492 JOURNAL OF THE SOCIETY OF COSMETIC CHEMISTS and, if necessary, rented accommodation can be a very useful way of putting off the day when the first unit warehouse must be built. Multi- storey warehouses are sometimes frowned upon, but it is wise to remember that their centre of gravity of operations is usually nearer its extremities, so that transportation within the warehouse can be reduced. In these cases the only necessity is a very efficient elevator system. Much warehousing space is taken with aisles and gangways, usually between 40% and 70%. It is therefore necessary to look at the specifications of handling equipment, in particular the turning circle of the fork lift trucks and the aisle width in which they can operate satisfactorily. Today normal fork lift trucks (handling a 48" x 40" pallet) can get down to a 7' 6" aisle. Special trucks usually running on lines set in the ground can get down a much smaller aisle width, somewhere in the region of 5' 6 • and mechanised systems like the Triax or the Flow Stacker system can work in aisles only inches wider than that of the pallet. Such systems as the latter have been used in the United States, and are certainly an economical proposition when the following conditions apply: 1. The warehouse requires more than 6,000 pallet locations. 2. The ground space is at a premium. 3. The warehouse can be constructed from scratch, thus saving building cost, particularly on upper floors. Normally this type of warehouse is used in conjunction with con- ventional warehousing, using racks and block stacking. In warehousing the pallet density (40" x 48" pallet) should fall in the following ranges: 7' 6' aisle, one pallet high, two pallets back to back, 28 pallets per 1,000 sq.ft Racked two pallets high, back to back, 56 pallets per 1,000 sq. ft. Racked three pallets high, back to back, 84 pallets per 1,000 sq. ft. Racked four pallets high, back to back, 112 pallets per 1,000 sq. ft. Block stacked, four pallets deep, three pallets high, 113 pallets per 1,000 sq. ft. Mechanised system, nine pallets high, back to back, 288 pallets per 1,000 sq. ft. In order to achieve maximum utilisation of whatever warehousing system is in use, it is necessary to random-locate, and to have an efficient and effective locator card system within the warehouse itself. Always remember that warehousing is a form of insurance by better estimating in inventory control, use of co-operative suppliers and reliable production, it is reasonable to reduce this insurance.
EXPANSION AND MANUFACTURING IN THE COSMETIC INDUSTRY 493 INVENTORY CONTROL Examination of the assets of companies in the industry will show that inventories are a high proportion of the total. They are the most important of our assets, as they are the most adjustable. Inventory control is, therefore, the very centre and heart of the operational side of a manu- facturing unit. It controls not only our inventories of components and in- gredients but also those of finished stock and of all departments within manu- facturing, it is most important and where the most stress should be laid. A good inventory control department will ensure that other depart- ments within the manufacturing area will run smoothly. In the early stages of growth the department can be manned by relatively few people and so long as these people are capable and efficient an adequate inventory control section can operate. Growth, however, brings its own pain to inventory control, the major factor being that communi- cation can become a bottleneck and a criterion. It is necessary to systemise the whole operation, to ensure that each clerk and each operator within the department knows clearly what he or she should be doing. A need for organisation and methods comes very early within this department. With the continued growth in the fluctuating market that our industry experiences, the need for computerisation becomes apparent. In many cases, it is speed of reaction which is necessary and vital to meet increased sales and the computer can provide this service. However, the computer is not a magician as many people wish it were. It is necessary before moving on to a computerised system of inventory control to ensure that the manual system is working effectively. After this stage a greater discipline must be developed in all key people within the manufacturing operation. Code numbers and accuracy of recording are paramount and Charlie, in the warehouse, who always knew After Shave Lavender by that title, should now know it as Code No. 0526. A disciplin- ary period of time is essential before moving on to a computerised system. From the chemical point of view, good inventory control means fresh products at the customer level, shorter shelf life and less complaints. PURCHASING The functions of other departments in manufacturing can be directly controlled internally but the purchasing department must influence suppliers and to a degree control them as customers, ensuring that they are
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