Facility planning for new goods warehouses of Jollibee and Greenwich for Zenith Foods Corporation, CPIP, Canlubang, Calamba City.

Date

4-2009

Degree

Bachelor of Science in Industrial Engineering

College

College of Engineering and Agro-Industrial Technology (CEAT)

Adviser/Committee Chair

Dean Haerold Z. Layaoen

Committee Member

Arvin Joseph M. Elauria, Herbert T. Manaligod

Abstract

This study was conducted at Zenith Foods Corporation (ZFC), a full subsidiary of Jollibee Foods Corporation (JFC), in Carmelray Industrial Park I. ZFC as JFC'sTotal Supply Chain Management wherein it handles supply of JFC goods-from its planning and manufacture to warehousing and distribution to the stores. This study focused on the Logistics side of the company, specifically in its warehouse system. Historical warehouse pallet utilization shows that the annul pallet demand increases at 3% per year. Using this projection, the company estimated that the current capacity of the warehouse will not be able to sustain JFC's aggressive expansion plans. Thus, the company decided to conduct a study to determine the most cost-efficient warehouse system that can carry the required pallet demand. In addition, the management decided to discontinue leasing from 3PL provides and manage the warehouse themselves. Through scientific method, together with Industrial Engineering tools, the root causes of the warehouses' inability to sustain the future store demands were identified to verify the problem. Together with the ZFC's project team, three proposals for the new warehouse system were formulated. The first alternative is to have a Centralized Warehouse that will support Luzon's demands. The second alternative is to build three separate warehouses for North Luzon, South Luzon, and Metro Manila. Finally, the last proposals suggests building a Central warehouse, preferably in Metro Manila, and setup two cross docks in North and South Luzon. Warehouse design was done to determine the location,warehouse capacity, and propose a facility layout design of each alternative. The alternatives were evaluated by comparing the Net Present Worth (MARR=18%) of the alternatives' projected costs from 2008 to 2015, which comprises of the operating costs, construction cost and opportunity losses. Results suggest that the company will incur the least cost in building a Centralized Warehouse in Taguig City with a capacity of 14,623 pallet positions. Comparing the Anjnual Worth of the existing warehouse versus the Cenntralized Warehouse, the company can benefit from the project an amount pf Php6,568,825.32.

Language

English

LC Subject

Planning & Design, Industry analysis

Location

UPLB College of Engineering and Agro-Industrial Technology (CEAT)

Call Number

LG 993 2009 E66 D59

Document Type

Thesis

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