403 7 WAREHOUSE OPERATIONS Sow Medium Fant Entrance moving mvingmoving and eit A

Question

403 7 WAREHOUSE OPERATIONS Sow Medium Fant Entrance moving mvingmoving and eit Apran depth Agron depth Apron depth depth Figure 7.26 Material storage by popularity The proper arrangement of merchandise inside a warehouse plays a critical role at decreasing the travel time and distance to find an item, selling products more quickly and increasing customers' satisfaction. It needs to follow a few of general storage principles. (20 pts) a) What is the principle of popularity? How does it impact the layout of storage area? (Please use Figure 7.24 b) c) Figure 7.26, and Example 7.6 to explain your points) What is the principle of similarity? How does it impact the layout of storage area? What is the principle of size? How does it impact the layout of storage area?

Explanation / Answer

Principle of Popularity: According to it , the items having the highest transaction or throughput should be assigned to area which facilitates efficient material handling. The fast moving items should be kept at possible area near to its utilization. The active items should be stored by ways of maximising the space usage and should be kept at same place in a deep block. High density storage of a active items, thus losses to locate at different places is reduced. Slow moving items should be kept in such a way that it should not make a space movement constraint for active items.

Principle of Similarity: According to it, goods that are frequently received and / or dispatched together should be hoard together. The grouping of items of the same family should be done. The similar methods of handling items are replicated .All type of spanners can be grouped together in specific storage area marked or the supplier wise if items are customized .The identical looking items with different functions should be carefully tagged and identified to avoid wrong order picking or dispatch.

Principle of Size: According to it the bulky and heavy goods should be stocked near to its utility point. The handling cost and time is greater as compared to other items. Easy to handle items should be stored in area with high ceiling point as they can be piled up at maximum available height due to its lightness in weight .Heavy goods should be kept in the area with low ceiling height for optimization of the space .Different variety of storage spaces are to be provided to accommodate items of different sizes considering floor loading capacities.

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