Scenario: A case study of MHE

Giraffee Logistics Center Pacific Co. Ltd.

Giraffee Group is a large Multi-national Company. It has many logistics company in 15 other countries. Just recently, Jerry Lim, the CEO of the company decided to set up another logistic company in Singapore as it is one of the busiest port in Southeast Asia. The company in Singapore handles electronic products with many product lines.

So now, Steven Lee, the branch manager need to think of ways to identify and control the products to ensure more efficient and effective movement of goods in the company.

Suggest what identification method Steven Lee should use to improve efficiency.

Ans:
He should use RFID to identify the products, because Giraffee company is handling many product lines. RFID can read multiple tags at the same time whereas bar code can only scan products one by one. Therefore, alot of time can be saved by using RFID. By using the bar code method, the bar code label on the product can be scraped off or destroyed, but RFID uses a very very very small micro-chip which inscribed in the product itself, hence products with RFID can go through rough handling compared to bar code. Range of the RFID is also much longer than bar codes.

However using RFID is very expensive, but to the multi-national company, the cost of using RFID can be trade off by using the time saved to handle even more products. The company will actually earn back the cost and eventually profits on a long term basis.

Conclusion: Different equipment can be used for different purposes. By choosing the right equipment, it can actually benefit the company alot in terms of lower cost, lower risk of damage goods and accident, space saving etc. The company will have to analysis the situation and choose the correct handling equipment that will best suit and benefit the company. Ultimately, the objective of maximizing the effective use of warehouse resources while satisfying customer requirements can be achieved.