Improving efficiency on warehouse management: A case study of beverage company’s distribution center

Sirawadee Arunyanart, Piyanuch Tangkitipanusawat, Kazuho Yoshimoto

Research output: Contribution to journalArticlepeer-review

Abstract

Inventory and warehouse management plays a key role in the performance and effectiveness of every company that carries any products. Sunk costs are inevitable when keeping a number of products to fulfill customers’ needs, while storing items with less flexibility to satisfy customers’unforeseen demands may upset business opportunities. Therefore, the utmost priorities are to manage a storage of stock inventory efficiently. The purpose of this study is to improve the efficiency on warehouse management in one of the distribution centers of a beverage company in Thailand. A number of methods have been applied to find optimal safety stock, maximize space utilization, and revise pattern of storage locations by using a Warehouse Layout Model with an ABC analysis technique to place the products that have more activities to stay effectively accessible. The results indicated a 59.46% reduction of the company’s safety stock, a 13.73% increase in storage volume which created capacity for 365 additional pallets, and a roughly 42.32% decrease for moving distance of goods in the distribution center.

Original languageEnglish
Article numberAPST-24-03-01
JournalAsia-Pacific Journal of Science and Technology
Volume24
Issue number3
Publication statusPublished - 2019

Keywords

  • Abc analysis
  • Beverage industry
  • Safety stock
  • Storage assignment
  • Warehouse layout model

ASJC Scopus subject areas

  • Engineering(all)
  • Agricultural and Biological Sciences(all)

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