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Scm 3040 - Facility Planning and Warehousing

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Our Facility Project

SCM3040: Facility Planning and Warehousing
Professor Mike Barnhart

Humber College

January 11th 2018


A few assumptions need to be made going forward. Containers from the Pacific Rim have loaded pallets inside, as per our supplier contract. We have four suppliers for each of our current product, and 5 customers each for a product except for the phone which have 2 clients. One of these phone customers requires special packing. To ship the metal phones and the metallic chips powering the Elmo across the ocean will require special rust proofing, packing and sealants on the items, packaging and containers. This is something we have written in our contract with these suppliers who have assured us that they have taken all the precautions necessary. Textbooks will also warp due to humidity and will be packaged accordingly at the suppliers end. We assume that we are not receiving a mixed load of items, as each product has its own supplier.

Company Philosophy


Here at Our Facility Inc. we share the belief that a happy employee is a productive employee. Happiness can occur through many different mediums but some of the ways we provide our customers happiness through the facility design is with a full serving line cafeteria, daycare, gym and rec-room. We also ensure that every inch of our facility is accessible by going above and beyond regulations. We want those who are disabled or using mobility devices to feel welcomed and valued. This philosophy will be woven into each aspect of our facility design.


We also believe that we need to be mindful of our environmental impact. We take environmental sustainability very seriously. A Composter is used for food waste, while lighting fixtures use energy efficient models. Windows are treated to keep the HVAC system from overworking. A green roof is used to keep the warehouse cooler in the summer and warmer in the winter while also preventing water seepage.


Lastly, we view safety as our most important KPI and ensure safety policies are meticulously trained to each employee, first aid kits are within 200 feet of any workstation, there is an addition of a safety committee formed from trained and dedicated employees, as well as an on-site defibrillator.


Our mission is to provide value added-services in the warehousing industry, such as custom packaging, to remain competitive. We strive to never surpass 80% capacity to ensure we provide quick turnaround times with error-free picking for our customers. We put our employees first and will continue to provide accessible and sustainable services. Our vision is to use technology as it evolves to remain relevant and stay competitively strong.

Departments and Processes

Accounting: The accounting department is responsible for the payroll, ensuring payment of suppliers and customers, calculating our profits and debt, recording transactions and checking inventory. The accounting department will have 2 employees. Only having 4 products coming in and out of the facility will ensure the work is split evenly having both employees focusing on two products each.

Cafeteria: The cafeteria at our facility will be outsourced and include a full kitchen with a serving line and vending machines for all breaks. The type of food the vending machines will offer will be snacks (chips, chocolate bars, candy etc.), pop/juice machines, and a hot beverage machine as well. Included in our cafeteria will be microwaves available to those who decide on bringing their own food and wishing to warm it up. We will have approximately four people employed at the cafeteria. One person will be responsible for taking orders, one will serve and help take orders and the other two will be preparing the necessary food/drinks.

Custodian: The custodians working will be outsourced as well. Within our facility they will be responsible for sweeping and changing the garbage bins in every room, vacuuming offices and boardrooms, mopping, wiping down tables in cafeteria, and ensuring bathrooms are clean and have enough supplies (toilet paper, paper towels). One person during the day and two people at night is all that is needed for cleaning staff. The worker during the day will ensure all garbages are changed, bathrooms and cafeteria is kept clean. The evening employees can mop the facility, vacuum offices and boardrooms and steam clean carpets every 2 weeks as well.

Customer Service/Sales: The customer service and sales department will answer any questions suppliers and customers have regarding orders, follow-ups on those orders once received and shipped, processing orders and returns, and ensuring we maintain good relationships with both our customers and suppliers. This department will have 2 employees as well.

Daycare: Having a daycare at our facility will guarantee that our employees will be on time as they won’t need to travel separate distances to drop-off and pick-up their children before and after the work day. This daycare is to help our employees who have young children with no one to look after them at home. The daycare employees will vary based on the number of children within the daycare but we will have at least 3 employees working at all times. The daycare will also be open to the general public as well but those parents will have to pay for its services unlike the employees working in the facility.

Finance: The finance department will be in charge of strategic and financial planning, risk management, corporate strategies, and budgeting. The finance department will have 3 employees so the planning process and management of risk can be managed accurately. One of the employees will be the VP of finance, one will be the director of finance and the last employee will be titled as the financial manager.

Reverse Logistics/Returns: 10% of our products will be returned due to defects, damage or picking error. Due to this we will be using the services of Genko to run our reverse logistics for us. This is to reduce costs and confusion within our own facility, while having Genko deal with the details of the returns.



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