Engineering The Warehouse Course

 Introduction

Our civilisation has passed through three major periods, the third of which began within the memory of most of us. The first was the age of Agriculture, the second great period was the Industrial Era, while the newest period is the Age of Information; the utilisation of computers and radio frequency terminals as common warehousing tools has taken place only in the last three decades, the goal of the course is to develop a better understanding between the third-party warehouse operator and the user of these services.

On completion of this course you should be able to: 

• Explain the fundamental role warehousing provides in management of an effective logistics system.
• List the functions of warehousing and discuss its value and elements.
• Recognise the advantages and disadvantages of contract warehousing.
• Explain the significance attached to warehouse operations.
• List the elements of warehousing with a great clarity.

Course Outline

Module 1: Background of the Warehouse Industry

The Evolving Role of Warehousing

• History of Warehousing
• The changing role of Human Resources management
• Warehousing as part of a logistics system
• Globalisation of warehousing

The Functions of Warehousing

• The Functions and alternatives of warehousing
• Cost structure
• The balance between risk and costs
• The changing value of warehousing
• Elements of warehousing

The Pros and Cons of Contract Warehousing

• The Historical perspective
• Is the contract primarily for Lending Institutions?
• The "Evergreen" contract
• The pricing challenge in contracts
• Contracts and stability

Warehousing and Corporate Strategy

• A mission statement for warehousing
• The make or buy decision
• Dealing with growth
• What business are you in – or, should form follow functions
• Motives for contracting out

Module 2: The Elements of Warehouse Management

Communications and Electronic Data Interchange

• Warehousing forms
• Damages
• Stock status information
• Communications and order picking
• Dealing with complaints
• Developing a standard procedure
• EDI – How it looks from the warehouse
• Justification for EDI
• How does it work?
• How widely has EDI been accepted?
• The future of EDI

Packaging and Identification

• Functions of a package
• How the package affects warehousing
• Effect on stacking
• Packaging for utilisation
• Identification
• Container handling
• Package design
• Choosing a contract packager
• A series of compromises

Transportation

• Carrier selection
• The bill of lading
• Shipper's load and count
• Released valuation
• Terms of sale – F.O.B
• Dealing with claims
• The special problem of hazardous materials
• Integrated logistics

Accountability

• Title
• Inventory responsibility
• Product liability
• Insurance
• Summary of claims procedures

Starting-up or moving a warehouse operation

• Reasons for finding another warehousee
• Options for your next warehouse
• Requirements definition
• Finding the best location
• Architectural features

Auditing warehouse performance

• Quantifying warehouse space
• Quantifying equipment utilisation
• Quantifying productivity of people
• Quantitative measures
• Tracking accuracy
• Account profitability

Module 3: Real Estate Aspects of Warehousing

Finding the Right Location

• Location theory
• Outside advisers
• Requirements definition
• Location models
• The final decision process

The 21^st Century Logistics Facility

• Definitions and Concepts
• Who uses logistics facilities?
• Regional and national differences
• The changing players in logistics
• Seven megatrends
• The location decision
• The building design
• Operational changes
• Financial considerations
• Conclusion and recommendations

Planning Warehouse Operations

• Planning for Future uses
• Space planning
• Planning for people and equipment
• Contingency planning
• Postponement
• Selecting a third-party operator

Protecting the Warehouse Operation

• Preventing casualty losses
• "Mysterious Disappearance"
• Safety, Sanitation, and housekeeping
• Verification of inventories and cycle counting