Receive Known Product Into Warehouse - Bar Code-Enabled

Owned by Jim Wilson
Last updated: 2015-03-04 by Marcia Rhodus

Context of Use

This use case describes the process of receiving a known product into a warehouse using bar code technology. By "known product" the authors mean products that are expected (see pre-conditions), almost always as a result of ordering it. 

Scope

Inventory Control System (ICS)

Level

Summary

Primary Actor

No one specifically

Stakeholders and Interests

  • Warehouse Manager (May be off site):  Inventory accuracy; efficient process to get inventory into system quickly; product placement is correct so easily accessed
  • Warehouse Operations Manager (On site):  Inventory accuracy; efficient process to get inventory into system quickly; product placement is correct so easily accessed
  • Accounting Department:  Reduction of extra cost due to inventory errors; inefficient processes that increase time spent handling inventory
  • Sales:  Current, accurate inventory to fulfill sales orders; timeliness in fulfillment of the order
  • Inventory Control (Auditing of Inventory):  Reduction of time needed to perform audit; Accuracy of inventory before and during the audit
  • Manufacturer or Distributor:  Efficient process enables faster billing and payment; Reduction in time needed to handle error resolution; Enables vendor inventory accuracy; Accurate information to base program payments etc. against.  Track & Trace enabled
  • IT Manager/ Support: Ensure the bar code equipment and Inventory Control System (ICS) is operating as required to support the business.
  • Process Governance Lead: Develop process documentation and ensure it's operational application.
  • Customer: Product in stock and ready for delivery; Timeliness of delivery
  • Carrier:  Quick unloading time; accuracy; speed up payment for service; Timeliness in reporting delivery complete back to logistics team  
  • Shipping Company:  Receiving confirmation the delivery is completed; speed up payment for services
  • Receiving Company's Procurement Dept.:  Quick validation order has been fulfilled so they can close out PO.
  • Manufacturing division within the receiving company:  Real time visibility to inventory updates
  • Site Managers - Receiving: Real time visibility to any inventory updates
  • Warehouse Staff:  Accurate placement and recording of location for product
  • Regulatory/ Safety Compliance Lead:  Ensure all products that come under regulatory compliance are handled and stored properly

Preconditions

  1. Product must have been ordered.
  2. Product is defined in the master inventory list.
  3. Bar code-enabled ICS is in place.  
  4. Bar code equipment is in place and integrated with ICS.
  5. Advanced Shipping Notice (ASN) has been received prior to the delivery if applicable
  6. Product is bar coded or a bar code catalog is available
  7. Product is in onsite at the receiver warehouse.
  8. Bill of Lading (BOL) is present with required identifiers (Example is a Purchase Order #)

Minimal Guarantees

none noted

Success Guarantees

  1. Only products in acceptable condition have been received.
  2. ASN information matches the actual delivery if applicable
  3. Correct product, quantity, and lot number (where applicable) has been accurately recorded in the ICS.
  4. The product was received by the correct location.
  5. All applicable stakeholders have been notified of receipt.

Trigger

ASN is received into system if applicable.  Otherwise carrier arrives at the site

Main Success Scenario

  1. ASN is received if applicable
  2. The carrier makes an unload request and presents BOL to warehouse staff.  
  3. Warehouse staff reviews BOL. 
  4. Matching order information is available. If Shipment # is bar coded on BOL, this is scanned to achieve the match
  5. Warehouse staff informs Carrier of unload location.
  6. Warehouse staff weighs bulk product (if applicable).
  7. Carrier moves vehicle to unload location.
  8. The warehouse staff and the Carrier work together to move the product from the truck to the inspection/staging area.
  9. The warehouse staff inspects product units. Possible Outcomes
  10. The warehouse staff scans in products, including lot numbers or serial numbers (if applicable), and records quantities. 
  11. Warehouse staff signs off on bill of lading.
  12. Warehouse staff stores product in specific location, enabled by scanning the warehouse location bar codes if applicable

Extensions

Main Success Scenario StepConditionBranching Action

8

Not all product is accepted by warehouse such as damaged, not ordered, over shipment etc.

The carrier may need to sign off on some paperwork that documents damage etc .

8/9Sometimes each product is inspected as it is scanned in. Sometimes all products are inspected before any are scanned in.Nothing
10The product is a returnable asset that doesn't have a bar code that may function as an asset tag.Affix an asset tag, noting the encoded identifier in the ICS.
12It is not necessary to note location.Store the product without noting the location.
12Bar code location identifiers are not present.Note the location on paper or through some other electronic means.
9Bar code may not be present such as on bulk beansReceiving company maintains a catalog of products bar codes for any product where a bar code cannot be applied to the product itself (e.g. Bulk).
4Not all product that is receive will have a matching PO # Refer to company policy for handling
12Not all received product is stored into a location within the warehouse.  It may be immediately cross docked Refer to company policy for handling

Notes

Terms to add to glossary:

    • ASN:  Advanced Shipping Notice
    • BOL:  Bill of Lading
    • ICS:  Inventory Control System
    • Carrier:  Anyone delivering product to the warehouse
    • Returnable asset
    • Asset tag

Related Resources

none noted

Contributors

AIDC Working Group