Warehouses play a vital role in determining the effectiveness and efficiency of these operations because they function as nodes that direct the flow of materials within a distribution network. The effects of organizing warehousing activities can directly be seen in customer service levels, lead times, and the cost structure of a company. This thesis concentrates on the study of materials flow management in industrial distribution and warehousing.
This study has been conducted as an initial study of warehouse processes in Etra Oy. The company is playing the vital role of a wholesaler, controlling the flow of goods from the producers to the end customer. As a result, there is a constant need to improve the cycle time of internal logistics processes. From the company perspective, the interest towards this study came from the fact that it is about to set up a new distribution warehouse in Hämeenlinna (Finland).
II. Statement of the Problem The empirical part of this study will concentrate on order processing which represents the outbound part of warehouse operations. Order processing and internal material movements are typically the most cost intensive areas of warehousing. The general problem of this study is to identify whether there is common agreement in the literature on warehouse design approaches and thus whether some basic steps could be used as an overall framework in the warehouse design process.
III. Objectives The main issue regarding the case company of this study is to find ways to improve warehouse cycle times through reorganization of order processing and materials handling activities. The primary objective of this study is to construct a warehouse design framework for cycle time improvement. Another objective is to validate the framework by applying it to the practical planning of order processing operations.
IV. Areas of Consideration
Company
Warehousing has been recognized throughout the scientific
References: Date Submitted: November 13, 2013