Ensuring The Smooth Running Of Their Warehouses

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INTRODUCTION PURPOSE In today’s material handling industry, it is important for companies to ensure the smooth running of their warehouses. Warehousing is a vital part of the supply chain process and without proficiency in warehouses, optimum customer satisfaction cannot be guaranteed. Efficiency and organization is essential in every aspect of a business in order to gain competitive advantage. The purpose of this research is to highlight the challenges faced by warehouses that generally cause inefficiency and ineffectiveness and proffer solutions to overcome these challenges to allow future efficiency and consumer satisfaction in the long run. DEFINITION A warehouse is a commercial building for the storing of goods. They are used by…show more content…
IMPORTANCE Warehousing performs a very essential function. It creates time utility for raw materials, and finished products. The closeness of market-oriented warehousing to the customer allows a firm to serve the customer with shorter lead times. (i) Service- The importance of customer service is evident. Making goods available in a warehouse when a customer places an order especially if the warehouse is in reasonable proximity to the customer, usually leads to customer satisfaction and enhances future sales. (ii) Seasonal Demand- There are certain goods, which are demanded seasonally, like boots in winters or sun lotion during the summer season. The production of these goods takes place throughout the year to meet the demands of different seasons. Hence, there is need to store these goods in a warehouse to make them available at the time of need. (iii) Large-scale Production - In case of manufactured goods, recently production takes place to meet the current as well as future demand of the products. Manufacturers also produce goods in large quantities to enjoy the benefits of large-scale production, which is more cost-effective. So the finished goods, which are produced on a large scale, need to be stored properly until they are ready for sales (iv) Quick Supply - Industrial as well as agricultural goods are produced at some specific places but consumed throughout the country. Hence, it is necessary to stock these goods near
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