# Problem 3 Consider the warehouse layout depicted in Figure 1. There are 24 storage locations, 2 rece

Problem 3 Consider the warehouse layout depicted in Figure 1. There are 24 storage locations, 2 receiving doors (P1, P2), and 2 shipping doors (P3 and P4) in the warehouse. This warehouse carries five SKUS: A, B, C, D, and E. The monthly flow quantities (in pallets) of each SKU through each door are shown in Table 6. Since the SKUs are moved and stored as unit loads, the flow quantities are equal to the number of operations for the corresponding combination of SKU and door Figure 1 Warehouse Layout Monthly product flows for each SKU through each door (in pallets) Receiving Doors PL 200 250 92 248 160 200 360 115 450 310 P2 Shipping Doors 450 810 5 207 138 360 240 58 372 P4 300 540 Suppose that a picker can traverse one edge of a storage location in 12 seconds and that storage locations are of square shape. Assume that travel in the warehouse occurs through a system of orthogonal aisles and cross aisles and travel can be approximated with sufficient accuracy by the rectilinear distance norm. The travel for an area originates or terminates at the centroid of the area square. You may assume that demand quantity (in pallets) of SKU i has one-to-one correspondence with total number of pallets of SKU i that flow (either into the warehouse or out of the warehouse) through all the doors (either receiving or shipping), for all i – A, B, C, D, E. Maximum cycle inventory for each SKU (in number of unit loads) 13 12 15 Required safety inventory for each SKU (in number of unit loads) Compute the storage requirements for the SKUs.

Consider the warehouse layout depicted in Figure 1. There are 24 storage locations, 2 receiving doors (P1, P2), and 2 shipping doors (P3 and P4) in the warehouse. This warehouse carries five SKUS: A, B, C, D, and E. The monthly flow quantities (in pallets) of each SKU through each door are shown in Table 6. Since the SKUs are moved and stored as unit loads, the flow quantities are equal to the number of operations for the corresponding combination of SKU and door. 16 31 46 61 75 Figure 1 Warehouse Layout Monthly product flows for each SKU through each door (in pallets) A B C Receiving Doors P1 200 160 360 248 92 115 P2 250 200 450 310 Shipping Doors P3 207 360 810 | 558 450 | 300 P4 138 240 | 540 | 372 Suppose that a picker can traverse one edge of a storage location in 12 seconds and that storage locations are of square shape. Assume that travel in the warehouse occurs through a system of orthogonal aisles and cross aisles and travel can be approximated with sufficient accuracy by the rectilinear distance norm. The travel for an area originates or terminates at the centroid of the area square. You may assume that demand quantity (in pallets) of SKU i has one-to-one correspondence with total number of pallets of SKU i that flow (either into the warehouse or out of the warehouse) through all the doors (either receiving or shipping), for all i = A, B, C, D, E. Maximum cycle inventory for each SKU (in number of unit loads) A 13 12 15 Required safety inventory for each SKU (in number of unit loads) 5 Compute the storage requirements for the SKUs. We are going to compare 3 dedicated storage policies: Policy-1: Fast movers closest to the door Policy-2: Small inventory closest to the door Policy-3: Fastest turning closest to the door Given the product information, is this system suitable for factoring? If it is suitable, calculate the expected travel time to each storage location. Show the travel times you found on a figure depicting the warehouse layout. Given the product information, is this system suitable for factoring? If it is suitable, calculate the expected travel time to each storage location. Show the travel times you found on a figure depicting the warehouse layout. (Demand based layout) Assume the warehouse operates on Policy-1. Assign the SKUs to storage locations. Show your assignment on a figure depicting the warehouse layout. What is the total travel time resulting from your assignment based on Policy-1 during the planning horizon? (Inventory based layout) Assume the warehouse operates on Policy-2. Assign the SKUs to storage locations. Show your assignment on a figure depicting the warehouse layout. What is the total travel time resulting from your assignment based on Policy-2 during the planning horizon? (Product turnover layout) Assume the warehouse operates on Policy-3. Assign the SKUs to storage locations. Show your assignment on a figure depicting the warehouse layout. What is the total travel time resulting from your assignment based on Policy-3 during the planning horizon? Comment on your findings for the policies 1 through 3.