Effect Of Order Picking Practice On Warehouse Performance; The Case Of Pharmaceuticals Fund And Supply Agency Addis Ababa Branch – Employees’ Perspective

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Addis Ababa University


Nowadays, the customer needs in terms of order accuracy, and response time, order frequency, order quantity and order size have dramatically changed. All these needs of a customer may be affected by one main warehouse operation, order picking, as it is a central function of warehouse logistics and may have significant influence on warehouse performance. In this specific study the effect of order picking practice on warehouse performance, a case of Pharmaceuticals Fund and Supply Agency, Addis Ababa Branch – Employees’ Perspective, three indicators of order picking were used, namely; quality, time and productivity as these indicators are the best to measure the effect of order picking practice on warehouse performance. As an introduction order picking and warehouses are dealt with in brief based on the most recognized literature. Having small number of study subjects, the study employed census method for population and sampling. The methodology used for this specific study was both quantitative and qualitative method of analysis and case study as a study design. Questionnaire was used as a mode of data collection. The result from the study showed that all of them have huge impact on the warehouse performance because if we see quality, as it is shown in the study the quality measuring entities showed that there was a quality problem in order picking practice. Time indicator likewise affects the warehouse performance as the order picking is the longest time taking process as compared to the other operations and it is not in the best interest of customers. And finally when we see productivity indicator, the space utilization of the warehouse is not as it is expected from an agency whose one of the core processes is warehousing. To this end the study advocates working on researches like this in detail so that we can know what really is the problem with our warehouses and on the ground, a lot has to be done to improve the order picking practice in turn improving the warehouse performance.



Order Picking, Warehouse, Performance