DCM T02

Soh Ling Yu Alie, Tan Hui Min, Tan Kok Teng & Tan Lee Leng ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ Our group has researched on Storage Systems of Distribution Centre Management and came up with this Instructional Blog. We have incorporated all our findings of Storage Systems and also posting of our group answer to the question from our facilitator.

Thursday, January 10, 2008

Palletised Storage: Live Storage

The need to remain competitive in an increasingly challenging marketplace is a challenge faced by all companies.

Efficiency savings need to be generated constantly to remain ahead of the competition. Whether it be savings in material cost or reduced labour cost resulting from more efficient working practices, the challenge to reduce cost is evident throughout the organisation.

Within the warehouse environment, order picking is the most labour intensive operation. This makes it the ideal place to look at optimising the operation, in order to achieve the required efficiency savings. The key lies in eliminating the unproductive time within the warehouse, which reduce the picking rates of each operator.











The Live Storage system is designed to provide:
  1. Shortest picking route;
  2. Quicker identification of product and verification against order documentation ;
  3. Faster picking of items;
  4. Eliminatation of congestion and delays when picking and replenishing staff operate in the same aisle;
  5. Guaranteed FIFO stock rotation; and
  6. Reduced operator fatigue due to poor ergonomic pick face.

The advantages of Live Storage system are:
  • Improved productivity – more picks per day from each operator;
  • Reduced labour cost – less people required to complete the same work; and
  • Rapid return on investment.