Stores management
Traditional focus on efficient stock holding
Recent focus on efficient stock movement because:
Reduce expenditure on storage and handling
Facilitated by computerised inventory systems and
automation
Value-based supply chain concept - optimising customer
service with minimal inventory investment and operating
costs
Changes in manufacturing e.g. JIT
Development of logistics systems designed to integrate
purchasing, transportation, inventory management and
warehousing activities
The ‘Time Compression' concept
Stores Management General Objectives
Most efficient use of space available
Rapid and easy access to stock
Efficient and balanced traffic flow
Mechanisation and automation are appropriate
Minimal travel distance for stock
Minimal number of handling occasions
Positive location and identification of stock
Appropriate product grouping relating to similar storage
characteristics and issue frequency
Maximum protection and security
Regular review of stock and processes to ensure the objectives are
continually met
Do you believe your store meets these objectives
satisfactorily?
Which objectives are most problematic?
Which objectives are met well?
Stores Management Concepts
Pareto and ABC analysis
Cube Principle
Goods Movement Theory
Stores design & workflow
Identification & allocation of storage locations
Constraints Theory
U-flow
Low usage items
Medium usage items
High usage items
Goods-In
Dispatches
Through-flow
Low usage items
Medium usage items
Goods-In
High usage items
Medium usage items
Low usage items
Dispatches
Identify the constraints in your organisation.
How are they managed?
Automation
Advantages
Space – small footprint
Speed
accuracy
Disadvantages
Cost
Power or system failure