Logistics And SCM: Pacific Warehouse

Contents

TOC o “1-3” h z u Introduction PAGEREF _Toc376340941 h 1Pacific Brands and the Warehouse PAGEREF _Toc376340942 h 1Functions of the Pacific Warehouse PAGEREF _Toc376340943 h 1Advantages of the Warehouse PAGEREF _Toc376340944 h 2Disadvantages of the Warehouse PAGEREF _Toc376340945 h 2Conclusion PAGEREF _Toc376340946 h 2

IntroductionWarehousing involves the storage of goods and products in large scale. This is done in an orderly and systematic and making this goods available whenever needed. This means that a warehouse holds the goods from the time of the purchase of the product to the time the products are being sold. It creates a time utility from the time of production to the time of consumption. Warehousing is a critical aspect of the supply chain. Warehousing can be a costly in terms of human resources and the equipment and the facilities. With the recent developments in logistics in terms of inventory, cost minimization and customer service levels. Warehousing helps in improving customer service level. Warehouses are usually located strategically and it is easily available (Mohan, 2013). Warehouses are usually constructed in such a way that it can handle goods even at peak products.

Pacific Brands and the WarehousePacific brands are one of the Australia’s leading clothing, home wares and footwear’s distributors. Pacific brands include brands such as Clarks, tontine, Sheridan, Berlei, hush puppies, hard yakka and Holeproof. In December 2011 pacific brands worked with Dematic to make a 42,000 square meters national. Due to the challenges identified in the supply chain and customer services, improvements could be achieved by consolidation of these services (Dematic Pty Ltd, 2012). Hence, the construction of the warehouse was considered as a vital aspect in achieving this objective.

Functions of the Pacific WarehouseReceiving- the pacific warehouse is tasked with the responsibility of physically packaging and un-packaging raw materials and finished products to the warehouse. It also serves as a center through which quality checks are carried out and a temporary storage facility for products that have been quarantine and are awaiting quality control clearance.

Order selection – the warehouse also serves as a point through which orders from respective customers orders are identified and picked in the required quantities and at the premeditated time frame. This involves break bulk operations, as and when the goods are received from respective suppliers, (Mohan, 2013). This is essential in ensuring the levels of customer services are optimized effectively. The warehouse also acts as a sortation center where incoming goods are sorted into specific orders from the customers upon their arrival into the warehouse.

Replenishing – the pacific brands warehouse also acts as a vital source of information regarding the inventory available within the company. This helps the company to replenish stock and maintain stock availability for order selection and picking.

Advantages of the WarehouseWith the promotional and seasonal variations in the market, pacific brands could achieve flexibility and scalability through transferring the volume of work to the warehouse. This warehouse helps in monitoring systems in the handling of storage for the products, this helps in optimizing the performance of the management of pacific brands. The warehouse has helped pacific brands in increasing efficiency through the design of the warehouse and the layout structure (Mohan, 2013). Pacific brands have ensured that it has enhanced efficiency in the human resources in the warehouse operations and this has further helped in enhancing the end user’s overall performance.

Disadvantages of the WarehouseThe main issues with the institution of the warehouse into the operations of pacific brands are that it has increased the complexity of the organization. It has also increase financial issues because of its design and structural layout. The warehouse has also complicated matters touching on tax and the rate of return for the investment.

ConclusionThe warehouse constructed by pacific brands in collaboration with Demantic has helped increase the efficiency and effectiveness of the performance of the company through the synchronization and coordination of the supply chain and customer services. This report has looked into how this has been achieved and the advantages and disadvantages of this move by the management of pacific brands.

References

Dematic Pty Ltd, (2012). Flexibility makes new DC a comfy fit for Pacific Brands. Dematic Pty Ltd

Mohan, V.E. (2013).Warehousing & inventory management. CII Institute of Logistics, Chennai, India.