THE EFFICIENCY ENHANCEMENT OF WAREHOUSE SPACE MANAGEMENT WITH ABC ANALYSIS: A CASE STUDY OF ABC COMPANY LIMITED

Abstract

           The research on the efficiency enhancement of warehouse space management with ABC analysis: a case study of ABC Company limited aims to study the increase of warehouse efficiency and to improve work processes in the warehouse system of ABC company limited with ABC Analysis from the observation and collecting data on the company's warehouse management process. Why-Why Analysis and Fishbone Diagram were used to find the causes and ways to increase the efficiency of moving goods within the warehouse with the ABC Analysis theory. It was found that the picking of goods was delayed due to 4 reasons: inadequate equipment, the staff who lack expertise in the operation, the process that still lacks the pattern in each step of the operation, and a variety of products. The company has technology but it cannot be used to identify location, therefore the problem of old products and new products mixed together, making management difficult. When analyzing ABC for product classification, it can improve the storage process within the warehouse more efficiently. The researchers measured 3 dimensions of logistics performance: cost dimension, time dimension, and reliability dimension. After increasing the warehouse efficiency, it found that the original cost of 64,000 baht can be reduced to 40,000.312 baht per month. At the same time, the time of 1 hour and 30 minutes per cycle can be reduced to 1 hour per cycle. For the reliability, it found that employees within the warehouse originally pick up the product according to the target of 95 percent. After improving the location form and product placement, they pick up the product according to the target set, increasing to 98 percent.