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Complete 13 pages APA formatted article: Warehousing and Inventory Management of Seven-Eleven Japan.
Complete 13 pages APA formatted article: Warehousing and Inventory Management of Seven-Eleven Japan. In the process of developing an effective space and layout plan for warehouses, J.P. van den Berg et al. (1998) propose a model to solve the forward-reserve problem in the case of unit load replenishment. Those replenishments can occur during busy or idle picking periods. Hackman and Rosenblatt (1990) were the first to address the issues of deciding which product to store in the forward area (assignment issue) and how much to store (allocation issue). Frazelle et al. (1994) propose a model that tackles three warehouse decisions: the size of the forward area and the allocation/ assignment of products to the forward area. They propose a model which minimizes the total warehousing costs, which depends on the size of the forward area replenishment cost of the forward area, Reserve/forward picking cost and the cost of capital (shelving’s), under forwarding capacity and congestion constraints. Storage policies remain the least investigated. Random storage is the most widely used option, and Schwarz et al. (1978) examined its performance. Eynan and Rosenblatt (1994) claimed that the class-based storage required fewer data processing and yielded similar saving with volume-based storage.
Essentially these different designs have different benefits and disadvantages. The bulk store is achieved by placing low usage farthest away from the exit point and the high usage stocks near to the exit. This also saves time and minimizes the distances traveled for fast-moving stocks with better security and surveillance. The main disadvantage is the central aisle may become congested in periods of high throughput.
The cross warehouse is a one-way system with goods inwards flowing to the left on entry and then into one of the three designated storage areas depending on high, medium or low storage items being identified. This design retains the main advantages of the T system and removes the central aisle congestion problem.
