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National Capitol Area Conference. Charles L. Robinson, Director GSA, Office of Personal Property Management National Capital Region. November 14, 2011. Property 101, Session 3: Storage, Warehousing, Utilization, Consumption. Property 101, Session 3. Storage and Warehousing - Intro

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National capitol area conference

National Capitol Area Conference

Charles L. Robinson,

Director

GSA, Office of Personal Property Management

National Capital Region

November 14, 2011


National capitol area conference

Property 101, Session 3:

Storage, Warehousing, Utilization, Consumption


Property 101 session 3
Property 101, Session 3

  • Storage and Warehousing - Intro

    • An important part of the property management function.

    • Helps organization meet its goals and objectives.


Storage and warehousing
Storage and Warehousing

  • Traditional warehouse responsible for:

    • Storage, receipt, issue, and distribution of property

    • Protection of property

    • Ensuring property is available

    • Ensuring storage of property is justified

    • Ensuring property issued for valid purposes

    • Maintaining documentation to support property control records


Storage and warehousing1
Storage and Warehousing

  • Variables to consider when establishing a warehouse (in addition to cost):

    • Type

    • Size

    • Work force

    • Material handling system and equipment

    • Layout

    • Need for specialized facilities

    • Tracking and documentation controls


Storage and warehousing2
Storage and Warehousing

In public or government sector:

Warehouse must comply with public laws and other regulations

Policies and procedures must by written

Current and accurate records of all activities must be maintained

Federal and state regulations and guidelines must be followed

Shelf life taken into account, and

Warehouse must be kept clean and safe and properly marked


Warehousing
Warehousing

Includes several integrated functions:

Space allocation

Receiving

Storage

Issue

Recording

Reports


Warehousing1

Space Allocation:

Should be based on frequency of use and priority of function (e.g. short v. long-term items)

Based on frequency of movement (racking v. floor space)

Warehousing


Warehousing2

Receiving:

“Gateway” to the warehouse – accepts first responsibility for the property

Property is to be matched with procurement or transfer document (and carrier’s freight bill) to ensure accuracy

Items/property physically inspected to verify quantity, quality, etc.

Warehousing


Storage

Definition:

Designated area where an item remains after being received until it is issued

Function:

To protect property from loss, damage, degradation, or theft, and to ensure it is available when needed

Aspects:

Proper selection of locations; item separation; in-storage maintenance; and locating and movement

Storage


Storage1

Issue:

Major function in warehouse operation

Warehouse operation and inventory control is tested during this process

An inefficient issue process can result in loss of inventory

Recording:

Accurate recording of items received, stored, and/or issued must be accurately and timely recorded

Audit and validation of recordings should be routinely performed

Storage


Storage2

Reports:

Essential for communications between the warehouse and other operations

Can be standard, periodic, or special

Examples include – space availability, storage, receiving

Keep warehouse personnel informed

Types:

Four types – building, environmentally controlled building, yard, and special storage

Two categories – Covered and open

Storage


Warehouse layout

Objective is to maximize space utilization while attaining the maximum number of picks for issues from stock and conducting inventories at the lowest possible cost

A general-purpose warehouse should be configured for a combination of bulk, bin, shelf, and rack storage

When possible, there should be a straight line flow of stock from unloading point to storage and from storage to packing and shipping area

Other considerations include – quantity of items; frequency of receipt and issue; size and weight of items; MHE capacity; and accessibility requirements

Warehouse Layout


Warehouse equipment

Safety of personnel and protection of property must be taken into consideration

Storage pallet used most often – along with shrink wrap, bubble wrap, etc.

MHE include: forklifts, pushers, loaders, ramps, and bridge plates

Other equipment includes: metal shelving, pallet racks, and numerous other types of racking systems

Warehouse Equipment


Inventory and distribution methods

Two methods typically used: into consideration

Last in – First out (LIFO)

First in – First out (FIFO)

Inventory and Distribution Methods


Warehouse management systems

Used to ensure all property moving through the warehouse is accounted for

System could range from manual to computerized

Stock locator system identifies and tracks item location

Record elements should include description, control number, date received, condition, and cost

Commercial off the shelf (COTS) systems may also be used

Warehouse Management Systems


Utilization

Definition: making us of; documented use of an asset; act of employing something

Core elements – ensuring assets are used for designated purpose; maximize level of use; identify when item is idle; method of communicating availability of asset; and process for assessing utilization

Utilization


Utilization1

Role of Property Manager: employing something

Maintain and improving the organization’s operation and profitability with the assets and materials it has

Document events and report results of the utilization program

Participate in management processes that establish and adjust requirements on which the business is based (at least 13 processes)

Utilization


Utilization2

Authorized Use employing something

Written policy and procedures should be maintained on the use of all assets

Policy should include – list of property and attributes; title and ownership; location; accountable department; purpose of use; and time period of use

Utilization


Reutilization

This program identifies items that are excess, idle, or no longer needed and manages the transfer of the same

Benefits include – avoidance of new procurements; fills authorized program requirements; and reduces risk of unauthorized utilization

Reutilization


Consumption

Definition: process of incorporating material into an end item or using it in the performance of a documents business objective; the measurement of the actual use of consumable items against planned use

Benefits: can provide valuable information to support planning, production, and day-to-day operations; and can improve efficiency, reduce costs, and prevent production shutdowns

Consumption


Consumption1

Process: item or using it in the performance of a documents business objective; the measurement of the actual use of consumable items against planned use

Issuance of material

Actual use of material

Unused material

Return to stores

Consumption


Consumption2

A good program is based on: item or using it in the performance of a documents business objective; the measurement of the actual use of consumable items against planned use

Identifying requirements

Reviewing and adjusting requirements as needs change

Providing accurate data to management

Constant communication required among most departments

Accurate, timely, updated data ensures success

Consumption


Summary q a

Storage and Warehousing item or using it in the performance of a documents business objective; the measurement of the actual use of consumable items against planned use

Utilization

Consumption

Summary/Q&A