Re-Layout of Product Placement in Retail Industry to Minimize Order Picking Time with Group Technology Method

Abstract

In retail industry, warehousing is the main activity. The warehouse can also function as a product distribution center (DC) to consumers or retailers. Distribution centers have an important role in supply chain management. DC performance is strongly influenced by many factors. One of them is picking order performance, which is a product taking operation from a certain storage place ordered by consumer. Total picking time is influenced by picker operator activity, which includes searching activity, traveling / transportation, taking, setting, and other activities/idle. The researched examined the possibility of redesigning the layout and structuring of products on the warehouse rack shelf so as to minimize picking time process. The method to be used in design is the group technology method. Based on the results in a retail industry in Bandung, the completion of the picking time is better by decreasing the average picking order completion time around 61.65% of the current system.