FUNCTIONS OF WAREHOUSES

FUNCTIONS OF WAREHOUSES

The following are the functions of warehouses, Receiving, inspection, storage, order – order picking / selection sortation and shipping, cross – docking and replenishing.

1. RECEIVING: This includes the physical unloading of incoming transport, checking, recording of receipts, and deciding where the received goods are to be put away in the warehouse. It can also include such activities as unpacking and repackaging, quality control checks and temporary quarantine storage for goods awaiting clearance by quality control.

2. INSPECTION: Quality and quantity check of the incoming goods for the required characteristics.

3. REPACKAGING: Incoming lot may be having non-standard packaging which may not be stored as it is in the respective location. In those cases these materials have to be repacked in units loads / pallet loads suitable for storage.

4. PUT AWAY: Binning and storing the goods in their respective location including the temp locations from the receiving docking area.

5. STORAGE: Binning the approved material in their respective location.

6. ORDER – ORDER PICKING / SELECTION: Goods are selected from order picking stock in the required quantities and at the required time to meet customer orders. Picking often involves break bulk operations, when goods are received from suppliers in, say, whole pallet quantities, but ordered by customers in less than pallet quantity. Order picking is important for achieving high levels of customer. It traditionally also takes a high proportion of the total warehouse staff complement and is expensive. The goods design and management of picking systems and operations are consequently vital to effective warehouse performance.

7. SORTATION: This enable goods coming into a warehouse to be sorted into specific customer order immediately on arrival. The goods then go directly to order collation.

8. PACKING AND SHIPPING: Picked goods as per the customer order are consolidated and packed according to customer order requirement. It is shipped according to orders and respective destinations.

9. CROSS – DOCKING: Move product directly from receiving to the shipping dock. These products are not at all stored in the specific locations.

10. REPLENISHING: This is the movement of goods in large order quantities, for example a whole pallet at a time, from reserve storage to order picking, to ensure that order picking locations do not become empty maintaining stock availability for order picking is important for achieving high level of order fill.

It helps determine minimum and maximum level of raw materials.
It helps in stabilizing prices of goods in the market.
It facilitates the battle against smuggling as bonded goods seized are kept in bonded warehouse.
It removes completed goods and holds them until they are needed by customers.
It provides a continuous flow of raw materials and made – up parts, so that production can proceed at its optimum pace.