Minimizing order picking distance through the storage allocation policy
Smyk, Vadim (2018)
Lataukset:
Smyk, Vadim
Yrkeshögskolan Arcada
2018
All rights reserved
Julkaisun pysyvä osoite on
https://urn.fi/URN:NBN:fi:amk-201803073076
https://urn.fi/URN:NBN:fi:amk-201803073076
Tiivistelmä
Continuously changing demand patterns force Logistics Service Providers to develop sophisticated solutions for minimization of the order fulfilment cycle. Being one of the most time -intensive processes in the field of warehousing, picking has the highest impact on the service level. In turn, from the warehouse perspective picking is the most labour-intensive activity and thus reasonably objective of continuous improvement. Scientific discussion emphasis various approaches to optimize the picking process: storage allocation, routing policies and batching algorithms.
The aim of this thesis is to answer the question “How to minimize an order picking distance and improve picking efficiency through the more efficient storage allocation of the items?”
As was revealed in the simulation existing random storage allocation has significant drawbacks, when it goes to the order picking distance. Favorable storage locations are misused for the items with the low picking frequency. Warehouse management is suggested to apply wireless scanners to improve picking and minimize transaction time between systems. It is recommended to implement COI-based allocation with affinity relation component, as an optimal solution with estimated average 90% improvement compared to random storage. The difference in the estimated picking distance between allocation policies increases with the increasing amount of the picking lines. Warehouse Management System should follow picking frequency aspect and affinity relation of the A-class items. ABC stratification is based on the picking frequency. Affinity relation is very important when storage allocation made for the items with the same COI-index, as additional criteria. In addition, availability of the future demand and strong information flow are considered as vital criteria during development of the storage allocation policy.
The aim of this thesis is to answer the question “How to minimize an order picking distance and improve picking efficiency through the more efficient storage allocation of the items?”
As was revealed in the simulation existing random storage allocation has significant drawbacks, when it goes to the order picking distance. Favorable storage locations are misused for the items with the low picking frequency. Warehouse management is suggested to apply wireless scanners to improve picking and minimize transaction time between systems. It is recommended to implement COI-based allocation with affinity relation component, as an optimal solution with estimated average 90% improvement compared to random storage. The difference in the estimated picking distance between allocation policies increases with the increasing amount of the picking lines. Warehouse Management System should follow picking frequency aspect and affinity relation of the A-class items. ABC stratification is based on the picking frequency. Affinity relation is very important when storage allocation made for the items with the same COI-index, as additional criteria. In addition, availability of the future demand and strong information flow are considered as vital criteria during development of the storage allocation policy.