Arab Academy for Science, Technology and

Maritime Transport

RELATIONSHIP BETWEEN WAREHOUSING AND

LOGISTICS

PRESENTED TO:DR.NAHID MATARID

PRESENTED BY:
MOHAMED MOUSTAFA MAHMOUD
ALI ADEL
AMMAR ADEL EL GANAINY
 AHMED ESAAM ABDELKADER

1-Introduction :

Logisticsis the management of the flow of the goods, information and other resources in a repair cycle
between the point of origin and the point of consumption in order to meet the requirements of
customers. Logistics involves the integration of information, transportation, inventory, warehousing,
material handling, and packaging, and occasionally security. Logistics is a channel of the supply chain
which adds the value of time and place utility.(http://en.wikipedia.org/wiki/Logistics)

Warehouse also known as a godown in Indian English, is a commercial building for storage of goods.
Warehouses are used by manufacturers, importers, exporters, wholesalers, transport businesses,
customs, etc. They are usually large plain buildings in industrial areas of cities and towns. They usually
have loading docks to load and unload goods from trucks. Sometimes warehouses load and unload
goods directly from railways, airports, or seaports. They often have cranes and forklifts for moving
goods, which are usually placed on ISO standard pallets loaded into pallet racks.
(http://en.wikipedia.org/wiki/Warehousing)

Warehousing might be public, private or contracted. A private warehouse facility is owned or operated
and manned by the owner of the products it contains. A public warehouse rents space, typically by the
square foot or pallet, and could charge for some other services, such as accepting or perhaps loading
goods.

A contract warehouse facility is not owned or operated by the organization whose products it holds, but
there is a agreement set between the warehouse operator to the tenant. Normally, staff and
management of the merchandise kept are generally part of the agreement. In a real sense, a contract
warehouse is an important component of the company whose products are kept there. They will
become somebody which assumes order fulfillment services, pick and pack services or even additional
logistic tasks.(http://www.neillcartage.com/chicago-warehouse-trucking-blog/bid/23199/Contract-
Warehousing-vs-Public-Warehousing-in-Chicago)

1-1 evaluation system:In order to handle its logistics activities effectively and efficiently, a
company generally can keep logistics functions in-house, set up or buy a logistics firm, or outsource to
logistics companies (Razzaque and Sheng 1998; Hong et al. 2004). Previous empirical studies have
indicated that outsourcing of key logistics activities, namely, warehousing and transportation, is one of
the most important trends in business today due to the advantages of reduced capital investment, core
competencies concerns, improving customer service, and reducing logistics costs (Van Laarhoven et al.
2000; Lieb and Miller 2002; Hong et al. 2004; Ashenbaum et al. 2005). Manufacturers' and retailers'
emphasis on core competencies has steadily increased the demand for third-party warehousing
providers (distribution centers) or third-party logistics providers (Langley et al. 2004; Moberg and Speh
2004; Lieb and Bentz 2005). ( http://www.highbeam.com/doc/1G1-154866856.html)

2-Company profile:

Sakkary Mission statement

The company's mission is to be successful by effectively utilizing the philosophies
of honesty, high quality, fair prices, and customer service.

Vision
3- Research
Customer satisfaction problem:

We are an established company striving to satisfy customers by meeting their

demands of quality, responsiveness, and competitive pricing. Each customer is #1.
3-1 Research
Team satisfactionteam problem
background
Management and employees are committed to cooperating as a team for the
purpose of profitability and gratification of a job well done.

Community satisfaction Since this is a

contractual
We will provide jobs in a clean, safe, environmentally sound atmosphere and be relationship, there
an active participant in community affairs. could be problems if
the agreement is
Business description finished
prematurely. It may
Sakkary Establishment has been operating in Cairo City since 1958. We are a 100% be difficult or
private Company. The company occupies 15,000 square feet consist of
impossible to alter
showrooms, warehouses, offices for administration, engineering, and after sale
service. the contract once it
is in effect. This can
Overview of Products additionally end up
being to your own
Sakkary Establishment was formed to provide full-service, close-tolerance advantage, so the
contract machining of machine and tooling components, Managerial expertise and facility will be bound
industry experience have helped the company to show profits every year since its
inception

WWW.SAKKARY.COM/ABOUTUS
to the terms and conditions of the agreement. This means that alterations in the business conditions
may involve spending money on warehouse services which are not getting used.

While in the contrary circumstance, auxiliary area is usually available to augment increased area
demands. Numerous contract warehouses contain both a contract and also a open public sections. The
public part may be leased to cover high demand circumstances.

One more drawback arrives when the contract warehouse isnt furnishing a high standard of customer
care. Be certain you decide on a honest company to take care of your fulfillment needs.

Charges can be a problem if it is not addressed beforehand. A contract warehouse has a set overhead to
satisfy. These people may need to cover equipment or offerings you do not use (like cooling). Make sure
you simply buy offerings you need.

Lastly, a contract warehouse center is really a separate business entity. Make sure you work on
somebody professional and stable which can certainly fulfill your requirements.
(http://www.neillcartage.com/chicago-warehouse-trucking-blog/bid/23199/Contract-Warehousing-vs-
Public-Warehousing-in-Chicago)

3-2 problem statement: Is the relationship between warehousing and logistics efficient?

Is the warehousing management effective?

Is the logistics management efficient

4-Research objective:

There is relationship between effective warehousing system and effective logistics system.

5- Literature Review:

Sunil Samtani1(2003)researched "Recent Advances and Research Problems in Data

Warehousing " (applied on sample )
The research aimed to Problems in data warehousing

: The research concluded the following

  This paper brings together under one roof all the techniques of integrating data quickly
to help effective decision making
 . The data warehousing phenomenon which has grown from strength to strength in the
last few years presents new challenges everyday as we find new applications where
warehousing can play a crucial role
 In this paper, we have discussed the recent advances and research problems in three
different areas, namely, data warehouse modeling, view maintenance, parallel query
processing.

Jamis (2002) researched " Warehousing , distribution and logistics terms and conditions of
" service " applied on " sector

The research aimed to Warehousing and logistics terms and conditions of service

: The research concluded the following

1. Structure of the Agreement: Customer desires to receive certain warehousing,

distribution and/or logistics services provided by SCS as identified in that certain Master
Services Agreement (the “MSA”)
2. Fees, Charges and Expenses: Late Payments. If Customer fails to make a payment of the
undisputed Fees when due, Customer shall pay to SCS a late payment charge
3. Indemnification

Akhileshpatel (2009) "Warehouse management system disadvantage

The research aimed too: the WMS can data track products during the production process and
act as an interpreter

:The research conclude the following

Warehouse management deals with receipt, storage and movement of goods, normally .1
.finished goods to intermediate storage locations or to final customer

The objective of warehousing management is to help in optimal cost of timely order .2

.fulfillment by managing the resources economically
Warehouse management = "Management of storage of products and services rendered on .3
"the products within the four wall of a warehouse

Ramon padille(2004) "Determine what a data warehouse will accomplish for your enterprise
" before implementation

:Aimed too

There is great variability due to the management requirements of your warehouse as well as
the quality of your source data

:We conclude

Your organization is not stagnant. 1.

In order for your data warehouse to remain relevant it will have to change as your .2
.organization changes

These changes may be the result of different questions needing to be answered as your .3
organization changes, or modifications required due to changes in your source data

John J. BARTHOLD(2007) A project for a Cat Logistics

The research applied on Caterpillar

:The research aimed to

On the efficient way of storage in the warehouse to achieve the minimum cost

:Conclusion

 We conclude that the cat logistics is concerned with how to make 85 percent of the
facility filled
  So that the other 15 percent are free for any other emergency cases.

 It is important that the system should be followed in the most efficient way to achieve a
high return on the investments.

6-Hypothesis:

1) There is a positive relation between logistics information system and warehousing

efficiency.

2) There is relationship between management skills and warehousing effectiveness.

3) The business strategy effecting warehousing system .

7. The Research Importance:

Explain the importance of your research from two perspectives Academic and
applied.

8. Methodology

8-1 Data Resources

Secondary data is the study of data that exists already such as books, journals,
statistics, other research papers, websites, news reports, magazine articles etc.

Primary data (sometimes called 'empirical research') is research you carry out
yourself and data that is produced as a result of this, which has never been
published before. Primary research may be carried out through face-to-face
interviews, telephone interviews, postal surveys, website surveys or
focus/discussion groups.
So which research method is best for your research paper? Instinctively you may
think that the primary data will provide the most interesting results. However, if
your time and budget are both limited, do not be tempted to embark on a study.
You will do far better analyzing existing studies than producing a low-quality study
that is limited in its value due to the amount of time and finance you can devote
to it.

- Instruments of data collection & Statistical Analysis

 Instruments of data collection:-

Statistical Analysis:
Chi-square test , Correlation & Spearman's rank correlation coefficient

8- Contents:

This Graduation research will consist of five chapters as follow:-

Chapter one: Research Introduction

Chapter two: logistic system & warehousing system

Chapter three: The Empirical Study

Chapter four: Results and Recommendations

Bibliography – a reference list where you name all sources you have referred to
or cited. Note that the items should go in an alphabetical order.
  Make a list to keep track of ALL the books, magazines, and websites you read as you follow your
background research plan. Later this list of sources will become your bibliography.

 Most teachers want you to have at least three written sources of information.

 Write down, photocopy, or print the following information for each source you find. You can use
the Science Buddies Bibliography Worksheet to help you.

Collect this information for each printed source: Collect this information for each Web Site:

 author name
 title of the publication (and the title of
the article if it's a magazine or
encyclopedia)
 date of publication
 the place of publication of a book
 the publishing company of a book
 the volume number of a magazine or
printed encyclopedia
 the page number(s)
 author and editor names (if available)
 title of the page (if available)
 the company or organization who posted
the webpage
 the Web address for the page (called a
URL)
 the last date you looked at the page