Capacity Planning – Meaning, Classification and its Goals
February 12, 2025
What is Arbitration and why it is so important and how does It Take Place? We often hear the term, Arbitration, or Commercial Arbitration, used in multiple contexts in business literature. As the name implies, Arbitration, is a process of settling disputes that arise from differing interpretation of contracts between businesses as well as a […]
The Fortune 100 list of companies comprises of the top 100 corporations in the world in terms of size, revenues, and market capitalization. The list that is published annually gives a peek into the top corporations that run the global economy. Indeed, many commentators have stated that the top 10 corporations in the world are […]
China has seen rapid development in the past two or three decades. It has become the export powerhouse of the world. However, Chinese companies were always considered to be the cheap imitators. Chinese companies were earlier contractors for American and European countries who provided cheap labor to assemble their high tech products. However, this has […]
Insourcing is the opposite of outsourcing! Well, that sounds obvious, isn’t it? However, many people do not know what it means. However, this is a trend that is hitting the market in developing countries. Take India for instance; it is the largest exporter of software services in the world. A few bellwether companies primarily ran […]
Abstract The global economic crisis of 2008 brought home to the global investors the stark truth that they need to look beyond the Western economies for generating returns on capital invested. The fact that the BRICS or the emerging markets of Brazil, Russia, India, China, and South Africa weathered the economic downturn and were able […]
Purchase of raw materials is an integral part of any business, i.e. manufacturing organization or service organization.
Purpose of raw material is to be converted into finished goods for selling, but after purchase and before selling, they need to keep in safety and good care. The timeframe of storage can be short period or longer depending upon nature and requirement of materials.
Any damage or theft to the materials is going to increase cost to the organization. So it becomes important for organization to have a robust and effective warehouse as well as material’s management.
The place where raw material and/or finished goods are stored is referred to as warehouse or store. Generally, warehouse is structure or building design keeping in mind raw material and finished goods it is going to store. Therefore, warehouse management should be able to:
If above objectives are met, warehouse management significantly increases the overall efficiency of the production and organization. A robust warehouse management would ensure that:
Warehouse design is art in which goods and material can be stored as to reduce wastage, cost of carrying and increase safety. The various factors considered for warehouse design are as follows:
There are three general ways in which goods are stocked as to reduce material handling and increase prompt access. They are as follows:
Material management is a sub-set of warehouse management dealing exclusively material which contribute the maximum to completion of the end product. The objectives of material management are as follows:
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