Download - Physical Distribution, Warehousing
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Physical Distribution
Physical distribution management (PDM) is
concerned with ensuring the product is in theright place at the right time.
Physical distribution management (PDM) isconcerned with the flow of goods from thereceipt of an order until the goods aredelivered to the customer.
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Area of Physical Distribution
From the end of production line to the customer
From the source of supply to the beginning of the line
Transportation
Warehousing
Material Handling Protective Packaging
Inventory Control
Plant and Warehousing site selection
Order processing Market forecasting
Customer Service
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Basic output of physical distribution
systems
Delivery - reliability and frequency;
Stock availability - the ability to meet orders
quickly.
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Warehousing& Distribution Centers
Storage (Godowns)
R/M, WIP
Inbound logistics
Near to Production facility
Storages used for-
Seasonal Demand
Supply PatternAging products
Stock piling
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Warehousing
Storing of Finished Goods
Outbound logistics
Near to market or distribution centers
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Warehouses used for(Functions)
Economic
Bulk Breaking
Consolidation
Stock Piling
Value added Services (Packaging & Labelling)
Operational
Receiving of goods
Storage
Proper handling Order Receiving
Dispatching
Documentation
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Types of Warehouses
On the basis of ownership
--Private Warehouse --Public Warehouse
1. Operating cost
2. Investment
3. Control
4. Risk
5. Tax Advantage
6. Economies of scale
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On the basis of Services
Bonded Warehouse
Field Warehouse
Cold Storage
Distribution Warehouse
Buffer Storage Warehouse
Export and Import Warehouse
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Warehousing Strategy
Overall corporate objectivesAvailability of goods to customerDegree of customer service to be
offered/desired
Min. total Distribution costs Considering environment scenario
Demand Pattern
Buying Behavior Stock out situation reaction of customers
Warehousing strategies of competitors
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Analysis of firms resources
Financial condition
Brand Equity
Warehousing required
Public OR Private Warehouse decision
Centralized or Decentralized
Locations of warehouse
cost of warehouse
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Warehouse Design
Purpose of the Facility
Layout of the Facility
Space requirement and aisle layout
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Distribution Centers
Stresses on movement of material thanstorage.