KOKEB MARBLE & PAINT FACTORY June 2022

BAHIR DAR UNIVERSITY

BAHIR DAR INSITUTE OF TECHNOLOGY

FACULTY OF MECHANICAL AND INDUSTRIAL

ENGINEERING

Project Title: Improving the productivity of kokeb Paint and

Marble by re - designing the ware house room

Name ID

Yohannes Woretaw BDU0905458

Abenezer Tekola BDU0903520

Temesgen kebede BDU0905213

DATE: 06/10/2014 E.C

BAHIR DAR, ETHIOPIA

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Table of Contents
CHAPTER ONE……………………………………………………...…1
1-INTRODUCTION…………………………………………………….1
1.1- Background………………………………………………………1
1.2- Problem statement………………………………………………..2
1.3- Objective…………………………………………………………2
1.3.1-General objective…………………………………………….2
1.3.2-Specfic objective……………………………………………..2
1.4- Benefit and beneficiary…………………………………………..2
CHAPTER TWO…………………...…………..…………………...….3
2- Literature Review ……………………………………………………3
CHAPTER THREE……………………………………………………...4

3-METHODOLOGY……………………………………………………4
3.1 Data collection……………………………………………………4
3.1.1-Primary data collection……………………………………..4
3.1.2-Secondary data collection………………………………….4
CHAPTER FOUR……………………………………………………….5
4-Work plan…………………………………………………………...5

Reference………………………………………………………………..6

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CHAPTER ONE
1- INTRODUCTION
Nowadays warehousing became one of the most important and critical part in supply
chain systems due to the fact that it consumes a considerable part of logistic cost.
Designing phase of warehousing system is the most important part in warehousing since
most of the strategic and tactical decisions should be taken as the one way of improving
productivity. A well - managed warehouse system should have easy access to market, good
located, sufficient space and reasonable delivery time.

Having unorganized warehouse or using a production room to sort products will result in
decreasing of productivity, because it will cause work under performance while cause process
delay.

1.1- Background
The planning to do our research in warehouse design. To planning do our Project on Kokob
Paint and Marble, We believe that it can improve the productivity of Kokob Paint and Marble
by re-designing a ware house that is efficient for the company. Warehousing goes back to the
age of agriculture, the description in Genesis of the use of granaries to store food and thus
prevent famine in Egypt emphasizes the social benefit and commercial utility of warehousing.
In the 21th century the ever increasing trend towards more product variety and short response
times has placed a tremendous emphasis on the ability to establish smooth and efficient logistic
operations. These operations even play a vital role in determining a company's competitiveness,
since logistic costs constitute an important part of the overall production costs.

A perfect design of the warehouse with minimizing the warehouse area will reduce travelling
time and traveling distance with selecting the best route to pick orders and as a result it will
reduce the cost of labor and time (Lihui and Hsieh, 2006). Money consuming activities in
almost every warehouse is order picking which is estimated to spend most of the total
warehouse costs, hence with a good design of the warehouse, this activity will improve, and as
a result the performance of the warehouse will improve respectively (Koster et al.,
2007).Designing of a warehouse could be based on the order picking system.

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1.2 Problem statement

These warehouses are not properly designed and managed as a result the company is frequently
exposed to high costs. The major problem of the company is the inefficient use of huge space.
It cause waste of space, transportation and of course wastes of money .Typically, in the finished
product warehouse, different operations are performed like sorting, order picking, order ships,
loading, and unloading , but due to inappropriate layout design of aisles, spaces and work flows
this company cannot use its warehouse efficiently. There are a lot of non-value adding activity.

There are sets of factors that challenge the company not to utilize the available storage wisely.
Thus are Randomized ordering of products, Warehouses are not scientifically organized and
Seasonal demand.

1.3 Objective
1.3.1 General objective
The general objective of this study is to improving the productivity of kokeb Paint and Marble
by re- designing the ware house room.

1.3.2 Specific objective

 To assess the existing finished products warehouse of Kokeb Paint and Marble Company.
 To identify, measure, analyze, and interpret factors that influence this re-designing
process by using CATIA V5 Autodesk Revit Software.
 To re- design the layout of Warehouse room
 To evaluate and compare the productivity of the company after proposed solution.
 To create optimal layout for finished product warehouse.

1.4 Benefit and beneficiary

The purpose of this project is to develop a process for re-designing production warehouse, and
analyzing important factors that influence this redesigning process.

The benefits of this study can be broadly seen in two ways; first the tangible benefits are the
company can Increase storage capacity and reduce labor costs of handling and loading,
Secondly the intangible benefit to the company is that as a result of appropriate design of
finished product warehouse the employee is satisfied by their job and motivated to work, as
well as due to right product delivery at the right time at the right place customers can be
satisfied. In addition it uses as a literature review to build the knowledge in this field

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CHAPTER TWO
2. Literature Review
According to (Backer and Canessa, 2009) today warehouses became a start point of any supply
chain in any type of business organizations as a result they took the major parts in the
productivity or loss of a company. Key aspect of any supply chain system and they play an
essential role in success and failure of any kind of businesses. Based on the purpose of using
warehouses, they can be named differently. When goods move directly from incoming to
shipping vehicles without storage, they can be called cross docking points. If activities like
pricing and labeling have been done for customers, they will be value added service centers.
They are called production postponement points if their main role is configuring or assembling
products based on customer demands. In the case that distribution is the main function the term
distribution center is commonly used. Finally, they are called returned good center if the
purpose of usage is to store faulty or end of life goods (Baker and Canessa, 2009). However,
in most ordinary warehouses raw materials and finished goods should be received, stored and
delivered to the customers after orders are picked. Hence if the main function is buffering and
storage the term warehouse is used (Koster et al., 2007). Just in time (JIT) is serve as a lean
principle that is very applicable at the warehouse of the company in order to deliver right
product at the right time to the right place to the right customer. So that warehouses should be
always stand by having lower volume and higher varieties of products (Berg and Zijim, 1999).
Therefore increasing the productivity of warehouses is a critical issue for any company. The
efficiency and effectiveness in any supply chain system is largely determined by the design
and performance of warehouses (Rouwenhorst et al., 2000). Even though the importance of
warehouse design and its effect on cost is clear, still there is no comprehensive, defined and
accepted method for designing warehouses. Based on this, almost

all warehouse designers have their own unique approach (Baker and Canessa, 2009). However,
there is a need to find such a systematic approach for warehouse designing in order to be
implemented in any different type of warehouses to increase the performance of the warehouse
and reduce cost (Rouwenhorst et al., 2000).

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CHAPTER THREE
3. METHODOLOGY
3.1 Data collection
3.1.1Primary data collection
Primary data collection methods are used to gather data and information related to the types
and levels of inventories, types of product, total space utilization, and packing.

 Direct observation in this project were performed to generate facts and analysis of the
current state of the warehouse by being every day at the factory includes; how materials
were stored in the warehouse, how often incoming goods come to the warehouse, the
process of an order picking, and physically studies in the warehouse process.
 Interviewing the company stuff works related to our project.

3.1.2 Secondary data collection

Secondary data collections will be used to find out further information from available
documents and literature reviews that are prepared previously.

 Internet
 document

Tools and method to use

 CATIA V5 Software
 Autodesk Revit ( to model) and lumion 11 (to render )
 Measuring tool like meter, centimeter

General methodology to conduct in our project

Step1: Specifying the type and purpose of the warehouse

Step2: Forecasting and analysis of expected demand and capacity of the warehouse

Step3: Determining space requirements:

Step4: Design of aisles:

Step5: Sizing and dimensioning the warehouse and its departments

Step6: proposed new re design of the ware house

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CHAPTER FOUR
4. Work plan

Weeks
Tasks Week Week Week Week Week Week Weak Weak
1 2 3 4 5 6 7 8
1.Literature
survey
2.Data
collection
3,examining
the existing
lay out of the
ware house
4.Data filling
in to the
problem
5.redesign
new the
warehouse
6.Analysis
and
conclusion
7.Presentation
of final report

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Reference

1. Ackerman K.B. ‘Practical Handbook of Warehousing’. New York, NY: Van Nostrand
Reinhold, 1993.

2. Koster René de, "Design and Control of Warehouse Order Picking: A litrature
review."European Journal of Operational Research (ELSEVIER) 182, no. 2 (October 2007):
481-501.

3. Baker P. & Canessa M. "Warehouse design: a structured approach"European Journal of

Operational Research (Elsevier) 193, no. 2 (March 2009): 425–436

4 Yin Robert K. case study research, design and methods. third. Vol. 5. Thousand Oaks,

California: Sage Publication, Inc., 2003.

5. Lihui Tsai, Hsieh Ling-feng,. "The optimum design of a warehouse system on order picking

efficiency." The International Journal of Advanced Manufacturing Technology

(Springer Science+Business Media) 28, no. 5-6 (March 2006): 626–637.

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