Case Study : The Smart Warehouse

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Letter of Transmittal Dear Professor Klosterman: Subject: Proposal “The smart warehouse” The warehousing has a great impact on the distribution environment. Nowadays, companies demand greater visibility into order, inventory and task status inside the warehouse and thus look for an opportunity of achieving greater logistical productivity. The project proposed would provide an competitive edge to the companies. The objective of the project is to construct a warehouse and converting it into a virtual library. The warehouse employs database management system to track inventory and be more responsive to the needs and requirements. The database will be an easy and effective method of monitoring the flow of material in an out of the…show more content…
Project Necessity- Using this database management inventory can be accurately tracked at all stages, maximizing stock availability. This help in improving stock control, as it would automatically pick on a First in First Out basis and can be efficiently delivered to where they are required just in time. This software would also provide intelligent location control, which would ensure goods are located in the most appropriate zone depending on their usage. The database created would help in reducing errors and verify that the correct goods are being picked. The increase in the level of accuracy would generate significant annual savings while also improving the reputation of the company among the customers. The database would help in reducing the labor costs, logistics and handling costs. The system would help in product differentiation. A slight variation might exist between each batch of products and thus this system would enable to ensure that materials that are dissimilar are not mixed. The construction of the warehouse and converting it into virtual library would help in maximizing the ROI since the setting up of the database management would help in minimizing ongoing operating costs. Typically warehouse costs once it is
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