All posts by cristinalagard

DISTRIBUTION IN A WAREHOUSE

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Following the same structure, after answering the possible exam questions I have found really interesting some of them and I would like to talk about another one as my previous post.

This question is related with the main processes that occurs in the warehouses, processes which involves all the different tasks needed to develop a product.

There is a plenty of variances in how each process is physically conducted and electronically controlled depending on the company. Which are these processes?

1. Receiving

The act of handling products into a warehouse and onto a system. This depends entirely on the customer requirements and how the system is set up.

2. Put-Away

A good system will deliver to the staff a note indicating that stock is in staging waiting to be transported to a storage location.

3. Picking

Although there are several types of picking, they can be divided into to main types:

  • Primary, the picking of goods
  • Secondary, this is a second picking process related with already sectioned goods by groups or even individual

Once orders are received they can be released in real-time or in waves:

  • Real time downloaded as they are received
  • Waves orders accumulated for specific picking times
  • Packing

There are scores of ways that goods are packed within distribution centers, according the value, toxicity, hygiene, temperature, size.

4. Dispatching

Focused in the operation’s ability to have goods ready for departure, just in time for carriers to load their trucks.

5. Returns

Complex part of any business. Returns is a complex part of any business. A defined process must be in place that accurately and reliably records the whole transaction and credit process.

6. Value-Adding

This part is about performing work on the product to make it ready for sale.

Warehouse management is complex, but done right it can reduce costs, improve customer satisfaction and increase warehouse operational efficiency

CEntralized distribution network

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After solving some of the possible exam questions that we have in an e-mail. One of them has caught my attention because I actually do not know what the real benefits of a centralized distribution network are. So I decided to look for them and write a little explanation of what I have learned in order to help the rest of the class.

With this purpose I think that before knowing the benefits it is important to understand what a centralized distribution network is. When the information is coming just from one point or node it is considering like a centralized distribution network, like, for example, TV. Every point or node just can communicate with the others thought the central one.

Later understanding this centralized distribution network, we can find some advantages versus other distribution networks:

  • Reduced costs: it is necessary to have just one warehouse as center instead of having lots of warehouse which reduce the costs.

  • Equipment: less stuff, materials and furniture in one warehouse than in more than one

  • Simplicity: having a centralized distribution network simplifies the inventory management. Easy to control the inventory and correct the possible mistakes.

Finally it is possible to say that is one of the most preferred distribution network because of its ability to handle every distribution need of its customer.

AUTOMATED STORAGE SYSTEMS

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After Friday’s class talking about warehousing and its design I decided to investigate, as an electronic engineer, about automated warehouse’s design.

I found a really interesting company, AR Racking, which is specialized in designing, manufacturing, calculating, and installing industrial storage systems for heavy loads.

One of its storages systems is the automated warehouse for heavy loads with automated access to unit loads too. They difference two types of automated storage:

  • Automated pallet warehouses
  • Automated warehouses for cartons

The second one it has drawn my attention, they have a particular storage system for mini loads related with cartons.
The mini load automated storage system is the optimal solution for the storage of light and small unit loads with high stock turnover ratios. The system is using automated stacker crane mechanisms to handle loads, offering high performance and reduced carton storage and handling times.

Its system is based on reducing operational isolation and maximizing floor and height space to be considered high density.

Reliability allows the daily inventory of stored products and minimizes errors when handling loads.

The advantages that I can see of this automated warehouse design are:

  • The great density of storage
  • The storage in different heights
  • Ease of the warehouse expanding up to a lot of meters high
  • Handling large weights

GREEN TRANSPORTS AND Logistics

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After last Friday’s class, I started researching transport management systems and it was a surprise to discover that both logistics operations and transport are responsible for 25% of Co2 emissions in Spain.
That is why I have decided to write about this and some keys to make Spanish logistics a more sustainable activity:

  • Lean & Green: companies adhering to this code must commit themselves to reducing their emissions of greenhouse gases, at least 20% within a maximum period of 5 years

  • Alternative propulsion systems: use propulsion systems alternative to diesel such as liquefied natural gas or directly hybrid or electric vehicles for more sustainable logistics

  • Software applications to obtain data on routes, charges and carbon footprint: knowing how much the company pollutes, through what transport, how often and its impact is the first step to reduce these contaminations

  • Intermodality: combining two or more means of transport can be more sustainable, especially if it does not require a quick shipment.

  • Green logistics: try to put value to the efficiency from the ecological point of view to balance this principle with the economic one.

  • Solar light: take advantage of natural resources such as sunlight for daytime taking into account that logistics centers work day and night, reducing electricity consumption and artificial light

BARCODING

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The transport and logistics companies can define the barcoding type needed to implement based on the stored information need. In addition to the 1-dimensional barcodes, there are 2-dimensional barcodes that can store up the data of a packing list, for example.

Barcoding can include: Unique number of an expedition, reference number of an article, postal code of the recipient, etc. Depending on the barcoding use, a compatible type will be chosen. The size of the bar code must be enough to guarantee that the reading is correct.

Barcoding is a technology that allows the automatic information capture and allows to identify products through a numeric code that is usually combined with an alphabetical one. This system is simple to be implemented in any type of organization, regardless of its size or function. Barcoding has two basic characteristics: speed of use, security in the transmission of informationv and standardization. A barcode can contain information of 20 characters, this can be read, decoded and entered into a computer in less than a second, constituting a time saving of seven times more compared to the manual form.

There are different barcoding types:

There are different barcoding types:

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Currently, barcoding allows any product to be identified anywhere in the world, quickly and without the possibility of error.

The barcode unifies the denomination given to each item throughout the Value Network, additionally facilitates the interoperability of its applications with those of its customers and suppliers, and supports the error-free processing of information, also benefiting the consumer in the processes of purchase and payment at the point of sale.

FUTURE LOGISTICS

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  • Robotic warehouses

Many of warehouse activities are managed by robots.

Some distribution centers have already established part of automations in their warehouses. This prism is far from complete automation, which some corporate giants have already been able to apply. Although the consequence of the incorporation of robots to the logistic centers will cause a reduction of staff, many companies start using robots to do multiple tasks.

  • Automation and Digitalization

The digitalization of the processes and automated production will help the industry to an efficient operation of the storage and transport centers, the chains seek the adoption of tools that allow them to optimize their operations and costs.

  • Autonomous transport

Referring to both terrestrial and aerial vehicles (drones).

The semi-automatic trucks are becoming a reality and little by little this new technology will be improved to the point that the trucks are fully automatic.

In addition it is possible to see another type of autonomous “vehicles”. It is about autonomous forklifts that are driven by vision, which improve the speed of tasks in a warehouse. And it is also about drones, focused as not on transport and distribution, especially in urban environments.

  • More green logistics and sustainability

The carbon footprint is increasingly evident on our planet. Pollution remains one of the pending subjects but it is also true that more and more companies are concerned about polluting less. Not only companies and the private sector will be made aware of the environmental impact.

Governments are to applying increasingly restrictive regulations that will affect both vehicles and circulation in large cities. It is important to pay attention to alternatives such as the new ecologically responsible supply chains, the distribution of small packages in large cities with alternative means such as bicycles or the collection of parcels in different centralized locations.

  • Development of the last mile

The system, which is designed to streamline and simplify aid delivery, consists of a handheld computer with an integrated touch screen, barcode scanner and camera, and a laptop that acts as a roaming server. It uses a local ad hoc wireless network that does not depend on connectivity though the capability is there. Since information is exchanged wirelessly – without the need for mobile phone networks, internet connections, or electricity – the technology can be used anywhere.

  • Artificial Intelligence

In the era of “big data”, artificial intelligence will also have a role in transportation, where it will help optimize routes and organize the transport of goods in terms of cost and speed of arrival, and will be able to organize the delivery and collection of goods, taking into account not only current data, but also historical data that you can take advantage of thanks to your learning capacity.

  • Big Data

Millions of data are handled in the logistics industry, and their analysis will allow carriers to improve efficiency, track routes, products and know delays in real time, as well as locate and avoid the risks of the supply chain

  • 3D printing: New challenge in Logistics

The fact of getting to print is something that would reduce delivery times to the maximum, since it would not be necessary to wait until it was produced or arrived at the warehouse.

It is possible also start to print three-dimensional in the own stores of the different companies, what would transform the way of working, reducing manufacturing costs in small batches, and thus reducing storage budgets.

  • Collaborative logistics

One of the clearest trends in transportation is based on collaboration and vehicle sharing. It is a potentially disruptive trend for the supply chain strategy.

  • Blockchain

Technology that functions as an encrypted and distributed database. For some, blockchain is a new paradigm called to transform existing models in many businesses with the definition of new distributed platforms in which the figures of intermediaries or trusted third parties lose validity in favor of consensus and trust approaches (Logistec).

  • ERP software for logistics

Cloud Computing as storage in the cloud, will set a trend again.

  • Augmented reality

Right now it begins to be used in warehouses, specifically, for picking tasks.

  • Internet of things

The internet connection between objects continues to grow as a trend in the logistics sector. The protagonist of this trend is called Smart Logistics or Intelligent Logistics.