Development of Warehouse Management Process: A Case Study of Medical Cosmetic Product Distribution Company Limited

Abstract

This research aimed to: 1) study the warehouse management process and 2) develop the warehouse management process of Cosmetical Product Distributor Co., Ltd. to increase the efficiency of the warehouse management process. The study focused on the two main parts, the searching time and picking products within the warehouse. From studying the warehouse management process and analyzing the problems, it was found that the existing warehouse management process caused employees to spend more time than it was necessary in searching for products and picking them. To solve the problems, the concepts and theories in warehouse management have been applied as follows: 1) applying ABC Analysis theory for product grouping with the frequency of goods issuing 2) using Visual Control techniques of products with visibility and 3) using the FIFO (First In First Out) principle to store products. The results of the study showed that after developing the process, the time for searching and picking products was reduced from the average time of 149.70 seconds per 1 product issue to the average time of 101.00 seconds. The reducing time was 48.70 seconds or at 32.53 percentage. The study shows that the development of warehouse management processes can increase the efficiency of the warehouse management operation.