OMSAN LOJİSTİK. - 2 - Day 2Day 1 Session 2 – Afternoon Process and Technology Alternatives Pallet Storage Case Picking - Manual - Mechanized Session 3

OMSAN LOJİSTİK

- 2 - Day 2Day 1

Session 2 – AfternoonProcess and Technology

Alternatives• Pallet Storage• Case Picking

- Manual- Mechanized

Session 3 – MorningProcess and Technology

Alternatives• Small Item Picking

- Order Picking Methods - Forward Pick, Slotting, and Replenishment

• Mechanized Picking Systems- Zone Picking- Batch Picking

Session 4 – AfternoonPutting it all Together• Developing the integrated design

- Sizing the Functions- Defining Overall Facility Flow- Orienting Shipping and Receiving- Planning Aisle Patterns

• Integrating Human Activity

Session 1 – MorningDefining the Problem• Context

- Supply Chain, Distribution Network - Single Warehouse Operations

• Logistics Activity Profiling

Pallet Storage

- 3 -

Warehousing—Do You Know?Equipment Cost, Performance, and Productivity

• What should one expect to pay for . . . – A lift truck? How about the battery?– Pallet rack?

• How fast does a fork truck travel? An AGV?• How many cycles per hour can you achieve with . . .

– A fork truck into and out of standard rack?– A turret truck into and out of Very Narrow Aisle (VNA) rack?– An Automated Storage and Retrieval System (AS/RS)?– An Automated Guided Vehicle (AGV)?– A double-deep reach truck . . .

• To the first position?• To the rear position?

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Pallet Storage SystemsDefinition

What does pallet storage mean for your operation?

• In new or “greenfield” projects, pallet storage requirements often define “how big” you need to make the box

• In retrofit/re-engineering projects, pallet storage definition and selection determines “how much can I fit” into the current facility*

• In either case, your pallet storage and retrieval decisions are heavily impacted by your business model

*TPG often refers to this as our “9 Pounds In a 5-Pound Bag” program

Pallet Storage SystemsModule Outline

• Storage modes• Retrieval equipment/system modes• Aisle widths• Facility height• Storage/retrieval mode relationships• Storage/retrieval mode functional and cost

comparisons• Mode selection and sizing factors• Demonstration/exercise

Pallet Storage Systems Storage Options

• Floor Stack• Drive-In/Drive Through• Stacking Frames• Single-Deep Selective Pallet Rack• Double Deep Rack• Push Back Rack• Flow Rack• Cantilever Rack• Mobile Rack• Automated Storage/Retrieval

System (AS/RS)


• Floor Stack• Drive-In/Drive Through• Stacking Frames• Single-Deep Selective Pallet Rack• Double Deep Rack• Push Back Rack• Flow Rack• Cantilever Rack• Mobile Rack• AS/RS

















Pallet Storage SystemsRetrieval Options

• Pallet jack• Walkie Stacker• Counterbalanced• Straddle• Straddle Reach• Turret (Swing reach)• Swing Mast (Drexel)• Sideloader• AS/RS

















Pallet Storage SystemsAisle Options

• Conventional (12-15’ aisle)• Narrow aisle (8-10’ aisle)

– Conventional height– Mid-rise

• Very narrow aisle (4.5-6’ aisle)– Aisle captive– Aisle to aisle– Mid-rise– High-rise

• Automated storage/retrieval (4-5’ aisle)

Pallet Storage SystemsFacility Height Options

Conventional 18-25’ Mid-rise 25-40’ High rise 40-100’

Floor Stack

Drive-In / Drive-

Thru

Single-Deep

Double Deep

Push Back

Flow Rack

Canti-lever

Height Limits

Walkie Stacker X X 12-15'

Counterbalanced X X X X X X 15-18'

Straddle/Reach X X X X X X 20-25'

Turret (Swing reach) X 35-40'

Swing Mast (Drexel) X X 35-40'

Sideloader X X X X 40-50'

AS/RS X X X X 40-100'

Pallet Storage Systems Storage Mode/Retrieval Mode Relationships

Double DeepSingle Deep

A A

Pallet Storage Systems Aisle Widths

A

Pallet Storage Systems Retrieval Options Comparison

Pallet Storage Systems Cost and Usability Comparison

Pallet Storage Systems Key Factors In Determining Storage Mode

• Requirement for FIFO & lot control• Typical receipt size• Handling unit received versus handling unit shipped• Turn rate of storage unit• Overall storage requirement• Overall velocity• Pick from storage versus pick from forward area• Stacking characteristics• Controls capability

– Random versus storage capability– Computer visibility of locations and inventory– Directed activities

• Special needs, e.g. aerosol, chemicals . . .

Pallet Storage Systems Ways To Size Storage

• Utilization study of existing operations - measure current floor space requirements and factor in future business growth

• Measure current cube requirements and reapply to new storage equipment

• Historical database analysis—by SKU, analyze historical inventories, receipt sizes and sales velocity and factor in business growth

• ABC product/SKU analysis—categorize each SKU into classes by sales velocity:

– Establish inventory targets by class

– Multiply SKU cube x inventory target and sum

• Service level expectations - Establish SKU or family target inventories based on economic order quantities, lead time variability, margins

• Inventory simulation

Off-Site Floor Storage

Pallet Flow Lanes

Double Deep Rack Push-Back Rack

Single-Deep rack

Popularity

Floor StorageDrive-InDrive-Through

Pa

llets

on

-Ha

nd

1

2-5

6-10

11-20

<1 Small Parts Storage

Pallet Storage Systems Example Hybrid Storage Systems Design

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Pallet Storage Systems Demonstration/Exercise

• 20,000 sq. ft. available for unit load storage . . .

– 100’ wide x 200’ long

– 40’ clear height

– Just to be nice, there are no columns

– The 100’ wide ends are both open, the 200’ sides have walls; material flows in one end and out the other

• Loads are . . .

– Palletized, stretch wrapped, and highly stable

– Uniformly 40” wide x 48” deep x 60” high, each holds 100 cases

– Floor stack height is 3 loads

• Compare pallet capacity for two scenarios:

Scenario 1: • Block stack storage• Counterbalance trucks• 2 - 12’ aisles• 48” square floor positions

Scenario 2: • VNA single deep w/turret trucks• 5 ½ ’ aisles• 8’ bays• 6 high

- 35 -

Pallet Storage Systems Demonstration/Exercise – Scenario 1

Scenario 1: • Block stack storage• Counterbalance trucks• Two 12’ aisles• 48” square positions

100’

200’

Were it not for the inconvenience of needing aisles, this space could hold • 3,750 of our pallets, or• 375,000 cases, where

200’/4’ = 50 pos100’/4’ = 25 pos 25 x 50 = 1,250 posx 3 high = 3,750 pallX 100 cs/pall = 375K cs

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Scenario 1: • Block stack storage• Counterbalance trucks• Two 12’ aisles• Lane depth, 4-5 pallets• 48” square positions

100’

200’

Per our spec, we need 2 12’ aisles, leaving 76’ of width, therefore . . .

200’/4’ = 50 pos76’/4’ = 19 pos 19 x 50 = 950 posx 3 high = 2,850 pallX 100 cs/pall = 285K cs

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100’

200’

Scenario 2: • VNA single deep w/turret trucks• 5 ½ ’ aisles• 8’ bays• 6 high

Assuming 14’ for each aisle/rack set, you have enough room for 7 aisles, therefore . . .

200’/8’ = 25 baysx 2 pos = 50 posx 6 high = 300 pall/rowx 14 rows = 4,200 pallX 100 cs/pall = 420K cs

This one gets a little trickier, because you need to figure out how many aisles and racks you can fit in the space. In this example, one complete aisle and rack is 14’ (5.5’ aisle plus 2 x 4’ racks plus 6” flue between racks).

Ais

le

Left

Rac

k

Rig

ht R

ack

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Pallet Storage Systems Demonstration/Exercise – Discussion Points

• Which scenario was better? Why?• Why did the VNA solution yield so much

more capacity?• Which is more flexible?• Which is more costly to implement?• Why would you choose one over the other?• Could you imagine a hybrid situation in

which both modes may be indicated?

Pallet Storage Systems Mind the Data—What Space You Need May Surprise You!

SKUs in Group

Case Inventory Per SKU

Total Cases Per Group Pallets/SKU

Lanes @ 10 Deep

Lanes @ 7 Deep

Lanes @ 4 Deep

Lanes @ 2 Deep

Double-Deep Rack

5 18,000 90,000 300 10 15 25 50 15013 6,000 78,000 100 3 5 9 17 5022 3,000 66,000 50 2 3 5 9 2546 1,250 57,500 21 1 1 2 4 1152 500 26,000 8 0 1 1 2 5

116 250 29,000 4 0 1 1 1 388 125 11,000 2 0 1 1 1 2

141 42 5,922 1 0 1 1 1 187 0 -

In this example, the facility had a high proportion of 10-deep bulk storage lanes. As the data shows, very few SKUs are right for 10-deep storage. The facility will be more efficient with a blend that includes shallower lanes and more facings.

Pallet Storage Systems Storage Sizing Rules—Be Flexible!

• Use sensitivity analysis to understand and explore risks

• Determine if it is better to invest on the high side vs. adding incremental space later.

• Have plan established for dealing with too little space

– Build on or add to lease

– Surge warehouse

– Drop ship to customers

– Improve turns on high cube items

– Cross dock

Documents

OMSAN LOJİSTİK. - 2 - Day 2Day 1 Session 2 – Afternoon Process and Technology Alternatives Pallet Storage Case Picking - Manual - Mechanized Session 3