FIFO Toward Warehouse Performance Improvement: A Case Study of Automotive Parts Company
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Abstract
The paper emphasizes on FIFO in consideration during put away and picking process order to increasing warehousing efficiency, warehousing function as in a supply chain, warehousing is very important as node of raw material and finished goods flows between the suppliers and customers. Making FIFO fairly straightforward implement, FIFO would be to use sequential pallet license plates as the method for aging the inventory. This research look into the issues arises as a results of poor inventory management with deep interview, observation, FIFO system, Layout Management and Work Instruction will be proposed to a manufacturing. The results show that, based on this layout management identical products are placed in zones with researches implied the temporary lanes to put finished goods in proper place and zone, by using layout management assisting to reduce the issues by 80% and FIFO system advantages to less job mistake of enhancement of this storage and retrieval is improvement by FIFO system also decrease finished product system throughout mistake by 10% , and decreased wrong delivery mistake by 50%, FIFO implemented having those dates tied to the product would allow the warehouse to ship truly the older product first. Quality control With Working Instruction implication to this warehouse to assure the FIFO system implication well and maintain continuous improvement furthermore FIFO create more profit through reduce one manpower in warehouse.
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