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Case Study Analysis of
Warehouse Process Optimization
Authors: Margareta Živičnjak, Kristijan Rogić, Ivona Bajor Contents • 1. What is Warehouse Management? • 2. Challenges in Warehouse Management • 3. Optimization Methodology • 4. Case Studies • 5. Optimization Proposals • 6. Results & Benefits • 7. Conclusion What is Warehouse Management? • Warehouse management involves the organization and control of warehouse operations, including receiving, storing, and dispatching goods. It plays a vital role in supply chain efficiency and cost reduction. Challenges in Warehouse Management • 1. Bottlenecks in processes due to layout or equipment limitations. • 2. Insufficient storage capacity and space optimization. • 3. Manual errors in inventory tracking and order picking. • 4. Inefficient resource allocation and worker productivity. • 5. Lack of advanced technologies for automation and analysis. Optimization Methodology • 1. Analyze the current warehouse system state: • - Data collection (process duration, inventory, etc.). • - Detection of bottlenecks. • 2. Propose optimizations based on findings: • - Layout redesign. • - Technology integration. • 3. Control and measure the success of Case Studies • 1. Three companies in Croatia were analyzed. • 2. Common processes: receiving, storing, order picking, and shipping. • 3. Key findings: • - Similar process durations with minor deviations. • - Order picking identified as the most time- consuming process. Optimization Proposals • 1. Categorize products to minimize transport routes. • 2. Increase storage capacity with narrow aisles and additional racks. • 3. Implement advanced WMS for better inventory tracking. • 4. Introduce automation technologies like robotics and AR. • 5. Redesign shipping zones to avoid congestion. Results & Benefits • 1. Reduced process durations by up to 17% (FlexSim simulation). • 2. Improved space utilization by up to 50.6% in some warehouses. • 3. Enhanced worker productivity through better resource allocation. • 4. Increased accuracy in order picking and inventory tracking. Conclusion • 1. Optimization improves efficiency, reduces costs, and speeds up processes. • 2. Combining simple methods and tools achieves significant improvements. • 3. Future research: include diverse warehouse types and advanced technologies.