Currently, tribal knowledge and simple heuristics are used to store products in the finished goods warehouse.
Quad Infotech is conducting studies into using machine learning based approaches to come up with more optimal storage locations. The goal is to reduce overall time taken for product storage and picking. Clustering algorithms are yielding storage instructions that will save up to 30% distance traveled, translating into equivalent time savings. Roth Peranson Algorithms are being utilized for product allocations to achieve optimal product mix in each location.