In other words a warehouse should be added or

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In other words, a warehouse should be added or eliminated only when, as a result of this action, the total cost of distribution is reduced. 4.3.5.1 Warehousing Operations The essential processing of materials in a warehouse involves the following operations: 1) Receiving Goods: A warehouse accepts the merchandise delivered by a transporter or an attached factory and then accepts the responsibility for this merchandise. 2) Identifying Goods: The appropriate stock-keeping units are identified and a record made of the number of each item received. It may be necessary to identify the item by an item code, tag, a code of the carrier or container, and/or by physical properties. 3) Sorting Goods: The incoming goods are sorted out for appropriate storage area in the warehouse. 4) Despatching Goods lo Storage: The goods are kept aside where they can be found later, when needed. 5) Holding Goods: The goods are kept in storage under proper protection until needed in the warehouse. 6) Retrieving, Selecting or Packing Goods: Items ordered by customers are taken out from storage and grouped in a manner useful for the next step. 7) Marshalling Goods: The several Items making up a single order are brought together and checked for completeness and order records are prepared or modified. 8) Despatching Goods; the consolidated order is packaged suitably and directed to the right transport vehicle. The necessary shipping and accounting documents are also prepared. 9) Preparing Records and Advices: The number of orders received, the items received and on hand etc. are recorded for replenishment action and stock control, and the demand and receipt data are forwarded to a control centre located elsewhere. 4.3.5.2 Storage in Warehouse One of the fundamental features of warehousing is scientific storage and preservation of goods. A warehouseman is responsible for delivery of goods in the same condition as regards quantity and quality as they were when they were
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44 brought for storage in the warehouse. In order to ensure that the quality remains the same and is well preserved, the following steps are taken: a) One of the samples obtained after a scientific sampling of the stocks is duly sealed with a signed sample slip put inside the bag and is handed over to the depositor for future verification in the event of any dispute as regards quality of the commodity. b) The warehouse is demarcated into different sections for storage of different commodities or items according to their nature. These commodities or items are accepted in the specific section meant for such goods. c) Dunnage, crates or pallets are used where goods are to be stacked on the floor. This is done to ensure that there will not be any sweating, or that the packages are not affected by any leakages in the walls or roofs, etc., d) Different stacking methods are adopted, depending on the size of the packages and the duration of storage.
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