Implementing 5S Principles at Shell Pakistan: Improving Warehouse Organization with Inventory Counts, Labeling, and Categorization
- Physical Count
- Inventory Sorting & Tagging
- Implementing 5S Principles
- Oil industry
- Karachi, Pakistan
Background
We successfully collaborated with CBRE for Shell Pakistan to enhance stock identification and inventory management. The project primarily focused on maintaining accurate inventory records to display stock levels in the warehouse. Additionally, it aimed to organize items systematically, ensuring efficient storage. To achieve this, we categorized the inventory based on specific criteria and labeled items with row and column numbers. The systematic approach of implementing 5s principles in warehouse management improved the sorting process and inventory accessibility. For more details on optimizing warehouse processes, check out our inventory management solutions page.
Client Overview
Shell Pakistan is a leading energy company in the country, offering a diverse range of products and services in Pakistan. With an extensive network of warehouses, maintaining an accurate inventory is important to improve operations and efficiency.
Challenges
During their work with Shell Pakistan, they identified several challenges, one of which was the need to analyze a large-scale inventory. The diverse and extensive stock stored in the warehouse posed significant challenges in optimizing operations. Additionally, the inventory was stored in various locations, making it difficult to accurately count, tag, and sort the items.
Solutions Highlights
“Physical counts, tagging, put away to position, counting to know the exact stock position, proper identification of articles.”
To address the difficulties faced by Shell Pakistan, the proposed solution was to offer an advanced and comprehensive solution to correctly and accurately calculate the number and types of their stocks. This involved implementing the following steps:
Physical Count and Labeling
We addressed this by conducting a thorough stock check, counting the inventory and grouping related items. Additionally, we implemented a labeling system to facilitate quick identification and retrieval of stored goods.
Sorting and Organizing
In preparation for the clean-up process, our team organized the items based on product type and usage frequency. This approach brought several key benefits, including simplifying stock management and improving efficiency.
Repacking and Taping
To remove substandard boxes from the company’s stock, we initiated the process of repackaging and re-taping affected inventory items. This involved carefully inspecting all items, focusing on those with compromised packaging, and then repackaging them to ensure maximum protection during transit.
Row-wise Placement
To improve floor space and ensure smooth movement within the warehouse, we systematically arranged the items from one row to the next. This involved organizing all food items in horizontal lines, with section separators for each type of food.
Category-wise Allocation
To enhance identification and maintain order, we designated specific sections of the warehouse for each inventory category. This arrangement improved movement and reduced the time required to locate and retrieve resources.
Results and Benefits
The implementation of 5s principles in warehouse management produced significant results and client satisfaction:
Improved Inventory Accuracy
Through conducting best practices inventory processes and integration of tight tracking systems, inventory accuracy was greatly enhanced.
Enhanced Efficiency
They include the optimized inventory layout and organization where there was less time consumed in acquiring, compiling, or accessing inventories.
Space Optimization
By making rows stand in a row and grouping them according to their category, it was able to reduce congestion in the warehouse and provide the workers with an efficient environment.
Efficient inventory retrieval
When the inventory has been arranged well in the appropriate rows, the process of recounting becomes very easy and efficient and SI makes sure that the management of inventory is accurate. In addition, this organized structure helps in achieving proper loading mechanisms in case the commodities are required to be retrieved from the stores.
Conclusion
The impact of our exceptional inventory counting and sorting solutions is undeniable. By implementing various strategies aligned with our client’s goals as an IMEX sortation expert, we successfully improved the inventory positioning, labeling, and packaging. We also organized the items row by row with categorical identification, ultimately enhancing performance and boosting customer satisfaction.