Managing Logistics Operations: Facilities Layout



Managing Logistics Operations: Facilities Layout



Introduction

The business organizations in the current era are coping to become more resilient, organized and flexible in order to attain efficiency and effectiveness. They are aiming to reach the level of efficiency in all the business operations and activities. Along with other departments, logistics and warehousing management plays a vital role in maintaining the operational activities of the business. This paper will deal with the subject of building flexibility into warehouse planning and design in order to accommodate changes for the future. It would research upon the requirements of doing so and the trade-offs in terms of resource allocation either upfront or in future.

Discussion

In an organization and its activities, the warehouses perform a vital role for the company's success. They are a complex and important investment decision at the same time, due to the fact that the cost of the operation and construction of a warehouse symbolize over 25 per cent of the total costs incurred on logistic. The efficiencies of the supply chain rely upon the efficiency and effectiveness of logistics which includes the operations of warehousing and transportation (Graham, 2003). The efficiencies of the warehouse rely upon a blend of the warehouse layout, design, systems, infrastructure, people and process.

Warehouse Planning and Design Flexibility

A flexible warehouse will be designed by determining the level of flexibility that is required based on the purpose of the warehouse. In case the warehouse serves an archival facility primarily, and is utilized for providing storage to the items that are randomly used, then probably a quick response is not the need of time. In case the warehouse is used for the rapid movement of the large loads in and out of the facility, then it becomes imperative to assess the flexibility in order ...