Factors affecting Successful Store-keeping

A good storekeeping relies on how it provides economy of time, expenditure and employees. The right yardstick of making a judgment of its success is to discover the smooth functioning of the production department, if at all. Therefore, a successful storekeeping needs to possess the following features:

Store Location: The store should be located at the centre such that it can be approached easily by other departments. This also makes the issue and receipt of materials much easy and economical, apart from money that is saved with less movement of materials. Having located the store in the same building is very useful. Another consideration should be made on its accessibility by road or rail transport.

Store/Warehouse Layout: The layout of the store is also of utmost importance. The structure of the store should be prepared such that there is no difficulty in extracting materials from shelves, racks, containers or bins. Economy and Efficiency are two key factors that determine the layout. The storehouse should also be optimal in size, and should neither be too much congested nor spacious. It should be ensured that the layout allows for smooth work flow across the storehouse.

Computerization of Records: In order to achieve efficiency and less of wastage and misappropriation, proper, scientific and complete records should be maintained in a database. Up-to-date records help in settling down any kind of disputes among creditors, debtors and insurance companies, with ease and promptness. Further, store records also ensure rigid, stricter vigilance on dishonest employees (if any) and thereby, any theft chances are minimal.

Material Classification and Codification: As we have also studied before, material costs can greatly influence the production costs, and therefore, material classification as well as codification is very important for better inventory control. When we say classification, it refers to the grouping of materials with similarity in technical specifications. Items grouped under certain classification, ought to have certain material code number or reference number, which is allotted as per the material and not the function. Both systems ensure efficient and effective management of the storehouse / store department.

Material Preservation: A good storekeeping also demands the protection of stores from all kinds of theft, damage and pilferage, so that the value and quality of materials remain intact. Every material requires certain kind of protection according to its nature. Storerooms need to be airy, fireproof and well-ventilated. As measures for protection of materials may differ from one item to another, a proper understanding of the material chemistry among the personnel working in stores is critical.

Material Handling Equipment: Handling of materials is also very important function in a storehouse, to ascertain that material handling equipment is efficient and economical. Materials flow in the storehouse should be thoroughly examined and planned to lessen the movement. Properly chosen equipment, such as cranes, conveyors, fork lift trucks, etc. should be made accessible.

Physical Verification: Materials should be constantly verified to ensure smooth and effective functioning of stores department, which includes checking the accuracy of stock records, and finding out the probability of any fraudulence, loss or theft. This ensures better inventory control.

Store Management: Like any other business activity, management is the key to successful storekeeping. All kinds of work and duties of storekeeping should be judiciously allocated and managed properly, so that the real objective of storekeeping can be accomplished.

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