LOGISTICS - STORES PART 2 . The aim of the lecture is to discuss performance of stock operations and handling technology Šárka Čemerková lecturer Logistics - Stores Part 2 . Measurement and evaluation of stock operation productivity Information support of storage Financial aspects of storage Materials handling equipment Structure of the lecture MEASUREMENT AND EVALUATION OF STOCK OPERATION PRODUCTIVITY •productivity - workload - performance •"You cannot control what is not measured„ •most important measurement areas: oCS odata accuracy ocapacity utilization olabour productivity Syndromes of inefficient storage function •excessive handling •low utilization of store area and space •excessive maintenance costs and outages due to obsolete equipment •outdated ways of receiving and dispatching goods •obsolete methods of computer processing of routine transactions Financial aspects of storage •storage = risk •need to track costs by activity •problem of lack of financial data •small production series = low stock volume vs. costs of frequent reset of the production line •economies of scale = larger stocks and increased storage requirements Productivity improvement programs •Method-based programs •Technology-based programs •System-oriented programs •Programs based on motivation / training Transmission of information on stored materials and products •along with moving and storing products •need for up-to-date information •importance of IT in all storage functions •introduction of IT has significant benefits Stock levels Requirements Deployment of stocks Pending orders Normal logistics procedure Labour standards Storage Picking up goods Goods receipt and quality control Sorting and packaging Dispatching Productivity reports Stock updates Stock location Number of cycles Pickup lists Labels, stock updates Transport plans Productivity reports Computer data files Storage activity Computer output MATERIALS HANDLING EQUIPMENT • •supporting elements of storage •one of the major capital investments •classification by the function: ostorage opicking up goods otransport and sorting odispatching of goods Manual systems • •high degree of flexibility - using the most flexible handling system – people •people = errors •less investment intensive Equipment for storage and picking up of goods •racks •shelf systems •pull-out shelf systems •mechanical equipment with operator (e.g. fork-lift trucks) Equipment Type of material Benefits More information Classic pallet racks Goods on pallets Good stocking density, good security of goods Storage density can be increased by placing two pallets in a row Entrance pallet racks Goods on pallets Fork-lift trucks can be used, good storage density Lift trucks can only be accessed from one direction Passage pallet racks Goods on pallets Fork-lift trucks can be used, good storage density Lift trucks can be accessed from both sides High-rise rack stackers Goods on pallets Very high storage density Used in combination with an automated storage and retrieval system Cantilever racks Goods of long length or in rolls Suitable for storing goods with problematic shape (exhausts,…) Each item can be stored in a separate rack Pallet stacking structures Special shapes or breakable parts Unstackable products can also be stacked They can be disassembled Stacking racks Special shapes or breakable parts Unstackable products can also be stacked They can be folded and stacked Gravity racks Individually packaged products / boxes High storage density, goods are shifting by gravity Material flow in the FIFO or LIFO system Shelf systems Individually packaged products / boxes Low cost Can be combined with pull-out shelf for greater flexibility Pull-out shelf systems Small parts and tools All parts are easy to access, good goods security The system can be divided into many types of stock items Sliding rack or shelf systems Goods on pallets, bulk materials, boxes It can reduce the required storage area by up to half Comes equipped with safety equipment Sliding (mobile) rack system Stationary rack system pojizdne regaly.jpg Equipment for transport and sorting •motor or non-motorized equipment (fork-lifts, platform trucks, cranes, various hand trucks) •manual sorting of items: oconsolidation and deconsolidation of items based on specific customer orders ophysical inspection and loading on a pallet or in a box / container intended for a specific consignment otime-consuming process subject to human error oefforts to minimizing o Dispatching of goods •preparing goods for shipment •loading of goods into means of transport - equipment for handling output and input means of transport •motor or non-motorized equipment described above + pallets, palletisers or various packaging equipment Automated systems •types: osystems of automatic storage and search of goods (AS / RS) orotary containers (carousels) oequipment for picking up boxes or items obelt conveyors orobots and scanning systems •common part of modern storage facilities •can be divided into the same categories as manual devices •benefits: oincrease in the productivity of the process of order processing odecrease in product damage oimproving the level of accuracy of stock information oimproving customer service oless need for staff o •shortcomings: oinitial capital costs ooutages or unreliability due to equipment interruption or maintenance oSW related problems ocapacity problems olack of flexibility to respond to the environmental change ohigh maintenance costs ouser interfaces and user training oadoption of the system by workers oobsolescence Equipment Type of material Benefits More information Systems of automatic storage and search of goods (AS / RS) Palletized goods, wide selection of sizes and shapes Very high storage density, computer control Automatically guided vehicles (AGV systems) Palletized goods and other compact loading units Very high storage density In warehouses and production Minisystem AS/RS Small parts Very high storage density, computer control Multiple configurations can be installed to increase flexibility Horizontal carousels Small parts Easy access to goods, relatively inexpensive system Can be stacked more on top of each other Vertical carousels Small parts and tools High storage density In multi-storeyed equipment it can perform a dual function - storage and delivery Human-controlled machines Small parts Very flexible Can be used on high shelf systems or modular pull-out shelf systems Summary of the lecture You can: •Explain the reasons for measuring and evaluation of the productivity of storage operations •Briefly characterize the information security of storage operations •Describe manual systems for handling •Characterize automated handling equipment