L.O 9.3 Discuss modern warehouse management and terms such as ASRS, cross-docking,and random stockingWarehouse layout mean :A design that attempts to minimize total cost by addressing trade-offs between space andmaterial handling.The objective of warehouse layout is to find the optimum trade off between handling costand costs associated with warehouse space . Consequently, management’s task is to maximize theutilization of the total “cube” of the warehouse that is, utilize its full volume while maintaininglow material handling costs.Modern warehouse management is, in many instances, an automated procedure using automatedstorage and retrieval systems (ASRSs). An important component of warehouse layout is therelationship between the receiving/unloading area and the shipping/loading area. Facility designdepends on the type of supplies unloaded, what they are unloaded from (trucks, rail cars, barges,and so on), and where they are unloaded. In some companies, the receiving and shippingfacilities, or docks , as they are called, are even in the same area; sometimes they are receivingdocks in the morning and shipping docks in the afternoon.Cross DockingCross docking : Avoiding the placement of materials or supplies in storage by processing them asthey are received for shipment. Random StockingRandom stocking : Used in warehousing to locate stock wherever there is an open location.Computerized random stocking systems often include the following tasks:1.Maintaining a list of “open” locations 2.Maintaining accurate records of existing inventory and its locations 3.Sequencing items to minimize the travel time required to “pick” orders 4.Combining orders to reduce picking time 5.Assigning certain items or classes of items, such as high-usage items, to particular warehouse areas so that the total distance traveled within the warehouse is minimized.
