ANALYSIS OF TAPAL TEA WMS

Group Members:Adeel Armaan ZaidiFahad Khalid

Presented to:Sir Zulfiqar Ahmed Farhan

Introduction of Tapal Tea

Established in 1947Multiple Tea brands TAPAL danedar Family mixture Mezban Tezdum Shades of Green Tapal Special Beverages (Ice Tea)

Warehouse network in Pakistan

TAPAL has 6 main warehouses in Pakistan which are

located in the following cities. KARACHI HYDERABAD FAISALABAD SUKKHUR MULTAN RAIWIND

ERP used by Tapal Tea

Tapal tea uses Warehouse Management System (WMS) a module

of SAP for their warehouse operations across Pakistan.

A comprehensive Warehouse Management System helps

streamline multiple functions of your Warehouse. i.e. Receiving Put-away Picking Packing

 Need of WMS in Tapal Tea:

Following are the operations that arises the need of WMS in

Tapal Tea Timely Storage in Racking system Damages of cartons Active and efficient dispatches Pilferage doubt Immediate Receiving at Dock Identification and traceability of stock Stock movement within the warehouse FG Stock Aging Daily stock verification

WMS in Tapal Tea

Implemented SAP suite WMS in year 2011 Go Life in May 2013 Previously Tapal use Oracle Management’s concept using Oracle was

to emphasis on Finance & HR Whereas SAP is strong in manufacturing WMS is the right option for warehouse

management

Advantages for the WMS users:

WMS can help Decision makers to access an instant

picture of:

How much inventory exists in the warehouse How many orders are currently being shipped? What are the stages of processing of pending

orders? Staff productivity details Goods shipped by the warehouse over any given

period of time.

Benefits of WMS in Tapal Tea

After the implementation of WMS, the management

of Tapal tea have been facilitated by various benefits

in terms of Inventory management, space utilization,

usage of MHE as well as human resource productivity

Comparison of operations before WMS & after implementation impacts in Tapal Tea

Benefits of WMS

Visibility

Visibility of inventory & orders not available

Decision making was done on primary information

Under / over stocking due to no digital authentic record

Manager access to customer queries.

Clear information on one window

ASN helps further order process.

WH activities can be tracked, reported, monitored & controlled.

Visible to all authorities & who willing to see.

Beneficial for multiple located warehouses & sales offices

Before WMS After WMS

Accuracy

Orders accuracy was not controlled

Right order to the right customer was complicated

Shipping accuracy was a challenge

System keeps an intensive check of the goods or an SKU meant for different customers

System visibility increases time efficiency

Sudden orders can be treated easily by shipping accuracy

Before WMS After WMS

Inventory holding cost

Controlled & streamlined inventory flow in profitable & productive manner

Payback period is short as 60% organization’s working capital is tied

Results of such savings are immediate and apparent

After WMS

Optimized storage

Multiple products storage is done manually

Orders making is inefficient due to human errors

Throughput of inventory was difficult to monitored properly

System identify the storage of multiple SKU’s

Error less picking of inventory due to system directed

All SKU’s are stored dedicatedly

System identifies the need of inventory in SKU’s anywhere from the warehouse

Before WMS After WMS

Optimum usage of MHE’s

Receiving & put away becomes system directed

Interleaving another option for efficient usage of MHE

System identifies the maintenance of MHE’s

After WMS

Warehouse ops Accuracy & Speed

Inefficiency in time management due to manual data input

Right order to the right customer is a challenge

Inventory demand completion is time taken

Operator's task made easy and data input process becomes fast

Programs like Locating and Pulling are especially designed to run on hand-held radio frequency terminals

Emphasis on scanner based data input

System directed WH activities increases the speed as well as accuracy

Before WMS After WMS

Order processing

Only one order can be processed at one time

Customer orders suffered due to no visibility of inventory

Delays in orders receiving & completion

More than one order can be processed at any given time

Order processing ease through visibility of inventory available

Ease in data entry of orders

Time efficiency helps in better resources utilization

Before WMS After WMS

Optimal level of Inventory

In an average business around 60% of the working capital is tied down in the inventory

Warehouse should maintain optimal level of inventory avoiding both under and over stocking

WMS not only streamlines the flow of inventory but also tracks the inventory at various levels of processing

Avoid Under & Over stocking through system directed decision making

After WMS

Order & Stock Planning

Order & Stock planning not easy in a non-automated warehouse

Need of multiple SKU’s not clearly visible

Identifying key suppliers is difficult

WMS determine how much inventory exists in the various stages of processing unlike in non-automated warehouse management

Policy decision to be taken about the reliability of the suppliers

Sales dept can determine how much inventory is available and can relate better to the warehouse staff thus improving Customer Relationship levels

Before WMS After WMS

Better Revenue realization

Companies often loose considerable amount of revenue due to: Excessive/under stocking Over/under shipping to customers.  Wrong consignments. Inaccurate billing.  Delay in order processing leading to order

cancellation.

WMS helps in controlling these losses to a large extent.

After WMS

Resource Planning & Productivity

By keeping track of the operator's and staffs' activities, their productivity can be monitored

Technical personnel hired for WMS so they help increasing others knowledge

Trainings also increases productivity of work force As a result all resources - Man, Machine, and

Money are utilized to their optimum level

After WMS

Conclusion

“After through analysis of situation, we have achieved all the required activity trough system generated document & New warehouse orientation step by step jobs created and given to time to time have been Successfully completed conclude that proper warehouse management system meet our present requirement.”