Warehouse management – streamlining picking rounds

Sammanfattning: In this study we have conducted research on how to optimize inventory management within logistics. The focus in this study is to examine the picking rounds, the reason for this is because it is the most time consuming and expensive part within a warehouse. Is it possible to minimize the handling time to create efficient picking rounds? As a part of the research project AI has been investigated as well. If it is possible with help of AI, create a streamlining of current warehouse logistics. The purpose of this report is to investigate how to minimize the distance in picking rounds for efficient warehouse management. To be able to fulfil the purpose of the report research questions where conducted. The methodology that was chosen at first was traditional data collection. With the help of other studies conducted in this area we started to collect information. To be able to compare this information to the chosen company Care of Carl a case study was performed. A case study on the current situation at Care of Carl, and what the current optimization is based on. With the help of these two methods a result emerged. The result that was conducted by this study is that placement and categorization of products as well as route planning has a significant role when streamlining the picking process and minimizing the picking process. To store items in a warehouse the most suitable option is to use a free item placement, or storage out of sale frequency. But important to acknowledge is that it requires support systems to make this storage possible. When categorizing articles, it is crucial to combine this with a suiting picking method. In the case study, combining ABC categorization with zone picking was a possible solution. In general, it might be a good idea to invest in AI to use the picking position principle. With AI it is possible to analyse more complex data such as customer patterns and if this implementation succeeds it can lead to great advantages within a warehouse and the picking processes. The traveling distance constitutes most of the total picking time, it is important to have a route method that works with how you have chosen to place the items. This study shows that the optimal routing method is the one to use. This study showed that there are a lot of different strategies and methods on the current market. According to the case study Care of Carl can make big savings by changing strategies and methods. The reason why is because they have been reactive when investing in IT support systems. But in general, if a company wants to meet the current increasing requirements according to the globalization and the continuous changes within logistics operations, AI is the next step. The methods that are currently used are not sufficient, with the help of AI there is room for improvements within product allocation and route planning.