Improving Efficiency And Minimizing Costs In The Modern Warehouse
Programme Overview
A productive warehouse relies heavily on several key aspects – proper shelving, proper storage, proper packaging, well-trained staff and reduced risk. The goal in any warehouse is to improve efficiency and reduce costs. Typically improving efficiency does reduce overall costs.


Warehouses are an integral part of the modern supply chain, involved in sourcing, producing and distributing goods. However, due to the complexities of warehouse operations, they can often be one of the most costly parts of the supply chain. Their efficient management is therefore critical for minimizing cost and contributing to an effective and efficient supply chain.

Objectives

On completion of this course you should be able to: 

  • Gain a wide knowledge and a valuable companion to the modern warehouse.
  • Determine the aspects of warehouse management, including cost reduction, productivity, people management, performance management, outsourcing, resourcing and costing a warehouse,
  • Define the role of the warehouse and its manager, equipment, storage systems and health and safety.
  • Demonstrate how to apply new technology, minimize spending, and create efficient, streamlined operations.
  • Understand the best practice in warehouse operations.
  • Apply the latest technological advances to current environmental issues.
Methodology

This session will explore areas for best practices and will examine Typical Costs involved in warehouse Operations, KPI’s and the importance of Setting Productivity and Cost Targets

• Fixed and Variable costs

• Utilisation and Performance

• The Importance of Metrics

• Performance Indicators

• Setting Productivity and Cost Targets

• Assess Labour Needs

Course Outline

The role of the warehouse

  • Types of warehouse operation
  • Why do we hold stock?
  • Warehouse location
  • Number of warehouses
  • Supply chain trends affecting warehouses
  • The growth of e-fulfillment and its effect on the warehouse
  • Specialized warehousing

Role of the warehouse manager

  • Warehouse trade-offs
  • The warehouse manager's challenges
  • Lean warehousing
  • People management
  • People challenges
  • Attracting and retaining warehouse employees
  • An ageing and constantly changing workforce
  • Operating hours
  • Training
  • Warehouse audit
  • Quality systems

Warehouse processes: receiving and put-away

  • Receiving
  • Pre-receipt
  • In-handling
  • Preparation
  • Offloading
  • Checking
  • Cross docking
  • Recording
  • Quality control
  • Put-away

Warehouse processes: pick preparation

  • Preparation
  • Warehouse pick area layout

Picking strategies and equipment

  • Picker to goods
  • Goods to picker
  • Types of automated picking
  • Examples of automated picking systems
  • Handling equipment
  • Storage equipment

Order-picking methods

  • Paper-pick lists
  • Pick by label
  • Pick by voice
  • Barcode scanning
  • Radio frequency identification
  • Pick by light/pick to light
  • Put to light
  • Comparisons
  • Cost of errors
  • Deciding on type of picking system and equipment

Warehouse processes from replenishment to dispatch and beyond

  • Replenishment
  • Value-adding services
  • Indirect activities
  • Stock management
  • Stock or inventory counting
  • Cycle counting or perpetual inventory counts
  • The count itself
  • Security
  • Returns processing
  • Dispatch
  • Role of the driver

Warehouse management systems

  • Why does a company need a WMS?
  • Choosing a WMS
  • The process
  • Selecting the right WMS
  • What to look for in a system
  • Selecting a partner
  • Before the final decision
  • Implementation
  • Software as a service
  • Cloud computing

Warehouse layout

  • Data collection and analysis
  • Space calculations
  • Aisle width
  • Other space
  • Warehouse layout examples
  • Finding additional space

Storage and handling equipment

  • Storage equipment
  • Storage options
  • Shuttle technology with a difference
  • Very high bay warehouses
  • Other storage media
  • Warehouse handling equipment
  • Vertical and horizontal movement
  • Automated storage and retrieval systems (AS/RS)
  • Specialized equipment
  • Recent technical advances

Resourcing a warehouse

  • Processing activities
  • Other factors

Warehouse costs

  • Types of costs
  • Return on investment (ROI)
  • Traditional versus activity-based costing systems
  • Charging for shared-user warehouse services
  • Logistics charging methods
  • Hybrid

Performance management

  • Why do we need to measure?
  • What should we be measuring?
  • How to choose the right performance measures
  • Traditional productivity measures
  • New performance metrics
  • Hard and soft measures integrated performance models
  • Benchmarking
  • Balanced scorecard

Outsourcing

  • The outsourcing decision
  • Core activity/core competence
  • Improvement in customer service
  • Cost reduction
  • Labor relations
  • Financial strategy
  • Flexibility
  • Role of the third-party contractors
  • Preparing to outsource
  • Choosing the right partner
  • The transition
  • Managing a third-party relationship
  • Why contracts fail
  • The future of outsourcing

Health and safety

  • Risk assessments
  • Layout and design
  • Fire safety
  • Slips and trips
  • Manual handling
  • Working at height
  • Vehicles
  • Forklift trucks
  • Warehouse equipment legislation
  • First aid

The warehouse and the environment

  • Legislation and other pressures
  • Warehouse energy usage
  • Energy production
  • The environment and waste
  • Packaging
  • Pallets
  • Stretch wrap
  • Cartons
  • Labeling
  • Product waste
  • Waste disposal
  • Hazardous waste
  • Forklift trucks

The warehouse of the future

  • Context
  • Views of the future: the landscape
  • Views of the future: the warehouse
  • Other advances


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