warehousing decisions
merald Group Publishing Limited
Acknowledgements:
The author would like to express sincere gratitude to a group of executives, especially
Mr Thomas K. Dawson, Director of Government and Community Affairs, Ms Rose
Fulton, Manager of Converter/Warehouse Operations, and Mr Joseph D. Jensen,
Executive Vice President/Chief Technical Officer at the Buckeye Cable Vision Inc. for
allowing him to investigate ongoing warehousing problems and sharing internal data
with him. Also, special thanks go to Clark Hochradel, Justin Evers, Beth Chamberlain,
Darren DeMange, John Pawlak, Tankuk Ozel, Seth Ream, David Verbsky, and Chris
Leligdon for collecting the necessary data and doing the graphical works.
Document Access:
Existing customers:
Please login above.
Purchase this document:
Price payable: GBP £13.00
plus handling charge of GBP £1.50 and VAT where applicable.
Purchase
Request this document:
Print or e-mail a document request to your librarian.
Request
Reprints & permissions:
Request
Abstract:
Purpose – This paper seeks to illustrate the successful development of a warehousing
decision support system (WDSS) that aided the Buckeye Cable Vision Incorporated
(BCV) in making its strategic warehouse expansion and re-warehousing decisions. The
WDSS utilized by the BCV can be a blue-print for other companies which would like to
improve their warehousing productivity and strengthen the warehousing link to their
supply chain.
Design/methodology/approach – Warehousing costs make up a significant portion of
a company's business expenditures. Thus, many companies are pressured to control
warehousing costs by improving their warehousing productivity. However, it is not an
easy task to improve warehousing productivity given the increased complexity
associated with today's warehousing activities such as value-added services and cross-
docking operations. To cope with such warehousing challenges, a specific decision
support system (DSS) that incorporates several computer-based models into the
warehouse decision-making process is proposed. These models include: a simulation
model based on computer-aided design, an analytic hierarchy process, and a
forecasting technique. To demonstrate the usefulness of the proposed DSS and provide
practical guidance for other companies that seek the DSS as a powerful decision-aid
tool, this paper conducted an in-depth case analysis of the BCV that successfully
exploited the WDSS.
Findings – Through the BCV's case, it was shown that the WDSS could not only
enhance warehousing productivity, but could also improve supply chain visibility. Also, it
was found that the WDSS success lay in the company's ability to sustain high data
quality by standardizing, cleaning, and updating relevant data on a real-time basis.
Originality/value – Since the early 1970s, a DSS has attracted attention from both
profit and non-profit organizations. Despite the long history of DSS evolution, it has
been rarely applied to strategic warehousing decisions. This paper is one of the first
attempts to develop a specific DSS that can assist warehousing managers in
documenting warehousing costs, identifying non-value adding activities, evaluating
strategic warehousing alternatives, and utilizing given warehousing resources.