ACTIVITIES OF WAREHOUSING 3.

Material Preservation and Housekeeping

- To be secure from damage
1. Receipt and Inspection of incoming goods and materials
4. Order Picking, Issuing, and Despatch
2. Storage and Stock Location
5. Facilities Planning
In choosing a storage area you should
6. Surplus Collection, Segregation, and Disposal
consider the ff:
7. Safety and Security
 Proximity to the main point of supply and
8. Documentation – most important activity
demand.
- To minimize the transport, lead time,
and cost.
TYPES OF WAREHOUSE
 Good Roads or Rail Access and avoiding
problem of congestion. A. General Purpose Warehouse
 Drainage and Security B. Special Purpose Warehouse
- There is a proper drainage system  Refrigerated for perishable goods
- Safe/Secure from fire, leftist group.  Storage for flammable materials
 Availability of Essential Services  Secured storage for highly valuable goods
- Should there be an access on water, C. Shed or Semi-Covered Storage Space
electricity, and communication. D. Open Storage Space
 Size of Site and Its ability to cope w/ your
company’s expansion requirements.
 The most convenient acquisition option for WAREHOUSE OWNERSHIP
your company
 Private Warehouse
Option:
 Public Warehouse
i. Purchase of an existing
Own
storage area
Leased
ii. Land purchase and Self Build
Third Party Provider
iii. Rental
iv. Outsourcing of warehousing BASIC WAREHOUSE DECISIONS
services
1. Warehouse Ownership
v. Having a built own operate
2. Number of Warehouse
arrangement mgt with a
3. Location and Size of Warehouse
commercial warehouse
vi. Any relevant and/or option 4. Layout and Control of Warehouse
investment /incentive that may 5. Items Stored
influence the acquisition option
that a company goes for
 REASONS FOR SITE LOCATION  Make the warehouse a model of good house keeping
 Need to relocate existing warehouse CHARACTERISTIC OF EFFECTIVE W LAYOUT
 Need to move inventory to new market as business
a. Storage Effectiveness
expands
b. Space Utilization- maximize the space
 Need to have more space due to growing industry
c. Safety and Housekeeping- Safe and clean
 Need to decentralize/ break-up existing Warehouse
d. Working Conditions & Employee Satisfaction
WAREHOUSE LOCATION FACTORS e. Ease of Supervision
f. Materials Handling Effectiveness
1. Minimum Movement
g. Ease of Future Expansion
2. Flexibility
h. Adaptability and Versatility
3. Access Facilities
i. Flexibility
4. Service Needs
j. Appearance, Promotional Value, Public or
5. Availability of labor
Community Relations
6. Internal Organization
k. Flow of Movement Effectiveness
7. Environmental Changes
8. Security
9. Labor Union
2 MAJOR FACTORS FOR AN EFFECTIVE WL
10. Effects of Nature
1. Commodity Factor
WAREHOUSE LAYOUT PLANNING
 relates to the characteristics of materials
 It determines to a large extent how efficiently 2. Capacity Factor
operations are performed because the layout  Characteristics of warehouse
generally influences the pace, motions, effort and
COMMODITY FACTORS
safety with which the employees work.
 Pace-  Popularity
 Motion- Signal of Movement  Similarity
 Quantity Size
PRIMARY OBJECTIVES OF LAYOUT PLANNING
 Nature of Materials (Characteristics)
 Use space efficiently  Space Utilization
 Allow the most efficient material handling
PRODUCT CHARACTERISTICS
 Provide the most economical storage in relation to cost of
equipment, use of space, damage to material, and  Perishable Materials
handling labor.  Expensive Materials
 Provide maximum flexibility in order to meet changing  Hazardous Materials
storage and handling requirements  Compatibility of Items
  Oddly Shaped or Crushable Items
CAPACITY FACTORS
o Floor Load Capacity
o Ceiling Height
o Doors
o Upright Columns
MATERIALS HANDLING
An evitable part of every manufacturing
WHY MATERIALS HANDLING IS ART AND SCIENCE?
PLEASE EXPLAIN.
 Material handling is an art because it is the art of
implementing movement economically and safely.
 Material Handling is a science because it is the act of
creating time and place utility thru the handling
storage and control of materials as distinct from
manufacturing w/c creates form utility.