9th Annual International Conference on Industrial Engineering and Operations Management

Random Location under Fixed Zone Storage Strategy A Case Study of Automobile and Electronic Parts Manufacturing Factory

Pikchaya Khongkaew
Publisher: IEOM Society International
0 Paper Citations
1 Views
1 Downloads
Track: Logistics
Abstract

Nowadays, small to medium size automobile and electronic parts manufacturing factories intend to improve their Logistics Performance in conjunction with improve production process and products development for response customer service level and get competition opportunities. For this reason, this research selects one medium size automobile and electronic parts manufacturing factory in Thailand to be case study. There are 239 active Stock Keeping Units (SKUs) which be sold to customers. The concerned issue was “cannot deliver products to customer on the first request date and time” caused from spent long time for picking at finished goods warehouse. After observation and analyst data, found that there was mixed SKUs in some locations, some was empty meanwhile there were 18 pallets on the floor and location utilization was 61.31%.  This research aims to design new storage strategy and develop initial program with using Visual Basic Application (VBA) for support all processes.  The results after adjust storage strategy from Fixed Location to Random Location under Fixed Zone and develop initial program which can decrease picking process time by 3.93 minutes per order and increase location utilization by 23.21% moreover can increase space worthiness ratio which compare between warehouse rental cost and actual active locations.

Keywords

Storage Strategy, ABC Analysis (Inventory), Visual Basic Application (VBA).

Published in: 9th Annual International Conference on Industrial Engineering and Operations Management, Bangkok, Thailand

Publisher: IEOM Society International
Date of Conference: March 5-7, 2019

ISBN: 978-1-5323-5948-4
ISSN/E-ISSN: 2169-8767