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ENGINEERING MANUFACTURING TECHNOLOGIES.

MAINTENANCE MANAGEMENT.

WAREHOUSES AND INVENTORIES.

TEACHER. YANG JORGE TIENDA MIRANDA.

ANGEL SAMUEL HERNÁNDEZ RESÉNDIZ

TM-401.

RAMOS ARIZPE, COAHUILA.


SATURDAY DECEMBER 7th, 2019.
WAREHOUSES.

History.
A warehouse can be defined functionally as a building in which to store bulk produce or
goods (wares) for commercial purposes. The built form of warehouse structures throughout
time depends on many contexts: materials, technologies, sites, and cultures.

In this sense, the warehouse postdates the need for communal or state-based mass
storage of surplus food. Prehistoric civilizations relied on family- or community-owned
storage pits, or ‘palace’ storerooms.

The need for warehouses developed in societies in which trade reached a critical mass
requiring storage at some point in the exchange process. This was highly evident in ancient
Rome, where the horreum became a standard building form. The most studied examples
are in Ostia, the port city that served Rome. The Horrea Galbae, a warehouse complex on
the road towards Ostia, demonstrates that these buildings could be substantial, even by
modern standards.

The need for a warehouse implies having quantities of goods too big to be stored in a
domestic storeroom. But as attested by legislation concerning the levy of duties, some
medieval merchants across Europe commonly kept goods in their large household
storerooms, often on the ground floor or cellars.

Definition.
A warehouse is a building for storing goods. Warehouses are used by manufacturers,
importers, exporters, wholesalers, transport businesses, customs, etc. They are usually
large plain buildings in industrial parks on the outskirts of cities, towns or villages.

They usually have loading docks to load and unload goods from trucks. Sometimes
warehouses are designed for the loading and unloading of goods directly from railways,
airports, or seaports. They often have cranes and forklifts for moving goods, which are
usually placed on ISO standard pallets loaded into pallet racks. Stored goods can include
any raw materials, packing materials, spare parts, components, or finished goods
associated with agriculture, manufacturing, and production. In India and Hong Kong, a
warehouse may be referred to as a go down.

Types.
 Retail warehouses.
These displayed goods for the home trade. This would be finished goods- such as the
latest cotton blouses or fashion items. Their street frontage was impressive, so they took
the styles of Italianate Palazzi.

 Cool warehouses and cold storage.


Cold storage preserves agricultural products. Refrigerated storage helps in eliminating
sprouting, rotting and insect damage. Edible products are generally not stored for more
than one year. Several perishable products require a storage temperature as low as −25
°C. Cold storage helps stabilize market prices and evenly distribute goods both on demand
and timely basis. The farmers get the opportunity of producing cash crops to get
remunerative prices. The consumers get the supply of perishable commodities with lower
fluctuation of prices.

 Overseas warehouses.
These catered for the overseas trade. They became the meeting places for overseas
wholesale buyers where printed and plain could be discussed and ordered. Trade in cloth
in Manchester was conducted by many nationalities.

 Packing warehouses.
The main purpose of packing warehouses was the picking, checking, labelling and packing
of goods for export. The packing warehouses: Asia House, India House and Velvet House
along Whitworth Street in Manchester were some of the tallest buildings of their time.
 Railway warehouses.
Warehouses were built close to the major stations in railway hubs. The first railway
warehouse to be built was opposite the passenger platform at the terminus of the Liverpool
and Manchester Railway.

 Canal warehouses.
All these warehouse types can trace their origins back to the canal warehouses which were
used for trans-shipment and storage.

Example.
INVENTORIES.

History.
Inventory or stock is the goods and materials that a business holds for the goal of resale
(or repair).

Inventory management is a discipline primarily about specifying the shape and placement
of stocked goods. It is required at different locations within a facility or within many
locations of a supply network to precede the regular and planned course of production and
stock of materials.

The concept of inventory, stock or work-in-process has been extended from manufacturing
systems to service businesses and projects, by generalizing the definition to be "all work
within the process of production- all work that is or has occurred prior to the completion of
production." In the context of a manufacturing production system, inventory refers to all
work that has occurred – raw materials, partially finished products, finished products prior
to sale and departure from the manufacturing system. In the context of services, inventory
refers to all work done prior to sale, including partially process information.

Definition.
The scope of inventory management concerns the balance between replenishment lead
time, carrying costs of inventory, asset management, inventory forecasting, inventory
valuation, inventory visibility, future inventory price forecasting, physical inventory,
available physical space, quality management, replenishment, returns and defective goods,
and demand forecasting. Balancing these competing requirements leads to optimal
inventory levels, which is an ongoing process as the business needs shift and react to the
wider environment.

Inventory management involves a retailer seeking to acquire and maintain a proper


merchandise assortment while ordering, shipping, handling and related costs are kept in
check. It also involves systems and processes that identify inventory requirements, set
targets, provide replenishment techniques, report actual and projected inventory status and
handle all functions related to the tracking and management of material. This would include
the monitoring of material moved into and out of stockroom locations and the reconciling of
the inventory balances. It also may include ABC analysis, lot tracking, cycle counting
support, etc. Management of the inventories, with the primary objective of
determining/controlling stock levels within the physical distribution system, functions to
balance the need for product availability against the need for minimizing stock holding and
handling costs.

Types.
 Buffer/safety stock
 Reorder level
 Cycle stock (Used in batch processes, it is the available inventory, excluding buffer
stock)
 De-coupling (Buffer stock held between the machines in a single process which
serves as a buffer for the next one allowing smooth flow of work instead of waiting
the previous or next machine in the same process)
 Anticipation stock (Building up extra stock for periods of increased demand – e.g.
ice cream for summer)
 Pipeline stock (Goods still in transit or in the process of distribution – have left the
factory but not arrived at the customer yet)

Example.
The reasons for holding stock were covered earlier, most manufacturing organizations
usually divide their "goods for sale" inventory into:

a) Raw materials: materials and components scheduled for use in making a product.
b) Work in process, WIP: materials and components that have begun their
transformation to finished goods. These are used in process of manufacture and as
such these are neither raw material nor finished goods.
c) Finished goods: goods ready for sale to customers.
d) Goods for resale: returned goods that are salable.
e) Stocks in transit.
f) Consignment stocks.
g) Maintenance supply.

Manufacturing
A canned food manufacturer's materials inventory includes the ingredients to form the
foods to be canned, empty cans and their lids (or coils of steel or aluminum for constructing
those components), labels, and anything else (solder, glue, etc.) that will form part of a
finished can. The firm's work in process includes those materials from the time of release to
the work floor until they become complete and ready for sale to wholesale or retail
customers. This may be vats of prepared food, filled cans not yet labeled or sub-
assemblies of food components. It may also include finished cans that are not yet
packaged into cartons or pallets. Its finished good inventory consists of all the filled and
labeled cans of food in its warehouse that it has manufactured and wishes to sell to food
distributors (wholesalers), to grocery stores (retailers), and even perhaps to consumers
through arrangements like factory stores and outlet centers.
BIBLIOGRAPHY.

 Administración de almacenes y control de inventarios, Víctor E. Molina Aznar,


editorial Ediciones Fiscales ISEF, México, 1995.

 Manual del control de la producción y de inventarios, George W. Plossl; tr. Erick


Alcántara Gómez, editorial Prentice-Hall Hispanoamericana, México, 1998.

 Enfoques prácticos para planeación y control de inventarios, Alfonso García Cantú,


editorial Trillas, México, 1991

 Warehouse and distribution science, Bartholdi john, 2002.

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