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8/19/2019 Tema05 Material Handling
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Cadena de suministroMtro. William H. Delano Frier
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Cadena de suministro | Profesor William H. Delano Frier
Module 5
Material Handling
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Cadena de suministro | Profesor William H. Delano Frier
Syllabus
• Material Handling
• Objectives
• Principles
• Types of Material Handling Equipment
• Productivity
• Warehouse Distribution
• Selection process
• Service Levels
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Cadena de suministro | Profesor William H. Delano Frier
Introduction
• Material Handling includes all the basic operations
related to moving products within a facility using
some type of equipment
• Material Handling is not limited to movement, but
includes packaging and warehousing activities, taking
into account the time and space needed
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Cadena de suministro | Profesor William H. Delano Frier
Planning
• It´s important to plan movements due to the
following reasons:
• Represent an important component of the total
production cost
• Affects the operation and facility design
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Cadena de suministro | Profesor William H. Delano Frier
Planning
• Objectives
• Improve facility utilization
• Increase the material flow efficiency
• Reduce the handling cost
• Increase productivity
• Simplify the manufacturing process
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Cadena de suministro | Profesor William H. Delano Frier
Planning
• Risks of a poor material handling system:
• Queues / Delays
•Machine downtime• Late delivery of raw materials to the line
• High inventory
• Variation in production programs
• Labor security risks
• All this can be expressed in high costs and customerdissatisfaction reflected in financial losses
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Cadena de suministro | Profesor William H. Delano Frier
Planning
When performing materials handling planning the
following should be taken into consideration:
• Shorten transport distances as possible
• Use simple patterns
• Transport load in both directions
• Transport full loads• Take advantage of gravity
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Cadena de suministro | Profesor William H. Delano Frier
Materials Handling Principles
Planning Principles• The management of all material must be the result of a deliberate
plan where the needs and objectives are identified early on
Standardization principle• The methods, equipment, controls, and software management, the
material must be standardized without sacrificing flexibility
Principle of work
• The work of the material direction should be minimized withoutsacrificing productivity or the level of service required for theoperation
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Cadena de suministro | Profesor William H. Delano Frier
Material Handling Principles
Ergonomic Principle• The human capabilities and limitations should be
recognized to ensure safe and effective operations
Loading Principle• Unit loads will be classified and appropriately configured in
a manner that achieves the objectives of the flow of material and the inventory in each stage of the supply chain
Principle of space utilization• The effective and efficient use of all available space
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Cadena de suministro | Profesor William H. Delano Frier
Material Handling Principles
System Principle• The activities of the movement and storage of materials must be
fully integrated to form a coordinated system
Automation Principle• The material handling operations to be machined and automate
where feasible improve operational efficiency
Environmental principle
• Consider the impact to the environment when making a design
Life cycle cost principle• A thorough economic analysis should explain the entire life cycle
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Cadena de suministro | Profesor William H. Delano Frier
Material Handling Equipment
• Includes:
• Transportation equipment
• Warehousing System
• Unifying Equipment
• Identification Systems and Product Tracking
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Cadena de suministro | Profesor William H. Delano Frier
Transportation Equipment
• Main Handling Equipment:
• Conveyors
• Cranes
• Vehicles
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Cadena de suministro | Profesor William H. Delano Frier
Transportation Equipment
ConveyorsCharacteristics :
• Continuous movement over a predeterminedpath
Advantages :• Moves high volume
• Speed may be regulated
• Loading and unloading at any point of thepath
• Move and merge with other operations
Disadvantages :By following a fixed path it serves certain areas
• Bottlenecks can occur
• A breakdown paralyzes the entire line
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Cadena de suministro | Profesor William H. Delano Frier
Transportation Equipment
CranesCharacteristics :
• High lift equipment to move material
• Its use involves offsetting an opposing force
Advantages :
• Lift and move material
• Little interference with the working area
• It maximizes production floor based on itslifted installation
• Can move heavy loads
Disadvantages :
• Large investment
• It Serve a limited area
• Straight Movements
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Cadena de suministro | Profesor William H. Delano Frier
Transportation Equipment
VehiclesCharacteristics:They can be manual or motorized
• They move load over variable routes
Advantages:Its use is not limited to a predeterminedroute
• Can load and move a load
• They serve multiple areas increasing itsuse
Disadvantages:Limited capacity (weight)
• Limited capacity per trip
• Requires predetermined aisles
• Operator required
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Cadena de suministro | Profesor William H. Delano Frier
Transportation Equipment
Select the proper vehicle:
Depending on the load to move and
distance to travel, the following chart is
used to determine the type of transportation vehicles:
Some vehicles commonly used are:
Forklifts Trucks Pallet Trucks
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Cadena de suministro | Profesor William H. Delano Frier
Warehousing Systems
Bulk storage• Store materials in an open area
• Require little or no storageequipment
Rack• Structures designed to stack loads
vertically, thus increasing efficiency
Shelving and compartment• Shelves can include storage
compartments
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Cadena de suministro | Profesor William H. Delano Frier
Warehousing Systems
Drawer storage• To find items stored on shelves can
be difficult if the rack level is toohigh or too low or too deep
• The drawer storage is generallyused for tools, hardware, and othersmall items.
Automated systems
• Rotating carousel systems thatstore more than oneloading/unloading station.
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Cadena de suministro | Profesor William H. Delano Frier
Identification Systems and Product
Tracking
• Usually the product islabelled (directly to the item
or to the packaging) toidentify and keep track of it
• The most commonly used
label consists of bar codeswhich can be read rapidlyand automatically
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Cadena de suministro | Profesor William H. Delano Frier
Levels of Mechanization
Classification
• Depends on the driving source and the degree of participation of human and computer
Degrees
• Manual and human physical effort dependentTrucks
• Mechanized
Uses driving force instead of human physical effortOperator required to operate and not to provide thedriving force
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Cadena de suministro | Profesor William H. Delano Frier
Levels of Mechanization
• Degrees
• Mechanized supplemented with computers•
The computer generates documents indicating the route and the task.Automated
• Low human involvement
• The computer gets instructions from a control panel (human factor)AS / RS, AGV
•Fully automated• The computer produces the activation signal
• It eliminates the human factor
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Cadena de suministro | Profesor William H. Delano Frier
Productivity
Measurement
• In order to determine productivity it is necessary to
measure system effectiveness to determine if goals
are being achieved
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Cadena de suministro | Profesor William H. Delano Frier
Productivity
Index
• Material Handling – Labor (MHL)
• Equipment Utilization (HEU)
• Space utilization for warehousing (SSU)
• Percentage of Aisles(ASP)• Damaged Load Units (DL)
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Cadena de suministro | Profesor William H. Delano Frier
Index
• Material Handling – Labor (MHL)
• It can be measured in hours or $.
• The index should be:
• < 1 In General
• < 0.30 In The Plant
•> 0.30 In The Warehouse
HeadcountTotal
HandlingMaterialforHeadcount MHL
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Cadena de suministro | Profesor William H. Delano Frier
Index
• Equipment Utilization (HEU)
• The index should be closer to 1
• Warehousing Space Utilization(SSU)
• The index should be closer to 1
CapacityInstalled
hourpermovedKgHEU
SpacesAvailable
SpacesUsed
SSU
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Cadena de suministro | Profesor William H. Delano Frier
Index
• Aisle Percentage(ASP)
• 0.10 < ASP > 0.15
• Units of Damaged Load (DL)
• Measures the labor quality
SpaceTotal
AislesforSpaceUsedASP
loadTotalloaddamagedof unitsof #DL
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Cadena de suministro | Profesor William H. Delano Frier
Selection
• Factors• The factors that should be taken into account are:
• Material to be moved• Type, volume, weight, form, and size
• Displacing• Frequency, route, space for aisles, loading/unloading
• Warehousing
• Surface, volume, form and size
• Columns and docks
• Cost• Investment, operating cost, depreciation
• Other factors• Flexibility, obsolescence
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Cadena de suministro | Profesor William H. Delano Frier
Agenda
• Design• Discrete Modeling System
• Design Process / Permanent Location
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Cadena de suministro | Profesor William H. Delano Frier
Design
• The objective of the
design consists on
answering the following:
• Number of warehouses
needed?
• Warehousing and
Replenishment Methods?
• Product Location inside the
warehouse?
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Cadena de suministro | Profesor William H. Delano Frier
Layout TypesConventional types of layouts:
Fixed Position
Big and heavy product. The products remain in a single location during
most of the production time.
Position based on type of Process
A variety of products are manufactured in small or medium workdays.
The system must be flexible to support variations.
Position based on type of product
Standard production in high quantities (scaled production).
The automobile final assembly is designed as a product layout.
Design
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Cadena de suministro | Profesor William H. Delano Frier
Design
• Models
• Discrete Models
• The materials are considered static• Pallets, bags, containers
• Continuous Models
• The material is constantly being consumed
• Silos, tanks
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Cadena de suministro | Profesor William H. Delano Frier
• The location is assigned by two methods:
• Sequentially• Benefits
• Simple use
• Product is stored sequentially by item numbers
• Disadvantages• It Does not take into account the transaction volume
• Products with high turnover can be stored in farther away locations
• Transaction Flows•
Takes into account:• Activity Level
• Volume to be stored
• It is preferred over the sequential method
Permanent Location
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Cadena de suministro | Profesor William H. Delano Frier
Permanent Location
• Methodology
• Required Space
• Expected Service Level
• Costs
• Warehousing / Supply
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Cadena de suministro | Profesor William H. Delano Frier
Space Requirements
• The number of spaces assigned to a certain product
must be enough to store the maximum expected
volume.
Producto
Demanda diaria
(pallets)
Reposición
(pallets)
1 2 8
2 5 40
3 2 12
4 1 12
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Cadena de suministro | Profesor William H. Delano Frier
Space Requirements
• Example….Período Producto 1 Producto 2 Producto 3 Producto 4 Acumulado
1 8 1 0 2 5 2 5
2 6 5 12 4 2 7
3 4 4 0 10 3 5 7
4 2 3 5 8 2 4 7
5 8 3 0 6 1 4 5
6 6 2 5 4 12 4 7
7 4 2 0 2 11 3 7
8 2 1 5 12 10 3 9
9 8 1 0 10 9 3 7
10 6 5 8 8 2 7
11 4 4 0 6 7 5 7
12 2 3 5 4 6 4 7
13 8 3 0 2 5 4 5
14 6 2 5 12 4 4 7
15 4 2 0 10 3 3 7
16 2 1 5 8 2 2 7
17 8 1 0 6 1 2 5
18 6 5 4 12 2 7
19 4 4 0 2 11 5 7
20 2 3 5 12 10 5 9
21 8 3 0 10 9 5 7
22 6 2 5 8 8 4 7
23 4 2 0 6 7 3 7
24 2 1 5 4 6 2 7
Má xim o 8 4 0 12 12 5 9
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Cadena de suministro | Profesor William H. Delano Frier
Space Requirements
• Example…
• Total Space= 72 Pallets (8+40+12+12)
• Maximum used space in one day= 59
Total Space = Maximum Pi
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Cadena de suministro | Profesor William H. Delano Frier
Sizing on the basis of Service
Levels• Warehousing Capacity based on the probability of
missing space
• Where:
• Q j = Assigned spaces for the product j
• F j = Cumulative Distribution Function
Q
Q
j j
j j
n
1 j
n
1 j
n
1= j
F
F
1=1)esPr(faltant
=0)=esPr(faltant
Pj)para0=esPr(faltant=0)=esPr(faltantNo shortages)
No Shortages)
1 or more shortages
No shortages for product j)
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Cadena de suministro | Profesor William H. Delano Frier
Sizing on the basis of Service Levels
• Example.....
In the warehouse where 5 products are stored,
the Service Level should cover Mean +2.25 s. The
probability that a number of spaces required ona particular day can be approximated by the
normal distribution
Required spacesProducto Media Desviación Estandard
1 30 8
2 40 10
3 50 15
4 50 12
5 40 12
Product Mean Std Dev.
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Cadena de suministro | Profesor William H. Delano Frier
Sizing on the basis of Service Levels
• Example...
• The number of spaces Q assigned to product j isgiven by:Q j = M j + z jσ j• where:
• M j = Mean of required spaces per day
• z j
= Safety Factor
• j = Standard Deviation for the required spaces per day
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Cadena de suministro | Profesor William H. Delano Frier
Sizing on the basis of Service Levels
• Example…• Required Spaces
• Q1 = 30 + 2.25(8) = 48 spaces
• Q2 = 40 + 2.25(10) = 62.5 spaces
• Q3 = 50 + 2.25(15) = 83.75 spaces
• Q4 = 50 + 2.25(12) = 77 spaces
• Q5= 40 + 2.25(12) = 67spaces
Total = 339 spaces• Service Level
• F j = 0.5000 + Z2.25• = 0.5000 + 0.4878(from Table or Excel) = 0.9878
• Probability of Zero space shortages• F jQ j = (0.9878)5 = 0.94047• Probability of at least 1 space short per day
• 1- F jQ j = 1-0.94047 = 0.05952
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Cadena de suministro | Profesor William H. Delano Frier
Sizing on the basis of Service Levels
• Optimization Decisions
1. Maximize the probability of having 0 (zero)
missing spaces :
0
asujeto1
n
1= j
Q
Q
QF
j
n
j
j
j j
S
Maximizar Maximize
Subject to,
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Cadena de suministro | Profesor William H. Delano Frier
Sizing on the basis of Service Levels
• Exercise..
• Assign 100 spaces maximizing the probability of
having 0 spaces missing.
Espacios A B C D
5 0.1 0.25 0.1
10 0.1 0.2 0.2
15 0.1 0.25 0.3
20 0.1 0.2 0.4
25 0.1 0.25
30 0.1 0.235 0.1 0.25
40 0.1 0.2
45 0.1
50 0.1 0.2
PRODUCTOSProductsSpaces
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Cadena de suministro | Profesor William H. Delano Frier
Sizing on the basis of Service Levels
• Exercise… Using the OM Transportation Model…
• Accumulated Frequencies…
COSTS A 1 A 2 A 3 A 4 Supply
5 0.1 0.25 0.1 310 0.2 0.2 0.3 3
15 0.3 0.5 0.6 3
20 0.4 0.4 1 3
25 0.5 0.75 2
30 0.6 0.6 2
35 0.7 1 2
40 0.8 0.8 2
45 0.9 1
50 1 1 2
Demand 1 1 1 1 4 \ 23
COSTS A 1 A 2 A 3 A 4 Supply
5 0.1 0.25 0.1 310 0.2 0.2 0.3 3
15 0.3 0.5 0.6 3
20 0.4 0.4 1 3
25 0.5 0.75 2
30 0.6 0.6 2
35 0.7 1 2
40 0.8 0.8 2
45 0.9 1
50 1 1 2
Demand 1 1 1 1 4 \ 23
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Cadena de suministro | Profesor William H. Delano Frier
Sizing on the basis of Service Levels
• Exercise… Using the OM Transportation Model…
• Add a space matrix:
Shipments
Shipments A 1 A 2 A 3 A 4 Row Total5 0 0 0 0 0 0 0 0 0
10 0 0 0 0 0 0 0 0 0
15 0 0 0 0 0 0 0 0 0
20 0 0 0 1 1 0 0 0 20
25 1 0 1 0 2 25 0 25 0
30 0 1 0 0 1 0 30 0 0
35 0 0 0 0 0 0 0 0 0
40 0 0 0 0 0 0 0 0 0
45 0 0 0 0 0 0 0 0 0
50 0 0 0 0 0 0 0 0 0
Column Total 1 1 1 1 4 \ 4 25 30 25 20 100
Total Cost 0.5 0.6 0.75 1 0.225
ESPACIOS
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Cadena de suministro | Profesor William H. Delano Frier
Sizing on the basis of Service Levels
• Optimization Decisions
2. Minimize the number of spaces to guarantee a
certain service level
0
asujeto n
i= j
1
Q
QF
Q
j
j j
n
j j
P
Minimizar Minimize
Subject to,
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Cadena de suministro | Profesor William H. Delano Frier
Sizing on the basis of Service Levels
• Exercise…
• Minimize the number of spaces to guarantee a
service level >= 20%
Espacios A B C D
5 0.1 0.25 0.1
10 0.1 0.2 0.2
15 0.1 0.25 0.3
20 0.1 0.2 0.4
25 0.1 0.25
30 0.1 0.235 0.1 0.25
40 0.1 0.2
45 0.1
50 0.1 0.2
PRODUCTOSProducts
Spaces
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Cadena de suministro | Profesor William H. Delano Frier
Sizing on the basis of Costs
• Objective
• Minimize the Warehousing Cost
• Options to analyze:
• Warehousing owned storage space
• Leased Space
n j T t maxC t minC t Q jC oQ nQTC Qd Qd j jt j jt 1 1 ,2,1,...,1 0,, ,,
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Cadena de suministro | Profesor William H. Delano Frier
Sizing on the basis of Costs
• Where,
• Qj = Owned storage capacity for product j
• T= Length of the planning horizon (periods)
• dt,j = Storage space for product j during period t• C0= Present worth cost per unit storage capacity
owned during the planning horizon T
• C1,t = Present worth cost per unit stored in owned
space during period t• C2,t = Present worth cost per unit stored in leased
space during period t
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Cadena de suministro | Profesor William H. Delano Frier
Sizing on the basis of Costs
• To determine the optimal space
1. Calculate C’ = C0 / (C2 - C1)
2. Sequence the space demand in decreasing order
3. Sum the demand frequencies f
4. When the partial sum is equal to or greater than C’
then the optimum capacity equals the demand level
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Cadena de suministro | Profesor William H. Delano Frier
Sizing on the basis of Costs
• Example....
• Which is the optimal space needed to store 1 product
during 10 periods, considering the followinginformation: Co = $20
• C1,t = $1
• C2,t = $4
• The space requirements are 4,6,8,10,9,8,7,6,5,4 during the
periods 1 to 10 respectively.
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Cadena de suministro | Profesor William H. Delano Frier
Sizing on the basis of Costs
• C’ = 20/ (4-1) = 6.67
EspacioRequerido Frecuencia Suma f
10 1 1
9 1 2
8 2 4
7 1 5
6 2 7
5 1 8
4 2 10
Optimum Capacity
TC = $223
Req. Space Frequency Sum f
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Cadena de suministro | Profesor William H. Delano Frier
Assigning products to Storage /
Retrieval Locations
• Objective
• Minimize the time required to store and supply
products
• Requirements
• Have enough slots available to “assign” one to a product
• Define and keep the selection criteria
• Criteria• Minimize the distance travelled
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Cadena de suministro | Profesor William H. Delano Frier
Assigning products to Storage /
Retrieval Locations
• Objective
k y jpara1,0
,.....,1,
,.....,1,1
:
)(
,
1,
1,
,,,1 1 1
x
S x
x
xt p
S
T
k j
js
k k j
n
jk j
k jk j ji
m
i
n
j
s
k j
j
n j
sk
asujeto
x f minimizar Minimize
Subject to,
For j and k
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Cadena de suministro | Profesor William H. Delano Frier
Assigning products to Storage /
Retrieval Locations
Methodology
s = # of spaces
n = # of products to store
m = # of receipt and supply points
Sj = # of spaces required for product j
Tj = # of transactions for product j
pi,j = % of transactions from j to the receipt and supplypoint i
ti,k = Travelled time from I to space kxj,k= 1, if j is assigned to space k= 0, if not
f(x)= Estimated time to satisfy the system demand
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Cadena de suministro | Profesor William H. Delano Frier
Assigning products to Storage /
Retrieval Locations
Methodology
• If j is assigned to space k;(xj,k =1)
• It takes tj,k time to travel from access I to space j and
vice versa
• Sj is the # of total spaces for j
• 1/ Sj is the probability to have a travel distance from /
to space k
• Tj # of transactions of j during the period• pi,j % of transactions from j to i
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Cadena de suministro | Profesor William H. Delano Frier
Assigning products to Storage /
Retrieval Locations
Methodology
• Tj / Sj (pi,jti,kxj,k) represents the total travelled
time from:
• space k,
• To / from access point i
• For the product j
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Cadena de suministro | Profesor William H. Delano Frier
Assigning products to Storage /
Retrieval Locations
• Exercise
Tenemos los sig. Espacios:
1 2 3 4 5P3 6 7 8 9 10
* 11 12 13 14 15
16 17 18 19 20
P2 21 22 23 24 25
* 26 27 28 29 30
31 32 33 34 35P1 36 37 38 39 40
* 41 42 43 44 45
46 47 48 49 50
We have the following spaces:
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Cadena de suministro | Profesor William H. Delano Frier
Assigning products to Storage /
Retrieval Locations
• Exercise
• Access doors
• Probability of use P1= 10%, P2 = 40%, P3 = 50%
X Y
P1 0 20
P2 0 50
P3 0 80
Coordenadas Puertas
Si Ti Ti / Si
1 19 55
2 21 20
3 10 45
Transacciones y Espacios requeridos
Each shelf measures 10 x 10
Door Coordinates
Transactions and Required Slots