Abstract

Warehouse management encompasses the principles and processes involved in running the day-to-day operations of a warehouse. And the challenges of a warehouse are the things hindering the smooth flow of these processes. The effectiveness and efficiency of warehouse management directly influence organizational performance. The challenges of warehouse management also influences the organizational performance.

This research looks at the stakes and challenges of warehouse management in Dalsey Hillblom Lynn (DHL). Its objective was to examine the stakes of warehouse management in DHL. It had as hypothesis to find out if there is a significant relationship between warehouse management and the challenges it faces. The phenomenology (point of view) research design has been used to reveal the inner thought of perception in certain situations. The research reveals multiple challenges like inefficient space utilization (which had 30%), clearance delay (40%), lack of trained personnel (15%), lack of funds (15%), etc. These issues and challenges directly affects the warehouse management in DHL. Hence the hypothesis test that there is a positive relationship between the challenges and warehouse managements.

This challenges can also be overcome by hard work, employing trained personnel and appropriately managing the labor force. In order for the organization to remain in the market, it has to be able to solve most or all it challenges.

Most of which is being able to properly forecast and the collaborative planning (i.e remain in contact with distributors, retailers, manufacturers, transporters and other sources) to counter this fluctuation in the demand of seasonal goods which is also a challenge in DHL.

CHAPTER ONE

INTRODUCTION

1.1 Background to the Study

Warehousing is often considered synonymous with pre-use storage of  goods. An organization regards all physical distribution components as interdependent and equally important. The way to understand warehousing in modern times is to see it as one of several business functions, which are integrated together to provide a unique competitive advantage over other enterprises. Earlier, this function was merely another tactical function related to inventory storage. But nowadays,  warehousing  and  delivery  represent  core  value-added  services  for  many distributors.

Management practically ensures that small and medium-sized enterprises, as dynamic, self-controlled, controlled and open systems, adapt to the operating environment, which is inherently dynamic, open and stochastic. Traditional approach to management of small and medium-sized enterprises is associated with overstocking and providing excessive capacity as a means of protection against demand variability.

Computerization  and other changes in technology have brought the warehousing function into the competitive strategy sphere (Satish  K. Kapoor, 2005) . Usually, a warehouse  is defined  as “a  planned space to store and handle goods and materials effectively”. Also the warehouse is a vital hub at  the  center  of  the  supply  chain  with  goods  and  materials  coming  in  and  out  in  an organization. In order to meet customer requirements, Logistics play an important role and can be defined as the science of planning, implementing and controlling the efficient flow and storage of goods and services from the point of origin to the centers of consumption. Logistics  comprises  three  main  components  at  a  broad  level,  namely  transportation, storage and distribution.  In addition, it is imperative  for these three  sub-components to work  effectively.

Transportation  refers  to  port,  road,  rail  and  air  infrastructure.  In  the logistics  system, warehouses  serve as  processing  or  materials  handling  stations  and in addition hold inventories that perform in buffering function. In modern  days, warehouse performance functions will be considered as two categories: Distribution and storage. Storage in logistics refers to warehouses and Distribution refers to freight forwarders, 3PL and some service  providers.(Donald  J.  Bowersox,  2002).

Warehouse  mainly  deals  with  storage  of general commodities, refrigerated goods and other storage products. Warehousing sector is  one  of  the  fast-growing  logistics  industry’s  major  segments  in  many  developed  and developing countries. The segment has evolved not only providing custody of goods but also  offering  value-added  services  including  sorting,  processing,  mixing  and  packing (Abhishek  Roy,  2017) . Modern  warehouses  have  been  developed  for  the  storage  of perishable goods like vegetables, fruits,  medicines, etc., have become essential in most developing and underdeveloped countries.

Warehousing sector in India is still in its primary stage and has a long way to go. Previously, managing the transport network and storage of finished goods, which was used to describe the supply chain strategy for most companies in Indian.Fortunately, the integration of the Indian economy with the global economy and various multinational companies locally established manufacturing facilities have helped bring global best practices to the domestic market.

This has resulted in a gradual shift from simple transportation network management and godowns to a more integrated supply chain management system (Knight Frank, 2018). This area of research is suggested significant on common findings of  most of the Cameroon Warehouses that do not study the current state of warehouse management. There are  at  least  four  major  reasons  why  an  industry  would  want  to  know  the  current performance  of  warehouse  management  in  Cameroon.This  study  described  has provided some insight but there is a need for a comprehensively research study thoroughly on warehouse performance measurement in the entire Cameroon.

1.2  Statement of the problem

Warehouse constitutes the most significant part of current supply chain management in the enterprise. Huge funds are committed to warehouses so as to ensure smooth warehouse management and customer demand. However, maintaining holding or carrying costs, efficient and effective warehouse management goes a long way in the successful running and survival of the business. When enterprises or warehouses fail to manage their warehouses effectively, they are bound to experience stock out and customer’s dissatisfaction.

DHL  focuses more on the maximization of return while proper warehouse management is least considered. This enterprise may fall in the long run due to the inability to cover up with their cost as a result of improper management of their warehouse which can restrain their cash flow due to losses from loss of products, defective products  and  delay in the  delivery of goods.

Considering the aforementioned gaps, this study attempted to bringout the warehouse challenges that are faced by DHL.

1.3 Research Questions

1.3.1Main Research Question

What are the challenges of warehouse management in Dalsey Hillblom Lynn (DHL)?

1.3.2 Specific questions

1. What warehouse management activities are used by Dalsey Hillblom Lynn (DHL)?
2. What are the challenges of warehouse management in Dalsey Hillblom Lynn (DHL)?
3. What strategies can be used to overcome the challenges of warehouse management in Dalsey Hillblom Lynn (DHL)?