Introduction to Distribution Management

Distribution Management Introduction to What do we mean by Logistics? Logistics concerns itself with the movement of the physical settle which begins with the source of supply and ends at the point of consumption. Logistics is likewise concerned with Plant and w behouse location archive levels harvest-feastion scheduling Materials watchfulness retentiveness client order doing Inwards and outwards freightage and Distribution channels. History of computer memory w arhouse In primeval writings, man was described as having stored excess nourishment and kept animals for emergency surplus. As civilization developed, local anaesthetic warehouses were introduced. Merchandise was stored in connection with shipping, trading, and manufacturing activities. When transportation ramose out from local to cross-country, warehouses became to a greater extent than than local storehouses. The warehouses were laid in the internality of the city, usually close to the line de pot and the wholesale market district. History of warehouse As the demand for storage space attach and land value rose, multistory buildings were erected to provide more storage space on minimum measuring rod of land. Technology has created a highly specialized counterbalance that allows warehouses to store more per square meter, move telephone circuit faster and more accurately, and to know where everything is located. Discussion Connections bring groups randomly to think about the following questions both(prenominal) people say warehouse is a immoral because it is totally a cost-adding action. Do you agree? pull out the roles of the refrigerator in your home. What is the implications for the understanding of the value of storehouse. why have a warehouse? Supply reach imbalances The supply chain connecting manufacturing with end consumers will neer be so well coordinated that computer memory will be completely eliminated. How to increase the flexibility of warehou se operations by process design, arrangement selection and justification, and layout configuration is what we will try to employment in the whole course. Why have a warehouse? High speed zero daub supply chains Supply chain consolidation will lead to reduced inventory holdings on supply pipeline. The verity and cycle time murder pressures in memory board are immense. storage warehouse in the Supply Chain mensurate adding warehousing major Types Raw strongs and component warehouse Hold in the altogether materials at or near the point of inference into a manufacturing or assembly process. Work in progress warehouse Hold partially realised assemblies and products at various points along an assembly or payoff line.Finished goods Hold inventory use to balance and buffer the variation between production schedules and demand. Located near the point of manufacture dear pallets in and full pallets out Value adding warehousing Distribution warehouse and DC Accumulate and m erge products from various points of manufacture within a angiotensin converting enzyme firm, or from several firms, for combined shipment to super acid guests. Located central to either the production locations or the client base. Fulfillment warehouse and fulfillment centerReceive, pick and ship small orders for individual consumers. Value adding warehousing Local warehouse Distributed in the palm in order to shorten transportation distances to stomach rapid response to customer demand. Single facts are picked, and the same item may be shipped to the customer every day. Value-added overhaul warehouse Serve as the facility where key product customization activities are executed, including packaging,labeling, marking, set, and bribe processing. Value adding warehousing Generally, the value of warehousing lies in that having the right product in the right indue at the right time. Thus, warehousing provides the time-and-place utility demand for a company to prosper. Import ance of Warehouse cost Warehousing is expensive Between 2 and 5 % of the cost of sales ROI vehemence puts pressure on warehouse costs Customer service emphasis can increase costs Challenge to increase service levels at the same time as reducing costs Focus on productiveness Accuracy efficiencyDiscussion Connections Use some examples to explain the customer service in logistics theatre of operations? Why we need to emphasize it? What will be the possible elements of dispersion activity which affect customer service. Warehousing Environment E-commerce Supply chain learning and partnering Globalisation Quick response Just in time Rising labour costs change magnitude SKU population Increasing technology choices Warehouse Requirements die hard more, smaller transactions Handle and store more items Provide more product & service customization allow for more value added services Process more returns Receive and ship more international orders Warehouse Limitatio ns Less time to process orders Less border for error requirement for exacting accuracy levels Difficulties in finding suitable staff Warehouse management system (WMS) capability / fit to requirement problems, or justification for ROI The Bottom Line Warehouses / distribution centers process an increasingly important role in the victory or failure of business enterprises. Warehouse pass over provision methodology Warehouse master planning methodology Investigating warehouse operations through warehouse activity profiling and warehouse exploit benchmarking. Innovating, optimizing and simplifying warehouse operations in receiving and put-away, storage, order picking, shipping, and material flow. Implementing new warehousing designs in computerizing warehouse operations, and humanizing warehouse operations. World Class Warehousing Profile orders, item activity, process, customer Benchmark performance practices operating understructure Innovate streamlining elimina ting unnecessary activities better ways of doing activities alter computerize and mechanize Humanize involvement of warehouse peopletreat people the way you would like to be interact Warehouse Activities Warehousing Activities Receiving Accurate and speedy recognize of all materials coming into the warehouse Order accuracy/quality confirmation Disbursing materials to storage or former(a) destination cross dockWarehousing Activities Pre-packaging Converting spate receipts into smaller quantities Warehousing Activities Put forth Placing products/packages/ unit loads into storage It includes Materials handling Product placement Location verification Warehousing Activities Storage Physical containment of products until required Storage method depends on the size and quantity of the items in inventory and the handling characteristics of the product or its container. Warehousing Activities Order creamProcess of removing products from storage to meet a circumstantial cus tomer demand The essential basic warehouse officiate around which most warehouse designs are based High impact on customer satisfaction Warehousing Activities Packaging and/or pricing Optional process after the picking process Normal where mail/ courier delivery is convolute Involves protective packaging Prepricing at manufacturer or receipt into the warehouse inevitably leads to some repricing activity as price lists are changed while mathematical product sits in inventory.Warehousing Activities Sortation Consolidation of the order into a total customer delivery Occurs where consolidation is not completed during the picking operation Warehousing Activities Unitizing & ecstasy Including the following tasks Checking order for completeness Packaging into shipping containers/ unit loads Preparing shipping documents ,including packing lists, address labels, consignment notes and bills of lading Weighing to determine shipping charges Accumulating orders by outbound carrier Loadin g trucks or containers acquire Objective Basing on the current situations in Chinese market to Have an understanding of the role and function of warehousing & distribution in the total co-ordinated logistics process Have a basic association of the process of designing warehouse facilities Know the equipment options and their uses for storage and materials handling Be alert of the customer service implications and the customer order processing options. Learning aimUnderstand the importance of standards & performance measurement, and the opportunities presented by distribution information and warehouse management systems. Appreciate the strength and importance of electronic data interchange and mechanical identification to distribution operation Be aware of the importance of human relations management to warehousing & distribution and understand the process of selection, training, motivation and confabulation in the physical distribution environment.