The optimal layout design for minimizing operating costs in a picker-to-part warehousing system

Abstract

The decision problems in the design and control of warehousing order picking process include layout design, storage assignment, routing, and order batching policies. Previous researches on layout design for pick-and-pass systems are not abundant. However, a pick-and-pass system is a commonly used approach because of the growth of e-commerce and the faster delivery of small and frequent orders. This paper presents an algorithm to determine the number of zones, and the number of picking bins and racks in each zones for the pick-and-pass systems such that both investment and operational costs can be minimized. A cycle time evaluation model is developed and incorporated into the proposed algorithm to aid a warehouse designer to quickly evaluate design alternatives for warehouse configurations. The result indicates that the cycle time evaluation model appears to be sufficiently accurate for practical purpose and the optimal layout can be determined by the proposed algorithm.