Modeling and simulation for warehouse design based on Witness

The warehouse design has significant impact on customer service level and logistics cost for companies and has begun to be evaluated and optimized through simulation technique. A simulation model was developed by using the simulation software Witness to study one packaging raw material warehouse design of a Fast Moving Consumer Goods company. Issues on modeling elements and functions design, simulation logics design, input parameters assumptions, and model verification and validation analysis were covered. Following output analysis, the utilization of storage capacity, warehouse turnover rate, warehouse productivity, and order fulfilled rate were analyzed and evaluated. Improvement suggestions were also proposed.