Thursday 26 April 2012

Planning Your Warehouse Layout

Planning a layout for your warehouse is a task that requires skillful planning. A lot has to be kept in mind when chalking out a warehouse layout. The final layout has to conform to accepted warehouse standards. One must adhere to the local fire code and the working areas should be kept clear. The design of the warehouse is also very important as it will determine the success or failure of the warehouse. A warehouse may be a company’s largest capital investment. While deciding its layout, one must be very clear about the goals and objectives to be achieved by the warehouse. The layout should be such that will help in minimizing the overall costs and maximizing the productivity.

The steps involved in planning the layout are:
  • Collect all the necessary information that may be relevant to this project.
  • Conduct interviews with the staff dedicated to major functional areas.
  • While designing the layout, ensure that there should be no building constraints.
  • Collect relevant product information pertaining to the stock and their dimensional measurements, weights and order history.
  • Next create a project plan including the major projects to be undertaken, the resources needed and the time required for implementation.
  • Follow the implementation of the plan. This is when the layout is converted into reality. The delivery of the products is coordinated so as to arrive at the right time on completion of the project.
  • The last and most crucial step is to schedule a close out meeting. This includes a discussion with the implementation team as to whether the final layout was implemented as planned. It’s an important step for future project planning.
While sizing the warehouse, size it from the inside. This will ensure that all the space is used and you are not paying for unused space. Your space requirements depend on the forecasts, previous usage patterns and projected changes. You have to consider short and long range sizing of the racks, shelves, automated systems, docks, staging, offices and support. Also keep in mind the workflow requirements.

The warehouse should be planned in such a way that there is minimal product handling and minimal resource requirements while moving the products to the consumer. Check on your warehouse layout on a regular basis. This will prevent work related injuries, product losses and decreased efficiency. A warehouse layout that works for your business will definitely contribute to your success.

For more information about warehouse layout, designing and management, visit McLane Logistics Technology, located at 4001 Central Pointe Parkway, Temple, TX 76504. You can also call them at 1-800-989-7568.

Thursday 19 April 2012

Planning And Controlling Your Inventory

Inventory is one of the most important assets that most businesses possess as the turnover of inventory represents the primary sources of revenue generation. Proper control and planning of the inventory is crucial for ensuring adequate stock in hand for the amount of sales being generated. Possessing a high amount of inventory for long periods can be detrimental to a business as it runs the risk of losing out on potential sales and potential market as well. Inventory management and strategies can help minimize inventory costs because goods will be created or received as inventory only when needed.

Inventory control involves tracking all parts and materials purchased, products processed and products stored and ready for shipment. Modern inventory management processes are very effective in inventory reduction and minimization. Emphasis is kept on keeping the inventory down so as not to consume too much cash. Most of the inventory control problems arise due to using poor processes, practices and antiquated support systems. A little planning can go a long way in ensuring the inventory is well managed and a business saves on its costs of managing excessive inventory.

There are many methods that can help you accurately judge the customer demand and calculate the inventory you will need to meet your level of customer service. The main processes of inventory control management are as follows:
  • Sales and operations planning
  • Sales forecasting
  • Finished goods inventory deployment planning
Material requirements planning ensure that the inventory is planned and ordered to effect the delivery of materials. Inventory optimization techniques are used to mathematically calculate where the inventory should be deployed to satisfy the predetermined supply chain objectives. Businessmen also resort to physical inventory control to keep a track of the inventory that has been received, its movement, stocking and the overall physical control of inventories.

Inventory represents the second largest expense in businesses and business owners create internal policies and procedures for inventory control and planning. This results in the generation of higher profits for businesses. It limits the amount of obsolete inventory in the company which leads to fewer losses. Inventory policies and procedures also cut down on the employee abuse of inventory. Loose work environments result in stolen inventory which lead to financial losses. It’s important for business owners to consider implementing business technology to help manage the inventory. These days, the access to business and accounting software provides business owners with electronic methods of ordering, receiving, managing and selling inventory which saves on their time and significantly increases their productivity.

McLane Logistics Technology provides customized Inventory Management Software system to efficiently manage the respective inventory of different businesses. For more details visit McLane Logistics Technology, 4001 Central Pointe Parkway, Temple, TX 76504 or call us at 1-800-989-7568. 

Thursday 12 April 2012

Elements Of Warehouse Management System

A warehouse management system is a group of computer programs which are designed to help a distributor perform warehouse operations efficiently with few errors. It is the key element in a supply chain which makes it much easier to control processes such as shipping, reception, storage, movement and picking of goods. The goal of a warehouse management system is to provide the management with the information it needs to effectively control the movement of materials within a warehouse.

Warehouse management solutions are designed to merge computer hardware, software and peripheral equipment for managing the inventory, space, labor and capital equipment in warehouses and distribution centers. Implementing warehouse management solutions goes a long way in reducing the labor costs, improving customer services and increasing the inventory accuracy. It enables a company to manage inventory in real time and lets the company have the latest information like the current order, shipment, receipt or any movement in between.

There are two key elements of an efficient warehouse management system. The first one is that the warehouse employees use portable computer terminals to record work performed in real time. Any activity performed by an operator is recorded by a computer immediately. One can easily do away with writing the information on a paper or recording it in a computer later. A portable terminal is connected to the host computer. This terminal could be a radio frequency terminal or a device operating over a wireless network. Barcodes are also an important element of warehouse management systems. They reduce the amount of information that has to be entered directly into the terminal. The barcode technology in real time enables the computer to keep track of the work being performed by the operator. It even gives the operator information on the tasks in progress and any errors.

A warehouse management system greatly benefits a company as it provides 99% inventory accuracy which reduces the need for safety stock. Reduction of safety stock leads to more space in the warehouse and a consequent reduction in the inventory holding cost. This increases the inventory turnover and utilization of working capital. There is also a significant reduction in the paperwork which ensures timely and accurate flow of inventory and information. The dependency on warehouse personnel is also minimized and this reduces the training costs and rate of errors. When all processes from order to delivery are streamlined, customer services are enhanced as companies can easily determine the product availability and delivery dates.

To know more about Warehouse Management, visit McLane Logistics Technology, 4001 Central Pointe Parkway, Temple, TX 76504 or call them at 1-800-989-7568.

Thursday 5 April 2012

Warehouse Management For Small Business

Warehouse management brings together inventory control with the advanced IT methodologies, which makes it an indispensable part of logistics. The basic role of a warehouse manager is to ensure that every step and procedure within the warehouse, right from the storage of materials to their movement, is taken care of with precision and expertise. The entire process involved needs to be systemized and documented, which would be impossible to do without a computerized based system dedicated to the purpose.

By using the services of a warehouse management company, small businesses can benefit greatly, as it saves them the hassle of having to monitor the movements of products within the warehouse on their own. The physical warehouse infrastructure, despite being the backbone of any warehouse management system, is the mere basic requirement, with a lot more going into the entire process. This includes tracking systems, handling of material, and the establishment of an efficient communication line between different product stations.

The three basic stages involved in warehouse management are receipt, storage and movement, each of which is equally important in the overall process. The process begins with the supervision, pickup and recording of deliveries to the warehouse. It also includes loading and unloading of materials, as well as inventory control, which is amongst the most essential aspects of warehouse management. Mathematical principles are applied at various stages of the process, to adjust inventory levels, which helps in the effective filling, as well as tracking of different items.

Warehouse management for small business enterprises helps in developing strategies for product placement, by giving a clear insight into the measurements of demand as well as supply. The end result is enhanced logistics efficiency, which helps at each stage of the item life cycle. Warehouse management also helps in determining the best places for storage, depending on whether the products are slow-moving or fast-moving, and also taking into account other factors like whether the product is a risky one.

With a warehouse management system in place for your small business, you shall be able to streamline orders with the help of reorder points created on the basis of average lead time and other aspects like the previous history of demand and supply on a particular product, as well as seasonal surges and dips in demand. The end result will be flawless tracking of items, without any effort whatsoever on your part!

McLane Logistics Technology provides customized Warehouse Management Software solutions to various large as well as medium business firms. For more details visit McLane Logistics Technology, 4001 Central Pointe Parkway, Temple, TX 76504 or call at 1-800-989-7568.