AN IMPROVEMENT OF PICKING SCHEDULE IN DISTRIBUTION CENTER WITH SIMULATION: A CASE STUDY OF LUBRICANT BUSINESS
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Abstract
Currently, the distribution center in this case study is facing overtime issues due to work schedules that are not optimized to suit the current environment and workload. This research aims to: 1) reduce the total working time in the order-picking process at the distribution center to align with the current environment and workload and 2) enhance operational efficiency through improved scheduling. The study employs a quantitative research method, collecting data on order-picking operations from October to December 2023 through documentation. A simulation approach was used to process 120 simulated scenarios, with data analyzed using probability distribution statistics, mean values, and confidence intervals.
The research findings indicate that the current work schedule allows for the completion of order-picking operations without significant issues. However, the existing schedule leads to the necessity of daily overtime work. By implementing a revised schedule focused on evenly distributing workloads across each day and testing its effectiveness through simulation, the study found that the average total working time could be reduced by 2.013 hours/day, representing an 18.086% reduction. Additionally, the average waiting time for order-picking decreased by 159.242 seconds/pallet, equating to a 56.451% reduction.
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