Graduation Internship – Master Industrial Engineering and Management

Objective

The objective of this assignment is to analyze and compare different warehousing scenarios in terms of operational efficiency, costs, lead times, and overall feasibility. This includes taking  into  account  all  relevant  operational  aspects  such  as  material  flows,  internal transport movements, forklift relocations, and other transition costs.

The goal is to provide the  management  team  with  a  clear,  data-driven  recommendation  for  the  most  optimal warehouse configuration going forward.  With the goal to reduce the time needed for Raw Material picking in order to be able to provide the production departments with new orders in the most efficient way with minimal resources and to optimize the number of resources required (Number of FTEs, number of forklifts etc.).

To support this, the student is expected to develop or use analytical or simulation models to quantify  key  performance  indicators  (KPIs)  for  several scenarios,  enabling  an  objective  and comprehensive comparison.

Scope of the Assignment

The student will conduct three feasibility studies, from options such as newbuild, relocation, etc. More in-dept information will be provided during the interview. In addition to evaluating the scenarios, the student will consider a picking and storage methodology.

The  current  (old)  method  stores  all  parts  in  a  hallway,  organized  by  assembly  group (‘asgroep’). In this setup, components required for each specific product variant are stored together.  Order  pickers  collect  all  parts  belonging  to  one  assembly  group  from  a  single location and then deliver them directly to the assembly department.

The proposed new methodology involves grouping similar items at dedicated storage locations (e.g., all bodies together, all discs together). Order picking is initiated from these grouped areas, after which the picked items are consolidated at a central point before being transferred to the assembly department.

For each scenario, the student should assess the expected impact on warehouse operations,  including material handling efficiency, lead times, space utilization, labor requirements, and cost implications. Special attention should be given to one-time and recurring costs, such as moving or acquiring forklifts, reorganizing infrastructure, and any temporary  inefficiencies  during  the  transition  phase.

Where  applicable, the student is encouraged to use warehouse simulation or optimization models to estimate KPIs (such as required  employees)  and to visualize or  simulate operational flows. The final goal of assessing the different scenarios is to provide Wouter Witzel with an overview of the pros and cons, costs and effects of each scenario and a recommendation for the best scenario for Wouter Witzel.