Design and Process Optimization in Warehousing Logistics

In supply chain management, comparably less theoretical studies are found to warehousing logistics. Warehouse owners and managers complain that the little of what can be found is rather individually designed and less practicable. This includes complex mathematical models which are difficult to understand. How can new warehouse managers still manage to design well functioning warehouses and eliminate flaws in processes? The author, Han Chen, seeks out theoretical applicable warehouse design processes and compares them with the design process of a new warehouse operation of a top global logistics company, thereby pointing out common mistakes that managers should avoid. In addition, she describes the procedures of a global kaizen project that the warehouse initiated to improve its loss-making operation. It contains the application of frameworks such as DMAIC and how the steps can be transferred into some best praxis methods and executed on warehouse processes. The description of the methods is detailed, understandable and easily applicable - interesting for warehouse owners, operators and general logistics managers, but also for supply chain academics and students.

Han Chen, BSc Graduate: Study of Management at WHU – Otto Beisheim School of Management in Vallendar, Germany; major in supply chain management, strategy and finance. Master in Management student at ESCP Europe, in Paris.