The factor Light in warehouse and logistics

The illumination of distribution centers is a rather rarely addressed aspect of warehousing. The lighting factor is not directly related to intralogistics processes and is therefore often taken for granted. Nevertheless, it can be considered an…

Rack zones – Overview

A storage rack, both in intralogistics and retail, can be divided into different horizontal racking zones. This usually results in four racking zones, which are named as follows from bottom to top Bending zone Gripping zone Viewing zone Stretch…

Single-stage picking – order-oriented, parallel picking

With parallel picking, an order is divided between different picking zones and processed simultaneously. Compared to order-oriented, serial picking, this means the following: Larger orders are split before the picking and carried out in different…

The Bullwhip effect

The bullwhip effect describes coordination and communication problems in multi-stage supply chains - mostly in so-called fragmented supply chains. It can be localised thanks to fluctuations in production planning and logistics planning (price…

Turnover rate and Rotation of goods: Fast and slow movers

The inventory turnover, also known as the inventory turnover rate or inventory turnover coefficient, expresses how often an average inventory is completely withdrawn and replaced in a given period (usually a financial year). As a key figure, it can…

Storage techniques in intralogistics

Depending on the nature of the stored goods and the frequency of use, different storage techniques are suitable. Different techniques can also be used in one building. Overview - dynamic and static storage systems in intralogistics Storage…

Swarm intelligence – What we logisticians can learn from ants – Part II

You may think estimating the weight of an ox, as described in Part 1 of this article, is hardly a complex task. But these mechanisms can be used to solve much more complex logistical problems. These are three categories of problems we typically face…

When risk minimization becomes a risk in logistics

Logistical decisions are ultimately economic decisions. This applies, for example, to major investments in warehouse and conveyor technology. Once all possible technical, informational and organizational questions have been clarified, managers in…

SAIL – the system architecture for intralogistics from VDI / VDMA

"Innovation and Standardization" is the title of a working group of the Intralogistics Forum of the German Engineering Federation (VDMA), which brings together renowned machine and facility manufacturers, IT companies, warehouse logistics…

Enterprise Resource Planning – the five most important questions when choosing an ERP system

An Enterprise Resource Planning System (ERP for short) is used in many different sized companies. It helps both start-ups and medium-sized companies as well as large corporations to make business processes more efficient. This is achieved through…

Advantages and disadvantages: centralized and decentralized warehouse

In distribution logistics, the determination of warehouse locations represents a strategic decision. A basic distinction is made between centralized and decentralized locations, which can have different effects on logistics costs (see also…

Storage maintenance costs – warehousing costs or storage costs

Trading companies and manufacturing companies usually have a warehouse or distribution centre. Raw materials and supplies, intermediate products, semi-finished products, finished products and spare parts are stored there. The storage of these goods…

The Jidoka principle in production and logistics

The Jidoka principle describes the ability of a machine, a plant or an entire system to switch itself off in case of errors, quality and production problems. Jidoka forms the second supporting pillar in the Toyota Production System (TPS) alongside…

Set-up time in production and intralogistics

If a machine or a production site, i.e. individual facilities or entire production lines, is set up for a special processing operation and equipped with the necessary tools, the duration of this changeover is referred to as set-up time. Usually, the…

Logistics management and the supply chain

The integrated planning, organization, management, processing and control of the entire flow of materials and goods and the corresponding information flow is called logistics management. This is not a tangible work step, but rather countless process…

Vogel’s approximation method

The approximation method according to Vogel is a heuristic procedure that is mainly used in distribution logistics, for example to solve a transport problem. It belongs to the field of mathematically oriented statistics, also called operations…

Opportunity costs in logistics

Opportunity costs, also known as alternative costs or foregone costs, express a foregone benefit in costs on the basis of decisions that have a negative impact and enable an approximately accurate cost calculation. The degree of utilization always…

Human-machine interfaces in the industry

The human-machine interface represents the analog or digital interaction interface between a person, i.e. a user, and a machine. It is a part of human-machine communication (also human-machine interaction). In its simplest form, this interface can…

Kanban and swarm intelligence at management level

In manufacturing and industry, a supply concept called Kanban(Japanese for card or sign), invented and developed by Taichi Ohno in the Toyota factories of the 1950s, has established itself worldwide. Like the swarm intelligence, the Kanban principle…

The control center in intralogistics

The control panel in intralogistics represents a central point of a warehouse management system and supports the employees responsible in the entire warehouse operation control process. In addition to the consolidation of information (key figures),…

Smart Data

Smart Data stands for the detailed and structured result of an analysis of unstructured data masses (Big Data). Every smart data information is an explicit fact. These are also known as digital findings, which also allow links to other fine-grained…

The Supply Chain Management (SCM)

Supply chain management (SCM) stands for the monitoring process as well as the coordination and control of the supply chain (value chain). This involves the allocation of all materials, information and the finances distributed along the supply chain…

Order picking – process steps

Picking stands for the combination of predefined orders from a warehouse assortment. The process steps that are carried out during picking include, for example, transferring the picking order and retrieving the article. These are individual basic…

The storage location management

The storage location management ensures that a storage location is recorded or occupied in width, height and depth. It covers two different topological aspects. On the one hand the overall structure of the warehouse and thus the positions of the…

The process-oriented warehouse planning

The process-oriented warehouse planning already takes into account in detail key positions relevant for planning such as assortment or stored goods, loading unit, and storage type during the so-called conceptual planning (planning lead time).…

Materials management in production and logistics

Materials management controls the material flow within a company as well as order-related material flows to customers and suppliers. As a rule, the focus is on the business management and thus commercial aspects. Seen from above, it links all the…

The end of the 6 Rs of logistics? – Part 1

The tasks of logistics and the logistician are memorably explained with the famous 6 Rs. The 6 Rs of logistics are the so-called “six right ones”: the right products in the right quality in the right amount in the right place at the right time at…

Swarm intelligence – What we logisticians can learn from ants – Part I

Surely you use a navigation system. So then you are already relying on the performance of ants and swarm intelligence. Why? Because the current navigation systems are programmed with the so-called ant algorithm and this shows you the "best" way from…

Optimization through process chain management

Process chain management serves to organize business processes in intralogistics and other industrial segments. According to Otto Schlichtherle, Logistics IT Consulting, it combines process-oriented thinking with the alignment of processes with the…

Functions of the warehouse

When considering the functions of a warehouse, the purpose of the warehouse arrangement is in the foreground. The definition is made up of the subitems security and staging function, clearing function, production function, and speculative function.…

Ergonomics in the warehouse

Ergonomics in the warehouse aims at the adaptation and creation of workstations which, taking into account the human physique, enable the worker to carry out activities as comfortably as possible. At first glance, the aspect of cost-effectiveness…

Specifications and requirement documents in intralogistics

The specification sheet generally contains the project requirements predefined and described in detail by the client, which in his or her view are necessary to successfully implement all requirements of the overall project. The requirement document,…

Definition – WMS – The Warehouse Management System

The Warehouse Management System (WMS) is an indispensable software for the control and administration of stocks (see also Inventory Management) and storage locations within closed operations (e.g. distribution centers or manufacturing plants). It…

Picking times – base time

In picking, the base time is the time required for picking. It only describes organisational activities before and after each picking process. Picking basically represents the order-related combination of articles from an assortment. However, before…

Material flow control as a service for a distribution center

Material flow control, also known as material flow computer or material flow control system (MFCS), is very often described as an order management directly assigned to materials handling equipment. However, this view does not do justice to the task…

Cut-off time in intralogistics

In intralogistics, the cut-off time describes the time at which an order must leave the warehouse and be transferred to the carrier so that it can still be delivered within a predefined period of time. On the other hand, a retailer understands…

Function and advantages of the ant algorithm

The Ant Algorithm, also often called Ant Colony Optimization (ACO) in the literature, is an algorithm for the approximate solution of complex optimization problems. This method of combinatorial optimization, also known as metaheuristics, is based on…

The cost of unused opportunities in supply chain management

No company can afford not to have the cost side under control. The figures from financial accounting serve as the basis for this. In many cases, the figures for the companies' cost accounting are derived from this. A look into the cost accounting of…

Definition – The Milk Run Concept

The milk run concept is a method for optimizing inter-company procurement logistics, often used in conjunction with just-in-time production. Based on existing consumption values, it describes a logistics supply cycle in which goods or empties are…

The degree of utilisation/the capacity utilisation

The degree of capacity utilisation describes the proportion of the capacity used by resources/operating resources (plant, machinery, employees, energy) measured against the total available capacity - always in relation to the completion of a work…

Definition of Accounting / Bookkeeping

The term accounting describes the comprehensive recording, storage and analysis or evaluation of all measurable business transactions/processes in a company. For this purpose, profit and balance sheet ratios from the general accounting are set in…

Buffer line

A buffer section is used to intercept jams within the material flow, to avoid bottlenecks and idle time within different processes and to collect inventories for forwarding. It can be integrated fully automatically into the flow of goods, but can…

Returns processing

Returns handling describes several processes in the return of goodsordered - mostly - online. They are processed and handled by the distribution centeraccording to the client's specifications. Looking at returns processing as a whole, the process…

Storage capacity/storage economy

Storage capacity is defined as the maximum number of loading units that a warehouse can hold. It also represents the actual capacity of a warehouse. It directly relates to the size of the storage area, the height of the warehouse (usable space), the…

Assortment width and assortment depth

The assortment available in a warehouse and in the retail trade is subdivided into the assortment dimensions assortment width and assortment depth. The assortment width describes the range of different merchandise, the assortment depth the variety…

Order throughput time

When an order is received in a logistics centre, it passes through various processes until it is completed. For each of these individual processes, the lead time is measured. If you add the lead times of the individual processes, you get the total…

Production management

According to business economist Werner Kern, production management is an operational service provision. "Production is any kind of internal transformation of goods into higher-value goods". In his opinion, terms such as production, costs, planning,…

Defintion and advantages of consignment

The term consignment refers to a form of delivery of goods in which the supplier acts as consignor and the customer as the consignee. The consignor is the owner of the goods until either an agreed period expires or the consignee removes the goods…

Master data

In intralogistics, master data, also known as primary data or reference data, is data that contains operationally relevant information. This includes information about products, suppliers and customers, for example. Individual data is assigned to an…

VDI 3601 – Warehouse Management Systems

In Guideline 3601 - "Warehouse Management Systems", the Association of German Engineers (VDI) describes which requirements a Warehouse Management System (WMS) should fulfill. The VDI thus answers a question that has been around for years: When are…

The factor Light in warehouse and logistics

The illumination of distribution centers is a rather rarely addressed aspect of warehousing. The…

Rack zones – Overview

A storage rack, both in intralogistics and retail, can be divided into different horizontal racking…

Single-stage picking – order-oriented, parallel picking

With parallel picking, an order is divided between different picking zones and processed…

The Bullwhip effect

The bullwhip effect describes coordination and communication problems in multi-stage supply chains…

Turnover rate and Rotation of goods: Fast and slow movers

The inventory turnover, also known as the inventory turnover rate or inventory turnover…

Lagerhallte mit Waren

Storage techniques in intralogistics

Depending on the nature of the stored goods and the frequency of use, different storage techniques…

Swarm intelligence – What we logisticians can learn from ants – Part II

You may think estimating the weight of an ox, as described in Part 1 of this article, is hardly a…

When risk minimization becomes a risk in logistics

Logistical decisions are ultimately economic decisions. This applies, for example, to major…

SAIL – the system architecture for intralogistics from VDI / VDMA

"Innovation and Standardization" is the title of a working group of the Intralogistics Forum of the…

Enterprise Resource Planning – the five most important questions when choosing an ERP system

An Enterprise Resource Planning System (ERP for short) is used in many different sized companies.…

Advantages and disadvantages: centralized and decentralized warehouse

In distribution logistics, the determination of warehouse locations represents a strategic…

Storage maintenance costs – warehousing costs or storage costs

Trading companies and manufacturing companies usually have a warehouse or distribution centre. Raw…

The Jidoka principle in production and logistics

The Jidoka principle describes the ability of a machine, a plant or an entire system to switch…

Set-up time in production and intralogistics

If a machine or a production site, i.e. individual facilities or entire production lines, is set up…

Logistics management and the supply chain

The integrated planning, organization, management, processing and control of the entire flow of…

Vogel’s approximation method

The approximation method according to Vogel is a heuristic procedure that is mainly used in…

Opportunity costs, especially in intralogistics, are a popular means of identifying capacities in advance.

Opportunity costs in logistics

Opportunity costs, also known as alternative costs or foregone costs, express a foregone benefit in…

Mensch-Maschine-Schnittstelle

Human-machine interfaces in the industry

The human-machine interface represents the analog or digital interaction interface between a…

Kanban and swarm intelligence at management level

In manufacturing and industry, a supply concept called Kanban(Japanese for card or sign), invented…

The control center in intralogistics

The control panel in intralogistics represents a central point of a warehouse management system and…

Smart Data

Smart Data stands for the detailed and structured result of an analysis of unstructured data masses…

The Supply Chain Management (SCM)

Supply chain management (SCM) stands for the monitoring process as well as the coordination and…

Order picking – process steps

Picking stands for the combination of predefined orders from a warehouse assortment. The process…

The storage location management

The storage location management ensures that a storage location is recorded or occupied in width,…

The process-oriented warehouse planning

The process-oriented warehouse planning already takes into account in detail key positions relevant…

Materials management in production and logistics

Materials management controls the material flow within a company as well as order-related material…

The end of the 6 Rs of logistics? – Part 1

The tasks of logistics and the logistician are memorably explained with the famous 6 Rs. The 6 Rs…

Swarm intelligence – What we logisticians can learn from ants – Part I

Surely you use a navigation system. So then you are already relying on the performance of ants and…

Optimization through process chain management

Process chain management serves to organize business processes in intralogistics and other…

Warehouse functions

Functions of the warehouse

When considering the functions of a warehouse, the purpose of the warehouse arrangement is in the…

Ergonomics in the warehouse

Ergonomics in the warehouse aims at the adaptation and creation of workstations which, taking into…

Specifications and requirement documents in intralogistics

The specification sheet generally contains the project requirements predefined and described in…

Definition – WMS – The Warehouse Management System

The Warehouse Management System (WMS) is an indispensable software for the control and…

Picking times – base time

In picking, the base time is the time required for picking. It only describes organisational…

Material flow control as a service for a distribution center

Material flow control, also known as material flow computer or material flow control system (MFCS),…

Cut-off time in intralogistics

In intralogistics, the cut-off time describes the time at which an order must leave the warehouse…

Ant algorithm

Function and advantages of the ant algorithm

The Ant Algorithm, also often called Ant Colony Optimization (ACO) in the literature, is an…

The cost of unused opportunities in supply chain management

No company can afford not to have the cost side under control. The figures from financial…

Definition – The Milk Run Concept

The milk run concept is a method for optimizing inter-company procurement logistics, often used in…

The degree of utilisation/the capacity utilisation

The degree of capacity utilisation describes the proportion of the capacity used by…

Definition of Accounting / Bookkeeping

The term accounting describes the comprehensive recording, storage and analysis or evaluation of…

Buffer line

A buffer section is used to intercept jams within the material flow, to avoid bottlenecks and idle…

Returns processing

Returns handling describes several processes in the return of goodsordered - mostly - online. They…

Storage capacity/storage economy

Storage capacity is defined as the maximum number of loading units that a warehouse can hold. It…

Assortment width and assortment depth

The assortment available in a warehouse and in the retail trade is subdivided into the assortment…

Order throughput time

When an order is received in a logistics centre, it passes through various processes until it is…

Production management

According to business economist Werner Kern, production management is an operational service…

Defintion and advantages of consignment

The term consignment refers to a form of delivery of goods in which the supplier acts as consignor…

Master data

In intralogistics, master data, also known as primary data or reference data, is data that contains…

VDI 3601 – Warehouse Management Systems

In Guideline 3601 - "Warehouse Management Systems", the Association of German Engineers (VDI)…