WAREHOUSING
The current pandemic has changed how everything operates and therefore developed the need for the supply chain to create new ways to reach and satisfy its customers. Some warehousing activities will provide relief to the survivors of the pandemic in immediate need (Rogers, et al., 2019). During this time, the companies lower inventory footprints of the finished goods by delaying assembling and labeling of the products until they receive the customer’s orders. This strategy is cost-effective and allows flexibility of companies in their inventory. During the next need time, frame pharmaceutical products and food staff will be transported to the affected areas using air transport since it is the fastest means of transportation. In the warehouse, the goods will be stored for a short period due to their urgency
During the short term needs, warehousing plays different roles in the value proposition. Firstly, it is bulk breaking. Warehousing breaks bulk for customers and distributes the products to various markets. Another value role played by warehousing is contingency protection. Warehouses store goods to lower the chance of stock out the situation and also meet customer’s demand. Lastly is smoothing, whereas the warehouse will hold inventory to meet the variation in the market. Activities include recording of receipts of either with a warehouse receipt or purchase order (Trieu, 2017).
In long term strategies and solutions, warehousing utilizes bulk buying economies. Warehousing helps in storing the excess goods that are purchased to be used in the future. This ensures the constant distribution of goods to customers. Secondly, is that warehousing assists in maintaining a source of supply. This applies during long lead times needed for the supply of products. Another role is product mixing. Most retailers sell a variety of products, therefore, raising the need for a warehouse to breakbulk for goods (Rogers, et al., 2019).
References
Rogers, W. P., Kahraman, M. M., & Dessureault, S. (2019). Exploring the value of using data: a case study of continuous improvement through data warehousing. International Journal of Mining, Reclamation, and Environment, 33(4), 286-296.
Trieu, V. H. (2017). Getting value from Business Intelligence systems: A review and research agenda. Decision Support Systems, 93, 111-124.