities• Procurement cause and frequency• Response timing• Target Inventories• Storage Details

• Rack/Floor storage profile• Specific components (groups)• Location addresses• Quantity held “Big Data” – Answer

RESULTS

Page 37: Warehouse Slotting Material Flow Design€¦ · 19/02/2020  · 0.5 0.6 0.7 ‐ 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0 45.0 12 3456 78910 Feet/Pallet Percent Honeycombed The Honeycombing

Q&AThank you!