Abstract

Companies have been trying continuously to reduce their logistics costs in the current competitive markets. Warehouses are important components of the logistics systems and they must be managed effectively and efficiently to reduce the production cost as well as maintain customer satisfaction. Order-picking is the core of warehouse operations and an order-picking system (OPS) is essential to meet customer needs and orders. Failure to perform the OPS process properly results in high costs and customer dissatisfaction. This research aims to investigate the state of the art in the adoption of OPS and provide a broad systemic analysis on main operating strategies such as simultaneous consideration of order assignment, batching, sequencing, tardiness, and routing need. This study reviews 92 articles, classifies combinations of tactical and operational OPS problems, and provides guidelines on how warehouse managers can benefit from combining planning problems, in order to design efficient OPS and improve customer service. Combining multiple order-picking planning problems results in substantial efficiency benefits, which are required to face new market developments.

Highlights

  • Manufacturing companies confront different challenges to fulfill customer orders and distinguish between them

  • This study developed an agent-based simulation model (ABS) for order picking in a rectangular warehouse

  • Considering the assumptions made in the introduction and according to the information obtained from Tables 3, 4 and 6, the review process of articles from 2010 to 2021 in the present study showed the researchers’ attention to reducing operating costs by focusing on order selection activities such as routing, batching, and space storage

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Summary

Introduction

Manufacturing companies confront different challenges to fulfill customer orders and distinguish between them. Internal logistics aspects need a great deal of attention due to the constraints and resources available to reduce costs and increase the flexibility of production schedule changes to meet customer demands by expanding the ability of line feeding systems and offshore components. In this regard, using new methods of feeding materials and parts such as picking seem necessary [4]. Receiving materials and parts from the warehouse, preparing them, and moving them along product lines are the most strenuous activities in an internal logistic system.

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