Designing a logistic network with a single warehouse

Designing a logistic network with a single warehouse

Designing a logistic network with a single warehouse has been considered to create various opportunities for any company of any size and type. It generally optimizes their network of transportation, mainly based on transportation innovation and telecommunication. Thre is increasing competition in the world, which inquires the company to adjust its logistics fully. By effectively designing a logistic network with one warehouse, the ever-increasing demand of the customers would fully be met (Tofighi et al. (2018). The logistics department for every organization determines how and when the finished, semi-finished, or raw materials should be moved and stored. A single warehousing system would serve the whole market, and its logistic network would be designed with the help of a complete analysis of all the organization’s operations. This helps in effectively designing the company’s best strategy (Kembro et al. (2018). The best location and size of the warehouse must first get determined. Besides, an appropriate approximation based on the facility and transportation cost must be calculated. The setup cost must be approximated. It would have a network consisting of vendors, manufacturing and distribution centers, and customers. There would be a flow of a variety of finished and raw products that would flow in these facilities. This paper will precisely discuss the required steps to design the optimal network, the information, and the required data while making the determination and strategy employed within the network.

Steps

The following steps must be considered to enhance optimal network design (Huin, Jaumard & Giroire (2018):

The various steps involved in designing the logistic activity first begin with analyzing the current operating network in the warehouse. The second step involves the consideration of a designed and populated database optimizing network. Immediately after this process network, the alternative design would be created, and then optimization of network model would be adopted in the fourth step. The selection of the best tool for network optimization wold then gets considered as the fifth step. Thre after in the sixth step, implementation of network optimization would be enhanced, followed by proper evaluation of the alternative network design. The recommended network structure would work then undergo practice to determine their effectiveness (Fazlyab, Dörfler & Preciado (2017). The reconfiguration costs would then be computed, and finally, the better and obtained decision would be used. Generally, these steps would involve protocols f network and the required software needed to expert the design. Following the steps in an orderly manner would enhance easy and effective operation in the warehouse as they would enhance a versatile network solution. While designing the network, factors such as the growth of the single warehouse, disaster recovery plan,rendumnacy, and backing up and connectivity and security would be considered.

The required data

The following data would be essential in designing this network (Lin & Wei (2019);

The list of all company’s product

Every customers’ location

Both the transportation snd warehousing cost

The demand for every customer for each product

The shipment size by product

The processing costs order (The logistic network planning and design for the single warehouse would majorly involve the strategies for the location, actual inventory, and transport building. All these involve the customer’s service goals to ensure the comprehensive total package enhances the best possible service at a lower cost. Time and expense optimization is a significant element in network designing. Besides, there are crucial data for this logistic network design (Guo, Liu & Jo (2017). The following data elements build all the variables and the constraints into a single model of business dynamic the data include :

The ordered pattern determined by frequency, and size

The cost-based analysis of the center of gravity for the single location

Data based on the optimization of network distribution

Facilities based on sizings

All the approximate

schedule of route transport

Alignment of single and multimodal transport.

Strategy to be employed

The most effective strategy must be enhanced for active Design Network. Amongst these vital strategy include;

Enhancing high connectivity

by making the network design in such a way that it fully connect the warehouse with its supplies. Enhancing this requires the implementation of th best technology to effectively link all the entities to the consistency (Liao, 2018). Connectivity would enhance effective process based on visibility and streamlining processes to meet the real time challenges. Enhancing this strategy would involve applying solution delivery to everyone within the supply chain without considering their locations.

Focusing on a configurable solution would be another strategy. Finding a configurable solution that fully figures out to the various supply chain needs and requirements would make the design appropriate since it would fully adapt to the organization’s needs instead of forcing the organization to adapt by design.

Focusing on factual information is another strategy that would enable the accuracy of the data, thereby enhancing informed decisions, which helps make network design for both current and future success. It is only through accurate data that the automated system would be achieved to achieve the goals and desires fo the organization. The accurate data are majorly achieved by backing up the information to enhance real time information access, thereby helping the general business process obtain its maximum potential with limited investments.

New technological design is another strategy that would help to incorporate the best innovation; it would make it possible to boost the logistic operation process since it would track and trace every activity during the logistical process.

Since future logistics is highly promising, and the network design and logistic steps must align with it, making a long term decision is a strategy that would ensure that logistics operations in the in full rookies and to support product and market against competition.

Conclusion

The practical steps and determination of data and strategies are critical areas while designing network operations involving a single warehouse. The failure or success of such a network highly depends on o the process and the strategy. Therefore all those factors must be well determined. Besides, the above-suggested strategies would help speed up activities such as production, reduce the total costs of the facility, and ensure that the safety required within the centralized system is less. It is only through defective strategies that the inbound transportation costs would be reduced.

Reference

Kembro, J. H., Norrman, A., & Eriksson, E. (2018). Adapting warehouse operations and design to omnichannel logistics. International Journal of Physical Distribution & Logistics Management.

Tofighi, S., Torabi, S. A., & Mansouri, S. A. (2016). Humanitarian logistics network design under mixed uncertainty. European Journal of Operational Research, 250(1), 239-250.

Liao, T. Y. (2018). Reverse logistics network design for product recovery and remanufacturing. Applied Mathematical Modelling, 60, 145-163.

Guo, J., Liu, X., & Jo, J. (2017). Dynamic joint construction and optimal operation strategy of multi-period reverse logistics network: a case study of Shanghai apparel E-commerce enterprises. Journal of Intelligent Manufacturing, 28(3), 819-831.

Fazlyab, M., Dörfler, F., & Preciado, V. M. (2017). Optimal network design for synchronization of coupled oscillators. Automatica, 84, 181-189.

Lin, H. Z., & Wei, J. (2019). Optimal transport network design for both traffic safety and risk equity considerations. Journal of Cleaner Production, 218, 738-745.

Huin, N., Jaumard, B., & Giroire, F. (2018). Optimal network service chain provisioning. IEEE/ACM Transactions on Networking, 26(3), 1320-1333.