2.1 Ans- Warehouse operations are the process of managing everyday activities that are associated with receiving, storing, packing and distributing the goods and services in a warehouse (Özcan et al. 2011). Therefore, warehousing is essential for efficient inventory management which is essential for customer satisfaction and growth & success of the business (Singh et al. 2018). So, it is essential to analyse different factors for selecting the best location for a warehouse as it is a critical decision which can significantly impact the cost-effectiveness, operational efficiency and overall business performance of an organisation (Özcan et al. 2011). Several factors need to be analysed to determine the best location for the warehouse and some of them are as follows: –
- Proximity to Suppliers and Customers- When the warehouse is located near the major customer base then it helps companies to reduce transportation costs and delivery times which can in return enhance the overall customer satisfaction rate (Singh et al. 2018). While the warehouse situated near the suppliers can minimize the lead times, and inventory holding costs and can facilitate quicker availability of stock, especially for the products that are on demand in the market (Singh et al. 2018). Hence companies can use Geographic Information Systems to analyse traffic patterns and demographic data which will assist them further in identifying strategic locations for their warehouse (Singh et al. 2018).
- Transportation Infrastructure- Another essential factor is the quality of transportation infrastructure as access to major railroads, ports, highways, airports etc. can influence the logistics efficiency significantly (Raut et al. 2017). So, a well-connected warehouse location can allow the company to move the goods in and out of the warehouse more easily which will reduce the shipping costs and times (Singh et al. 2018).
- Availability of skilled labourers- When selecting a warehouse location, companies should analyse the availability of skilled labourers who are more familiar with logistics management and warehouse operations as they can better help the companies enhance the operational efficiency of their inventory and warehouse management (Hassan et al. 2015).
- Real Estate Costs- Real estate costs not only encompass the price of purchasing the property but it is also associated with expenses such as utilities, maintenance, taxes etc. (Singh et al. 2018). Hence while selecting a warehouse location, the companies need to conduct a thorough cost analysis which is essential to ensure that the budgetary constraints are better aligned with the long-term financial implications of the business (Raut et al. 2017).
- Technology Infrastructure- In today’s digital era, it has become essential for companies to have a robust technology infrastructure that is more important for managing the daily activities of the warehouse (Hassan et al. 2015). Hence companies should select locations that have an advanced technological capability which will allow the warehouse to operate more smoothly through improved data analytics and tracking systems (Raut et al. 2017).
- Future Growth Potential- When selecting a warehouse location, the companies need to analyse the regional economic trends and forecast the population growth which can affect the demand for the warehousing service over time (Raut et al. 2017). Hence the companies need to choose a location for expanding their warehouse instead of relocating frequently (Raut et al. 2017).
2.2 Ans- Warehouses are considered a crucial component of the supply chain as they serve as a medium for storing and distributing goods and services to retailers (Saderova et al. 2021). Thus, the warehouse of the company utilizes different equipment that are designed to facilitate the storage and management of inventory (Glock et al. 2021). Some of the essential equipment that is used in a typical warehouse are listed below:
- Mechanical Handling System- These are the essential equipment of the warehouse that is needed for the efficient movement of goods and services within the warehouse. This equipment is designed to facilitate unloading, transportation and loading of materials (Saderova et al. 2021). For example, Forklifts are used for transporting and lifting heavy goods for short distances while conveyor belts are used for moving items from one location to another within the warehouse (Glock et al. 2021). This equipment is essential for a high volume of items where continuous movement of goods is required (Glock et al. 2021). Another equipment within this system is automated guided vehicles which are mobile robots that can transport materials automatically without human intervention (Saderova et al. 2021). This can enhance the efficiency significantly by automating the repetitive tasks. Moreover, stackers are used to lift the stack pallets onto the racks or in some small place (Saderova et al. 2021). Lastly, cranes are used at large warehouses to lift heavy items which cannot be moved easily from one place to another using some other equipment (Saderova et al. 2021).
- Storage Systems- Storage systems are essential for maximizing space utilization and organizing the inventory within the warehouse efficiently (Ponis and Efthymiou 2020). There are different racking systems such as drive-in racking, selective racking and patient flow racking which will allow for the storage of goods at various depths and heights (Saderova et al. 2021). Shelving units are used to provide an organized way to store goods that can be easily accessible. Containers Bins and containers are used to locate and store products quickly throughout the picking process (Ponis and Efthymiou 2020). Lastly, cold storage systems are used to store the perishable goods to ensure that these products remain fresh (Saderova et al. 2021).
- Information Technology Equipment- The information technology is well integrated into the warehouse operations to enhance efficiency through better management, communication and tracking systems (Saderova et al. 2021). Therefore, a warehouse management system is software that helps companies to better manage the inventory level, shipping logistics, order fulfilment process and overall warehouse operations by providing real-time data analytics (Glock et al. 2021). Thus, RFID technology is used to quickly identify the products as they move through the warehouse (Ponis and Efthymiou 2020). Barcode scanners are used to do wireless tracking of products throughout the supply chain (Ponis and Efthymiou 2020). Centralized computers are used to store all the operational data related to logistics planning and inventory management to ensure that all the employees have access to up-to-date information regarding the products and services being moved into the warehouse (Glock et al. 2021).
Hence a warehouse heavily relies upon mechanical handling systems, storage solutions and information technology equipment to operate the supply chain management of the company efficiently in today’s fast-paced and dynamic business environment (Saderova et al. 2021).
2.3 Ans- In regards to the warehouse operation, the companies need to identify the health and safety legislation & policies to maintain the warehouse equipment safety. Different health and safety legislations govern these practices to ensure a safe working environment inside the warehouse (Richards 2017). Occupation Safety and Health Act and the Health & Safety at Work Act 1974 are the laws that are established for workplace safety that demonstrate the responsibilities of the employers to protect the labourers from various workplace hazards which can take place due to the usage of various equipment (Richards 2017). In the UK, the company needs to maintain the safety of their warehouse equipment which is governed by the health and safety legislation (Richards 2017). Health and Safety at Work Act 1974 is one of the health and safety legislation in the UK which reflects the duty and responsibilities of employers to ensure the welfare, health and safety of their employees while they are working inside the workstation (Richards 2017). Another health and safety policy is the “Provision and Use of Work Equipment Regulations 1998” which is used by employers to ensure that any equipment provided for the use at workplace must be maintained in a safe condition and must be used by the highly skilled labourers who has perfect knowledge about using them inside the warehouse (Tilburgs 2013). Another one is the Lifting Operations and Equipment Regulations 1998 which demonstrates that all the lifting equipment that is utilized inside the warehouse must be examined thoroughly by a specialised person to ensure that it is safe and less risky to be used by the workers inside the warehouse (Richards 2017). Another legislation and policy are Management of Health and Safety at Work Regulations 1999 which demonstrates that employers need to carry out a risk assessment to ensure smooth warehouse operations (Tilburgs 2013). This policy is implemented within the warehouse setting where the employers can assess the risks related to the equipment such as storage system design, MHE operation etc. (Tilburgs 2013). Another one is “The Workplace Health, Safety and Welfare Regulation 1992” reflects the sets of health and safety regulations which include general requirements for workplace conditions such as cleanliness, temperature control, workspace layout etc. to ensure that it does not pose any risk to the safety of the employees working within the warehouse (Tilburgs 2013). The Supply of Machinery Regulations 2008 are the set of regulations which can be applied when any new machinery is installed within the warehouse (Richards and Grinsted 2024). So, before putting it into the service, the employers need to check whether the new machinery meets the essential health and safety requirements or not (Richards and Grinsted 2024). Hence all of this compliance that is linked up with the legislative frameworks not only promotes a culture of health and safety but also ensures legal adherence within the warehouse environment (Richards and Grinsted 2024). Overall companies should engage both the employers and employees in regular training programs to ensure their safety while reducing the hazards or accidents that often take place due to the wrong use of warehouse equipment (Tilburgs 2013).
References
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