Warehousing operations, managing

In addition to corresponding changes within manufacturing operations, in recent years the warehousing and distribution aspects of the industry have tended to become more automated. This has minimized the need for human intervention, thereby eliminating many user errors, and has removed the reliance on paperwork for the operation of the plant and the management of the many specialist products and suppliers, leading to improvements in productivity. 

Total supply chain cost is the sum of inventory, transport, warehousing, and routing costs. This cost is affected by the structure of the chain, capacity of transportation, required coordination between locations for managing consistent operation, and competitiveness of the mode used, which will affect costs and the competitiveness of the business environment, thereby affecting the desired service required. 

In order to address the above issues and improve operational efficiency, Valvex implemented a supply chain execution information system— an e-supply chain management system (e-SCM). The system was obtained from a vendor named Excelvision. This system not only coordinates interactions with vendors and customers, but also deals with internal activities involved in warehousing and manufacturing operations. Figure 3 provides a schematic representation of the e-SCM system. 

In SITELINK, each process step must be considered. In a retail chain supply chain application, this should include sourcing, warehousing, and transportation operations. Note that the documentation is for direct requirements. Indirect requirements were nonprocess costs. Examples are the logistics management and other building-related costs. These are resources that are not directly involved with the process. The indirect requirements matrix contained relationships between the direct and the indirect resources. 

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