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-Aung Kyaw Moe / Task 4 Warehouse and Inventory

Memo To: From: Date: RE: Francois Damba Aung Kyaw Moe
29 May 2013

TASK 4 WAREHOUSE AND INVENTORY

Selection of storage and handling equipment. Warehouses are the places where supplies are systematically stored for a certain period and it involved the process of (1) unloading cargo from the vehicle (2) putting in place of the cargo and stacking (3) retrieving and picking the cargo at the time of dispatch and (4) loading cargo onto the vehicle to ship. In this regard, based on the factors for instance size and layout of the warehouse, we have to select the appropriate storage and handling equipment to use. The major advantages of selecting storage and handling equipment are (1) reduction of unit handling time and cost (2) improvement of efficiency in space usage and warehouse layout and (3) ensuring workers safety and high productivity. Since Betaland is one of the developing countries, there are high availability of labor and highly sophisticated equipment for handling are usually expensive, therefore SCILaid should think of whether to invest for equipment or use labour which is easily available. Labor-driven approach to warehouse operation has many advantages as follows: -Labour is easily available -Easily managable -Cost-effective -Help to create employment opportunities for the local people -Building good relations with community -No maintenance cost (except some safety measures) It is quite easy to find manual labour in Betaland who can be trained in warehouse operation with little effort. However, utilizing state-of-the-art equipment also has many good points to consider for long term warehouses since there are wide ranges of equipment now easily available that can increase efficiency of warehouse operations. These instruments can be listed as (1) equipment for Horizontal Movement, Storage and retrieval and (2) Order Picking equipment. Our new warehouse is only for the temporary use because of the impending cyclone Bharat, therefore what need for equipment to be used in this new warehouse are Horizontal movement equipment as well as storage and retrieval. Monthly flow of 1000 MT of food rations may also need mechanization that will improve efficiency to some an extent. By utilizing machine-operated equipment, we can reduce unit handling cost and other overhead costs. We will surely need the following equipments for Horizontal movement:

Sack trucks Sack trucks are the most fundamental type of equipment that is suitable and cost very low price compared to other sophisticated ones that we can use in our new warehouse. Its payload is generally about 100 Kg and even a new comer in the warehouse can know how to use it very easily, without any further training. Within its limit and capacity, it can be used for receiving, storing, picking and dispatching the cargo as we need.

Hand pallet trucks When the cargo is palletized, we can use Hand pallet trucks to move the cargo. Most of our stocks in the warehouse are coming in bags and not in the palletized form, so we may not need to use it so frequently. But this equipment can carry 2000 Kg heavy cargo. In this case, some non-food items which are bulky and heavy, we can have help from this equipment to move the items on the smooth floor.

Equipments for Storage and Retrieval Storage capacity may be increased by making better use of the floor space available; by reducing the aisle widths. The normal width of a Narrow Aisle is approximately 2 meters and adds approximately 33% to storage capacity. This may be achieved in two ways:

(1) Support Arm Stackers are the equipment can be walk with, where maneuverability is
necessary. In a situation that the operator needs to get on and off his machine frequently, the stand on type of that machine is generally preferred. But we should choose the sit-on version which is less tiring if the travel distances are lengthy and the work flow is steady.

(2) Reach Trucks are the equipments that can lift heavier loads higher than support arm stackers
can, thereby providing extra flexibility in terms of the unit loads that may be handled. These trucks have a smaller turning circle than those of Support Arm Stackers, so gain much more maneuverability. This allows the use of narrower aisles and thus increases available storage capacity.

The new warehouse in Betaland is a transit warehouse where supplies are temporarily stored, categorized in kits and dispatched to the refugee camps for distribution. Selecting storage equipment must be reflected on the frequent movement of supplies. The main objective of storage equipment is to conserve space in the warehouse. It requires careful consideration of balancing handling time and maximising storage space. We must have a separate storage area for non food items of the contingency stock based on the type of products stored.
Storage Types Loose Storage in which Goods are stored in silos or in piles on a floor or yard. Binned Storage in which we can assign a cell in a racking or shelving system is allocated to a particular product. It is used for keeping a large variety of small components on a very compact face in different containers vary in sizes, color and shape, and most have semi-open fronts Shelved Storage, in which many different types of shelving, most of which is adjustable with different spaces, sometimes is used with small tote pans for small manageable units. Block Stacking is the style of storage in which the supplies are packed in unit loads, and stacked to their maximum safe height, based on the weight and stability of the unit packages.

This is the most suitable form of storage for the food item we store at the warehouse including flour bags, sugar and grains. Items are stacked in separate blocks for ease in retrieval. We have a problem when the supplier does not deliver in standard packing and have to use other storage methods.
Adjustable Pallet Racking has three main components, slotted uprights formed into frames, beams with connectors which allows quick fitment to frames, and base plates for floor fixing and load spreading. These can help us in storage of non food items. The adjustable pallet racking as the

name emphasis are flexible and can be tailored according to our needs.

Safety and Security Other equipment and tools that will be necessary for our new warehouse is those of safety and security equipment such as Fire Extinguishers, Smoke and Heat Detector, and First Aid Kits. First Aid Kits A warehouse is an area of work where accident and injury can likely happen. In this case we have to be prepared for injury come out of work, especially loading heavy cargo. Any general first aid kit can serve the purpose of dealing with minor injuries. The warehouse management should arrange to have a first kit and the containing items are regularly checked for expiry dates. Fire Extinguishers Warehouse is a place where there might be many highly inflammable goods were stored and fire can be broken out especially in hot season. In this regards, we need to install at least two fire extinguishers or each section and two near each entrance and exit doors. The professionals must be assigned to check the readiness of these fire extinguishers and note the date of checking and the due date for next check. The Refilling dates should be clearly marked on the fire extinguishers. We can also use the traditional wisdom of fire extinguishing by sand buckets and water hose available to extinguish fire. Smoke and Heat Detector Extinguishing fire is actually a late step. Before that we need to know ahead that a fire is about to break out. In this regard, installing smoke and heat detectors in our warehouse is necessary for early warning and prevention. Equipment for a short temporary period of warehousing Since our new warehouse is for temporary purpose, we should not invest much in buying and install expensive and sophisticated equipment. Since manual labour is ample and cheap in Betaland, we have to use man power as much as possible and that will give us much level of flexibility and manageability. The basic equipment like sack truck should be widely used on levelled surface of the warehouse that is highly recommended for temporary warehousing.
Best Regards, Aung Kyaw Moe Logistics Officer Sub-Office (SCILaid Betaland)