Chapter 4:

APPLYING ICT TO WAREHOUSE/YARD MANAGEMENT

 Chapter 4: Applying ICT to
Warehouse/Yard Management

❖ Objectives
1. Understanding concepts of Information System Management in a warehouse
2. Understanding features and roles of ICT applications in warehouse management
3. Understanding ICT hardware and software warehouse management
 Chapter 4: Applying ICT to
Warehouse/Yard Management

❖ Content

1. Challenges in warehouse management

2. Trends of the Vietnam market
3. Concepts of information system management in warehouse
4. Features and roles of ICT application in warehouse management
5. ICT Software and Hardware Infrastructure for warehouse management
Challenges in warehouse management
 Trends in Viet Nam market

✔ 3PL logistics services

✔ Ecommerce/Modern Trade
✔ Supply chain 4.0
Trends in Viet Nam market
Challenges in warehouse management
INFORMATION SYSTEM IN STORAGE MANAGEMENT DEFECTS
Storage system data connection is poor
(1) Inventory information asymmetry
(2) Stock information update is slow
(3) Inventory report is not comprehensive

System information can’t be integrated and shared Warehousing information

management
▪ At present, most enterprises only realize systematic management, but they have not realized
the true information integration and sharing, it can’t achieve the integration of financial
business, and the enterprise data can’t be dynamically controlled in real time.
▪ Multiple systems running at the same time can only ensure that a certain part of the
operation, the data flow only in its internal part of the link is not close; the information is
difficult to share in a timely manner. There are companies rely on manual operation, which is
not only difficult to improve work efficiency, but also increased business costs
 Challenges in warehouse management
Picking goods Just In Time Ensure the time for supplying
• Optimize operation time • Improve accuracy for receiving goods
• Reduce the time for receiving goods • Investigate the overall warehouse

Receiving Warehouse Shipping

Operation

Overall Solution The lowest cost

• Manage increased SKU volume • Optimize the capability of management
• Evaluate the obligation of labeling • Improve productivity of staff
 Information System in warehouse
▪ The use of computer-based information technology is now the norm in most warehouses, and is
essential for the management of large facilities.
▪ Even in conventional warehouses, for example with reach trucks and ground-level picking,
significant advantages can be achieved in terms of productivity, speed and accuracy with the benefit
of a good warehouse management system (WMS).
▪ The WMS normally interfaces with the company’s main transaction system (such as an ERP for
legacy system) to access information such as purchase orders and to download customer orders.
▪ In turn, the WMS will feed back information such as goods received and dispatched. The WMS is
used to control all the operations in the warehouse and issues instructions to subsidiary systems, for
example equipment control systems
▪ Warehousing management information system is for the entire process of storage operations
electronic operation, the storage of goods and the dynamic arrangements for storage, storage and
management of enterprises in the rapid response to the problems and timely response to solve the
complex business inventory, distribution, etc. problem.
 Information System in warehouse management

▪ Warehouse management and inventory

management can be made very useful when
integrated with IT to help ensure cost-efficient
activity
▪ Some of the most common ones which enhance
efficient and effective management of stock in
inventory or warehouse are bar code scanners or
readers, biometric verification system, warehouse
management system (WMS) and electronic data
interchange (EDI)

Information System in warehouse management

Information System in warehouse management

Warehouse Management Information System is mainly used to manage goods out of

storage, in the category management (type, nature, size, etc.), cargo information management,
WMIS system in general can be divided into four modules: storage subsystem, Inventory
management system, a database subsystem, data management system.
Storage subsystem
Storage of goods is the storage industry is the most important and important part of one of the
key norms warehouse management is to control the good storage of goods off. Formulate a
reasonable link, the responsibility to the parties, is conducive to the formal management of
warehouses, inventory of goods in a timely inventory, the establishment of information systems
will be strictly in accordance with each part of the circulation of documents to complete a set
of storage operations.
Information System in warehouse management

Outbound subsystem
A database management system, logistics warehouse management is also an integral part
of one, it is primarily the goods bidirectional demand order processing, in terms of the
external work is based on customer orders, sorting and distribution of processed goods, is
internal need for goods orders statistics, picking out of the library operations. Outbound
procedures for information systems are simple and clear, and the mechanized equipment
out of the library smooth connection, the library efficient.
Data management system
Data management system includes inventory management and data management, used for
statistics and sorting analysis of all goods in storage, data management system data
redundancy is small, easy to expand, to achieve the sharing of information. Data
management system for the convenience of users to provide a concise use of the interface,
an increase of system flexibility.
Features and Roles of Managing Information Technology in Warehouse

▪ In today’s competitive business world, combination of IT in business to connect supply

network partners through information sharing has become a source of the competitive weapon
over rivals in the same industry.
▪ IT has been recognized as one of the most significant influencers in the market world at the
moment.
▪ Information sharing across the supply chain partners decreases cost, quickly facilitates
inventory flows, and improves order processing. Enhancing efficiency in warehouse activities is
a major success of an entire supply network as it aids waste reduction and ensures value
creation among business partners.
▪ Warehouse management and inventory management can be made very useful when integrated
with IT to help ensure cost-efficient activity.
▪ Information system is an effective tool which aims to support operations, management and
decision-making. For a warehouse, communication of the right information at the right time is
very important for operational excellence and profit maximization. In today’s competitive
world strong information system will help in business development and effective use of
resources
Features and Roles of Managing Information Technology in Warehouse

Roles of ICT Application in Warehouse Management

Utilize all Utilize the

Productivity
resources inventory
• Automatic process in • Optimize WH space • Reduce the inventory cost
WH
• Maximize the usage of • United Data
• Optimized Works in WH equipment and machine
• Smooth Flow of inventory
• Reduce the time for • Optimize time for seeking
movement in WH inventory to reduce • Reduce the errors in WH
movement and improve operation
productivity.
ICT Software and Hardware Infrastructure for warehouse management

Warehouse Management System

WMS
Transport
Area Management Receiving Order processing Management

Inspecting Consolidate order

Collaboration/Visuali
Supplier Management Counting and zation
Moving the goods
Checking
Inventory
Cross Docking
Management
Dock/yard Analytical and
management Added Value Optimized
Good preparation
Services

Good delivery Exporting Process

RFID Event Management
Internal moving RF/Mobile
ICT Software and Hardware Infrastructure for warehouse management

Warehouse Management System

ICT Software and Hardware Infrastructure for warehouse management

Technology and entire system for

managing warehouse
ICT Software and Hardware Infrastructure for warehouse management
ICT Software and Hardware Infrastructure for warehouse management

Bar code technology applications

▪ Warehouse information management, the information technology is widely used in enterprise
storage management information system, and bar code technology is widely used in
warehousing management, an information technology, bar code technology in the promotion
and application of enterprises, mainly by reducing labor costs to reduce the overall cost of
production way to none other customers.
▪ In the process of warehouse management, bar code technology can analyze the collection of
goods information, the tracking of information, the circulation of information and the statistics
of information, mark each goods or product with the corresponding bar code, allocate the
corresponding quantity for each warehouse of the digital cluster terminal (PDT), in the goods
out of storage and the transfer of links on the scan, real-time tracking of logistics, to avoid the
goods wrongly taken in transit or omissions. This is conducive to real-time, accurate control of
goods.
ICT Software and Hardware Infrastructure for warehouse management
ICT Software and Hardware Infrastructure for warehouse management
ICT Software and Hardware Infrastructure for warehouse management

• Tracking for
forklift
ICT Software and Hardware Infrastructure for warehouse management

• Dock
management
ICT Software and Hardware Infrastructure for warehouse management

• Pick to
light
ICT Software and Hardware Infrastructure for warehouse management

Radio frequency identification technology applications

▪ Radio frequency identification technology is the use of radio frequency non-contact two-way
communication to exchange data between each other wireless identification technology.
▪ In the import and export warehouse to install a fixed reader writer can be achieved
automatically into and out of the library of goods, different goods have different storage
methods, storage conditions, and the use of RFID technology in the tag information recording
function, you can quickly Judge the goods suitable warehouse and the exact storage location.
▪ Storage time. RFID can also inventory the goods at any time quickly, so that staff keep
abreast of the situation of the goods.
 ICT Software and Hardware Infrastructure for warehouse management

RFID TECHNOLOGY IN WAREHOUSING MANAGEMENT FOR

INVENTORY CONTROL ON ORGANIZATIONAL PERFORMANCE
▪ RFID is an automatic system that uses wireless technology to identify and track
labeled items in the form of a unique serial number. It consists of three components as
follows: a tag or chip attached to an item, a reader which produces radio signals and
obtains a response from the tag in return as well as a software which connects RFID
hardware and the business application.
▪ RFID technology in inventory control, It enables companies to boost production
visibility, reduce out-of-stock rates, gets rid of stock errors, reduces storage cost, theft,
shrinkage, and allows regular update of the company’s inventory databases.
▪ RFID increases inventory accuracy, efficiency, speed, reduce scarcity, handling, and
distribution cost and improve organization’s profit margin by decreasing the number of
stock-outs. According to, RFID offers real-time information about inventory and that it
is useful for any firm, especially those that manage huge piles of items and wants to
determine stock-in or stock-out.
ICT Software and Hardware Infrastructure for warehouse management
ICT Software and Hardware Infrastructure for warehouse management

GPS/GIS technology applications

▪ General enterprises have multiple warehouses, frequent warehousing and warehousing of
goods, and complicated vehicle deployment.
▪ In the distribution process, GPS technology is used.
▪ To track the vehicles in real time. GIS systems are used to provide the transportation
vehicles with geographical conditions. This will enable the transport of goods to the selected
route, on time and on time to reach the destination, to ensure the least cost to complete the
most efficient distribution
ICT Software and Hardware Infrastructure for warehouse management
Practical Projects for apply ICT in Warehouse Management
Practical Projects for apply ICT in Warehouse Management
Practical Projects for apply ICT in Warehouse Management