Chapter 6 Flashcards
(21 cards)
What is the claimed cost decrease at each stage according to HCWM?
10% cost decrease relative to initial costs.
What is the aim of redesigning a warehouse?
To make processes more efficient, reducing time and costs.
What are the four key areas for improving service levels?
- Reducing response times
- Increasing availability
- Improving accuracy
- Increasing flexibility
What is the importance of the cut-off time in response time management?
Customers can modify orders before the cut-off time, which is not included in response time.
What role does inventory accuracy play in availability?
Improving inventory accuracy increases availability.
How can accuracy be improved in processes?
- Identifying causes of errors
- Preventive measures
- Corrective measures
What is Six Sigma?
A method that eliminates errors.
What are the three possible actions for process optimization?
- Elimination
- Combination
- Improvement
What is the procedure for process optimizations?
- Compose standard operation procedures
- Estimate standard time for each process step
- Calculate costs using TDABC
- Determine frequency of process steps and annual costs
- Examine process steps for elimination, combination, or improvement
- Calculate resulting savings
What is an example of eliminating redundant activities in the warehouse?
Using RF terminals to automatically update inventory levels in WMS.
What is a key benefit of using electronic messages in the receiving process?
Eliminates many administrative tasks.
What are the two policies for selecting pick locations?
- Static pick locations
- Dynamic pick locations
What is the method of batch-picking?
Picking multiple orders simultaneously in one tour.
What technologies can improve existing activities in warehouse processes?
- Voice picking
- Pick-to-light
How can space utilization be optimized?
Store goods more compactly and subdivide large locations into smaller ones.
What is the operational measure for optimizing space requirements?
Moving products between locations.
Fill in the blank: Reducing response time means companies deliver products a lot ______.
faster
True or False: Corrective measures are typically less expensive than preventive measures.
False
What is the significance of planning stage acceleration in order processing?
Allows for quicker order picking after replenishment.
What is meant by dynamic pick locations?
A system that allows for flexible assignment of pick locations based on current needs.
What is the purpose of using ABC classification in warehouse management?
To reduce travel and handling times.