Material flow planning in logistics

Material flow planning is probably the most important part of realising an economically successful warehouse or production facility. Detailed material flow planning is a synthesis of system, process and building, i.e. based on the individual core requirements of a company, the end result of material flow planning is a complex and coherent building, process and system concept.

Requirements and objectives of material flow planning

Key material flow requirements may include

• Storage of 15,000 pallets
• Access to 4,500 picking items
• 6 hour order fulfilment time
• Reduced employee workload

Material flow planning, which we understand as planning from the inside out, combines various

• Storage Systems
• Storage and picking strategies
• Building forms

with each other and develop alternative solutions.

Layout planning and optimization of the flow of goods

In material flow planning for a new building, layout planning is used to determine the layout, e.g. on the basis of the most economical system solution, and a material flow concept is developed that, e.g. T, implements conflicting requirements in the best possible way:

• Optimal internal/external processes
• Best use of capacity
• Easy expansion
• Ideal use of space

Effective layout planning is crucial for success. Optimizing the flow of goods through proper dimensioning and arrangement of functional areas, such as goods receipt, order picking, goods issue, and social rooms, is a key factor for economic efficiency in any company. However, material flow planning can improve productivity and increase capacity, even in existing buildings. Planning the layout for an existing building is more challenging as the planner must consider existing structures and material flow restrictions.

When material flow planning is based on a greenfield site, such as a warehouse or production facility, there is a high degree of freedom at the outset. The planner will need to provide answers to questions such as:

• What should be the size and height of the building?
• How many employees are needed?
• What is the size of the property?
• What investments and unit costs can be expected?

Material flow analysis

Extensive database-supported material flow analysis, combined with years of experience in logistics and production building planning, is the key to finding most answers. Material flow planning software systems can also be utilised.

However, it is important to note that dealing with the customer on site is a crucial element in designing processes, systems and rooms. Material flow analysis should always take this into account. During the material flow analysis, it is important to discuss the existing processes with employees and question even the most elementary details. For example, why isn’t the goods receipt area freed up earlier? Could it not be used earlier for goods issue? Additionally, it is important to investigate why the processing of returns takes so much time.

The goal of this analysis, both on-site and in simulation using material flow software, is to identify the optimal solution from various alternatives. This involves engaging in a thorough dialogue with all project participants, paying close attention to even the smallest details. It is also important to determine the optimal location for the toilet facilities.

When planning material flow in existing buildings, it is important to consider the existing facilities and processes. The key is to identify which points are truly immovable and which may be changeable. Material flow planning objectives can be complex, but involving employees can create opportunities for improvement in the existing environment.
ORGAPLAN’s logistics advisors can use the methods and tools described for material flow planning and analysis to systematically optimize your flow of goods.