ams warehouse efficiency improvements ams · pdf filecurrent system analysis problem...
TRANSCRIPT
Current System Analysis
Problem Identification
Warehouseinefficiency
Method
To follow strictlyFEFO is timeconsuming.
No exactlocation isrecorded.
Materials
Material storageis disorganized.
Environment
Inoptimalwarehouselayout.
Manpower
Over-utilization ofa single worker
Unequalallocation of work
Hand carry ofminor bags
Machine
Bar code size istoo small to see.
Process Mapping
Inbound
Storage
Retrieval
Checking
StartUnloading all pallets from trucks to black area Labelling Preparation
Transfer to warehouseand storage racks
Update informationin systemEnd
Order received & search for the pallet
StartProductionor checking
Transfer toproductionstaging area
Transfer toQA samplingroom
Prepare forproduction
Checking
End
Current After % change
Search_bulky 3442 2790 19%↓Search_packaging 5780 4068 30%↓Transfer_QA 2509 1970 21%↓Search_minor 15710 12154 23%↓
Ergonomic aspect improvement
Handling tips for minor material preparation• Place materials at waist height to reduce
bending• Maintain enough free space around pallets (to
avoid awkward posture)• Grip materials firmly and bring it close to body• Use legs to push up the materials, not upper
body or back• Avoid repetitive motions and frequent
handling • Wear gloves or other hand and forearm
protection for objects with sharp edges or splintered surfaces.
• Introduce material handling equipment: suchas hand trucks, dollies and pallet jacks
Record down the exact location of the pallet
Label at each position: rack X layer Y depth ZKnowing the exact location would reduce unnecessary movement and thus save searching time.
Increase label and barcode sizeOur interview result with workers shows that, 1. Barcode scanning process is not user-friendly.2. During the retrieval process, it is difficult to see clearly the label, and thus making it troublesome to recognize the correct pallets.
Thus increase label and barcode size would help to speed up their working process.
When searching time is reduced 40%, there is significant decrease in average waiting time for major tasks.
Impacts on average waiting time with 40% reduction in searching time (s)
Machine & Method
Grid network of aisles
Environment
Material re-allocation
QA sample + rework
packaging
Minor
Bulky
Bulky
• After material re-allocation, warehouse is divided into 5 major areas, with each area storing only 1 type of material.
• Same type of material is stored in the same rack or adjacent racks. This would facilitate the workers during searching and retrieval process.
Material Currently, some of the different types of materials are stored in the same rack. Especially for minor materials, they are spread over 5 racks.
Utilization of both worker B and C drop, and utilizationof worker C is now in the safety range.Worker utilization is more evenly distributated now.
Flexible manpower allocationTo allocate some of the tasks from worker B and Cto worker E, so as to achieve a more equitableworker utilization. This could prevent worker B andC from becoming the bottleneck when workloadincreases in the future.
Manpower
0
0.1
0.2
0.3
0.4
0.5
0.6
0.7
0.8
0.9worker utilization before and after work re-allocation
Recommendation
Add cross aisles to main aisles.Easier access to main aisles, faster and more efficient movement.Drive-through racks vs Selective racks
Drive-through Selective
Rack depth High Low
Storage density High Low
Product variety Low High
Flexibility in retrieval FILO FIFO / FEFO
Accessibility Low High
Project Description
Problem StatementAMS is a large production plant for nutritional products (mainly milk powders). AMS is doubling production in the next two years. The warehouse efficiency has to be improved to hold extra production capacity.
Project ObjectiveThe management wants to evaluate current warehouse operations and improve warehouse efficiencies to cope with future expansion.- Use IE tools to track bottlenecks in the warehouse - Perform scenarios analysis under varying demands- Propose recommendations to improve warehouse efficiency
Methodology
DefineProject objectivesProject scope
MeasurePerformance metricData collectionData processing
AnalyzeProcess mappingProblem identificationSimulation modellingResult analysis
ImprovePropose solutionsEvaluation
• With increase in goods inflow rate,there is significant increase in theaverage waiting time for major tasks.
0100000200000300000400000500000600000700000
Current Add 30% Input Add 50% Input Add 100% Input
Average waiting time at different goods inflow rate
Q_search_minor
Q_search_packaging
Q_Store
Q_search_bulky
Q_Transfer_QA
• When goods inflow rate doubles, theaverage waiting time increases morethan 30 times. Some tasks evenincrease more than 50 times.
Scenario Analysis
• Currently, there is uneven distributionof workload.
• With increase in goods inflow rate,there is significant increase in theworker utilization rate.
• The utilization of both worker B and Creaches 1 when increase in goodsinflow rate reaches 50%.
00.10.20.30.40.50.60.70.80.91
AWorker at
packaging station
BWorker at bulky
station
CWorker at minor
station
DContractor at low
care zone
EContractor at
medium care zon
worker utilization at different goods inflow rates
Current
+30%
+50%
+100%
Simulation modellingA simulation model was constructed to evaluate the performance of current warehouse operations, and also examine the impacts of potential changes in the future.
modelInput variables
• Number of resource• Working hour• Process time• Inflow volume• Outflow volume
Output KPIs
• Worker utilization rate• Waiting time to complete a
process• Total time to complete all
processes.
AMS Warehouse Efficiency ImprovementsDepartment of Industrial and Systems Engineering | IE3100R System Design ProjectTeam Members: Ding Sen, Meng Yue, Zhang Xiaoxing, Zhang XinbeiNUS Supervisors: A/Prof. Poh Kim LengAMS Supervisors: Ms Amelia Tan, Mr Bert Beek
AMS