Kategorier: Alla - logistics - storage - inventory - transportation

av Ewelina Pomian för 2 årar sedan

116

Lecture 3&4

Logistics involves several key functions such as order processing, inventory control, warehousing, transportation, material handling, storage, logistical packaging, and information management.

Lecture 3&4

Lecture 3&4

Functions of logistics

1. Order processing
2. Inventory control

3. Warehousing

4. Transportation

5. Material handling and storage

6. Logistical packaging

7. Information

Storage Inventory/Reasons for storage inventory

To protect a firm against changes in customer demand and lead time
To hedge against price changes
To eliminate manufacturing bottlenecks
To hedge against strikes, fires, COVID-19 etc
To balance supply and demand (to answer demand as needed)
To take advantage of economies of scale when purchasing, transporting and

Storage Policies

Procedure to assign product classes to storage locations in a class-based storage policy
1)Calculate COI for all items

2)Sort items in a nondecreasing order by their COIs

3)Allocate the first item in the list to the storage spaces that are nearest to the input-output

Types of Storage Policies
Class based
Randomized
Dedicated

Warehouses

Order picking

Order picking is one of the most important activities in warehouses because of its direct effects on customerservice level and warehouse costs !

More than 60% of all operating costs of warehouses are related to order picking

Order-Picking Methods

- In discreet picking, a single order is filled.

- In batch picking, a group of orders are filled by one order picker.

- In zone picking, each order picker is in charge of a specific zone of the warehouse and selects items that are in that zone. All order pickers do their work until the order is completed.

- In wave picking, orders may be released in waves (e.g., hourly or each morning or afternoon).

- This helps to control the flow of goods and replenishment, picking, packing, marshalling, and dispatching. Wave timing is tied to the schedules of outgoing vehicles.

Flow of material in warehouse
1)Receiving: Goods

2)Inspection and quality control

3)Preparation for transportation

4)Put away

5)Order picking

6)Aggregation of SKUs

7)Prepration for transportation

8)Transportation

Types of warehouses
By systems
By area
By function
By product type
By geographic area
By stage in the supply chain

Inventory management

Inventory management techniques
Fast, Slow and Nonmoving method
VED Analysis
Minimum Safety Stocks
Economic Order Quantity (EOQ) Model
Material Requirements Planning (MRP) Method
Just-in-Time Method
ABC Analysis
Types of inventory that can be warehoused
Dead stock
Seasonal stock
Speculative stock
Transit inventory or pipeline inventory
Safety stock
Cycle stock