Warehousing and Materials Handling Learning objectives

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Warehousing and Materials Handling 1

LUNDS UNIVERSITETLUNDS UNIVERSITET

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Warehousing and Materials Handlingin a humanitarian / disaster relief context

Joakim KembroEngineering Logistics

Lund University2010-10-06


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• Learn about warehousing and materials handling in a humanitarian context (from a strategic, operational and disaster relief perspective)

• Compare with framework and course cases to contrastdifferences and understand underlying reasons.

• Gain an insight to the UN and what it means being deployedto an onset disaster.

Learning objectives


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1. Working with the United Nations

2. Humanitarian logistics / warehousing

3. Career opportunities

Content


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United Nations Population FundInternship + master thesis (forecasting contraceptives)

• Family planning and reproductive health

• World leaders on condompre-qualification

• 2009: 236 m USD

• Male condoms: 12 m USD

• 53 / 49 mm

• Carton size: 144 pieces

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• Time difference to suppliers

• Time difference to majority of beneficiaries

• Close to highly skilledstaff

• Cost of staff

• Cost for premises(bidding exercise)

Why UNFPA moved procurement office to Copenhagen?


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Warehousing in Afghanistan


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Joining the UN in Rome…


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United Nations World Food Programme

• In 2009, WFP provided food for 101.8 million people in 75 countries

• Around 10,000 staff

• Food delivered totaled 4.6 million tons

• 2.6 million tons was purchased with cash

• US$965 million was spent buying food

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Transport route cost analysis – DemocraticRepublic of Congo (DRC)

Parameters to consider:• ”Landlocked” country• Area larger than Spain,

France, Germany, Sweden and Norway together

• Poor infrastructure• Rainy seasons• Political instability

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24 hours to get on the plane – what to bring?


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Malaria – gamble or not?

Question: which one is the greatest risks when working in the field?


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Destination Caia (Lower Zambezi)


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First task: map all roads

• Provided with driver, vehicle, note book and a GPS

• Mapped all roads, road blocks, characteristics, required transportationmeans, possibility to offloadtrucks to boats/barges

• Gathered data to be plottedon map to get an overview of area for coordinationpurposes


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Framework

• We will compare each setting with one of the course cases (ICA) and identify differences and underlying reasons why warehousing and materials handling is set up and managed in a certain way

• What factors should we base our analysis on?

• You have 3 minutes..

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Framework• Analysis will include:

1. SKUs (number and characteristics)

2. Flow of goods (frequency and size of orders)

3. Unit load (pallets), carton or piece picking

4. Stacking (racks or floor)

5. Automation and equipment versus manual labour

6. Timing of activites (receiving, put-away, restocking, picking, shipping done at the same time?)

7. Labour management

8. WMS


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Humanitarian logistics / warehousing:

a) Strategic level

b) Operational level

c) Disaster relief context

Content


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United Nations Humanitarian Response Depot (UNHRD)

• This global network will facilitate WFP’s capacity to meet its goal of responding to 3 concurrent large-scale emergencies and the implementation of a 4th one.

• Reach / support any emergency operation within 24 – 48 hours

• Strategic location, Close to infrastructure (including port and airport facility)

• Somewhat politicaly stable location required

• Question: Propose locations of 5 warehouses within this network (bearing in mind the above conditions)


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Services provided by UNHRD

• Example of Customers: UNICEF, Save the children, Red Cross, European Commission, MSB

• Activities: Offloading, reception, inspection, small repairs, customs process, warehousing, routine maintenance, stock management and administration

• SKUs: Blankets, Tents, Generators, Mobile hospitals, Mosquito nets, ICT equipment, Warehouse pre-fabs, Water treatment, Vehicles, Warehouse equipment, High Energy Biscuits (HEB)


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High Energy Biscuits

HEB High energy biscuits are used especially for emergency supply; they may be used in therapeutic feeding programs as well as an immediate response at the outset of the emergency when no other foods/cooking facilities are available (e.g. when a population is in transit or fleeing).

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High Energy Biscuits

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1 carton box contain 100 packs of 100 gr. each.Width (cm): 31.0Height (cm): 41.0Depth (cm): 23.0Weight (kg): 10.000Volume (m3):0.029


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http://www.unhrd.org/


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Storing on pallets in racks


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Preparing for take-off


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Analysis of the UNHRD warehouse

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• Consider our developed framework, think about similarities and difference to the ICA warehouse:







7. Labour management / WMS

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a) Strategic level



Content


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Karibuni Mombasa

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Mombasa Operation

• 600,000 tons of food (cereals, pulses, oil, salt) handled through Mombasa in 2009

• 20 warehouses• 60 + staff• Main port / transport route for Kenya, Uganda, north-east

Congo, south Sudan, Somalia

• Think about what you would expect to find inside one of these warehouses? And let us have a peak


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Value adding activities in Mombasa W/H

• Matching demand with supply• Consolidating the food basket (ships often come with only

one commodity): maize, pulses, oil

• Fumigation

• Reconditioning

• Strategic stock (stickers)• Transshipment for Somalia (receive big ships, send off

smaller ones..) and coordinating shipments with NATO


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Labor management: parameters to consider

• Union rules (constraints on scheduling)• Shifts (number of shifts, lengths, start times, end times)• Contracts: Fixed vs Temps (rent-a-labor)• Management & organization (organigram, team leaders,

structuring of labor)


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Analysis of the WFP Mombasa Warehouse

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7. Labour management

8. WMS

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a) Strategic level



Content


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Some steps to consider (iterative process)

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1. Form a team

2. Assess needs• how much throughput of food and non-food-items

• Where to transport (destinations)

3. Estimate need for warehousing, order from UNHRD

4. Call forward food (locally or internationally)

5. Assess what means of transportation is required by WFP and other agencies

6. Contract trucks, barges and helicopters and get people on board (including GIS expert)


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• Bild på lastbilar – kontrakterade från Maputo / Beira (4*4 or 6*6)


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Focus: Warehousing

• Location, location, location…• Consider three aspects (or you

might find yourself in a bigmess):1. Leverage from water level

(given the specific context of the emergency operation)

2. Assessibility for trucks3. Security (to avoid thefts)

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Wiikhall

• 6 m x 32 m• 500 MT Storage

capacity• USD 25000 pr,

unit• Available from

UNHRD• Takes a day to

build


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WFP Warehouse Handbook


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How to stack the bags


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Some factors to consider

• A mixture of SKUs to handle in an inter-agency warehouse

• Humidity and infestation are major risks for stock. (encourageFIFO and fresh air during day)

• Not possible to fumigate• Food should never be stored

with ”NFIs”• Only manual labour available,

very limited access to equipment• Identify availability of gangs and

team leaders

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Analysis of the wiikhall

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• Consider our developed framework, think about similarities and difference to your case and the ICA warehouse:







7. Labour management / WMS


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Carreer opportunities

• Swedish International Development Agency (SIDA)• Minor Field Study• JPO-programme• Internship• Master thesis• NGO (Red Cross, MSF, Oxfam, Care, Save the Children)• MSB - previously known as ”Räddningsverket” or the Swedish

Rescue Services Agency (SRSA)


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Any questions?

Thank you!

Joakim KembroPhD Candidate

Department of Industrial Management and Logistics

Box 118, SE-221 00 LUND, SwedenVisiting address Ole Römers väg 1, Lund

Phone +46 46 222 33 27Fax +4 46 222 46 15

E-mail [email protected]

Documents

Warehousing and Materials Handling Learning objectives