By E. Kay, R Brown, G. Chandler and W. A. Davis (Auth.)
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1) is familiar to all stock controllers. It depicts the stock level over time. The interval between two adjacent peaks is the "replenishment period". e. the end-point, Thus, if the beginning stock level is Kx and the stock at the end of the period, that is the stock just before a further replenishment arrives, K2, the average stock during the period is given by τ(Κλ + K2). 3. The average stock level over time can be estimated by averaging the mid-points of all periods. Similarly, one can estimate an average maximum stock, say K* and an average minimum stock K, by averaging all the peaks and lowest points on the diagram respectively.
4. It appears that the building cost for a box-like warehouse can be subdivided into two main items —one dependent on the floor area, the second on the wall area required. Cost of floors per square unit depends again on the loadbearing requirements, floor coverings, etc. Similarly, roofing is a function of floor area, and so, it appears, are part of the services such as lighting, drainage, etc. 1) where x = length, y = width. 5. 2) where z = height. The proportionality factors A and B, which effectively are prices per square unit, depend on the requirements of the particular building, and can be expressed in terms of £.
Once such a decision has been made the range of varieties does not enter the minimisation procedure. 5 The problems and costs of information processing for automation are in our experience often overestimated. Most organisations, controlling warehouses with sufficient throughput to warrant a feasibility study on automation, already have a computer for stock accounting and control; the additional routines required to control movement into and out of the warehouse represent only a small addition to the total of programmes, and furthermore all the variable data required for this purpose are identical with those required for the other stock routines.
A Mathematical Model for Handling in a Warehouse by E. Kay, R Brown, G. Chandler and W. A. Davis (Auth.)