Supply Chain Basics for Materials Handlers

Distribution center and warehouse managers who think they’re not in the center of the supply chain are kidding themselves. We talked to managers, consultants and academics about the supply chain processes most likely to impact DCs today.

Not so long ago, warehouses and distribution centers were focused on moving goods through a facility at the lowest possible cost. What happened outside the DC in the broader supply chain was, well, someone else’s problem.

That is beginning to change. Increasingly, activities and processes that take place outside the four walls of a building, ranging from sales and marketing plans to last-mile delivery, are impacting what happens inside the four walls.

“Customers want things faster, better and cheaper,” says George Prest, CEO of MHI, the organization that produces the ProMat and Modex trade shows. “Our industry is at the heart of making that happen.” More importantly, the view of the warehouse and DC at the corporate level has changed. “Companies now talk about materials handling as a generator of revenue and having an impact on the bottom line,” Prest says.

Given this new role, we talked to five supply chain managers, consultants and academics about some of the basic supply chain processes that distribution center managers need to be aware of to do their jobs in today’s environment.

Read the full article in Modern Material Handling here.