The internal logistics system includes all activities connected with managing the flow of materials within the physical limits of a facility. This system is an important part of operations in need of increased focus and continuous improvements. Automation is one possible tool with a previously confirmed great potential to improve internal logistics. Despite this great potential and a growing trend of using automation in the area, internal logistics activities are still not automated to the same extent as other parts of operations. The overall aim of this research is therefore to develop knowledge that supports the successful use of automation in internal logistics systems. The automation development process has been identified as critical for the success of the use of automation. With the overall aim of the research in mind, the objective of this thesis is to develop a framework facilitating the automation development process in internal logistics systems. To help fulfil the objective, empirical data have been collected through five case studies and a survey study. During the empirical studies, the process of improving the internal logistics system and the automation development process have been analysed and the focus has been on identifying challenges and facilitators for the successful use and development of automation in internal logistics systems. The findings indicate a poor awareness of both current and desired performance of the internal logistics system at the companies studied. In addition, automation development is often conducted in an unstructured and poorly supported manner and there is often insecurity regarding what steps and actions to take. Foremost, the findings indicate a poor base for proper evaluation and decisions during automation development in internal logistics systems. This is analysed and concluded as a cause of unclear goals and requirements and the lack of a strategic view with regard to both internal logistics operations and the use and development of automation. A framework, including proposed guidelines to overcome the observed challenges by including identified factors facilitating successful automation development in internal logistics systems has been developed. The core of the framework is a proposed process model for automation development in an internal logistics context. Due to the identified importance and the lack of a strategy linked to and supporting the automation development process, the framework also includes a proposed model for an internal logistics strategy as well as a proposed model for an automation strategy. / LEAD - Lean Automation Development

The objective of the study was to develop a management framework for internal logistics in the Department of Education in Gauteng. For the purpose of this study internal logistics was defined as the complete process of obtaining goods and services from the compiling and processing of requisitions to the payment of invoices and the record keeping of all transactions to achieve organisational objectives. Internal logistics entails purchase planning, specification development, supplier research, contract administration and quotations, ordering and inventory control. The management of internal logistics can enhance productivity and performance within the value chain, improving service delivery, the outcome of the audited financial statement and ultimately the optimal spending of the allocated budget per financial year. For three consecutive financial years (2006/2007, 2007/2008, 2008/2009) GDE received a qualified audited financial statement. For financial years 2009/2010 and 2010/2011 GDE succeeded to receive an unqualified audited financial statement. To maintain this achievement and ultimately receive a clean audit financial statement, it is necessary to evaluate all the business processes, specifically within supply chain management, contributing to the audit findings. Supply Chain Management (SCM) is in some way the completion of the circle of financial management. It is important for GDE to develop a uniform internal logistics framework that would enable them to also gain the maximum from its annual allocated budget. It is also critical that the internal logistics are attended to as soon as possible to have a positive input towards the audited financial statement. A literature study was done on the concepts of the value chain, supply chain management and the management of knowledge. A questionnaire was designed, based on the findings in the literature, and used to measure the efficiency of the internal logistics in the District offices. The state of the internal logistics at the District offices was assessed through survey questionnaires to extract the data. It became evident that certain gaps and problems exist in relation to internal logistics at the District offices and that knowledge management is related to these gaps and problems. Internal logistics has a link with the elements of supply chain management as investigated in the literature study. The elements of supply chain management can to be broken down into clear activities for the management of internal logistics. The key area of concern is that the internal logistics within SCM are not acknowledged and therefore not properly managed in the District offices. The result of this is that the allocated budget is not optimally utilised and also receives qualifications from the audited financial statement. A practical framework to manage internal logistics is proposed for the Department of Education to assist with the problems, and to bridge the gaps found after analysing the questionnaires. The findings of the empirical study were used as the basis of the framework. Finally, conclusions and recommendations are drawn and rendered in order to improve the logistics management of the Department of Education in Gauteng. / Thesis (M.B.A.)--North-West University, Potchefstroom Campus, 2012.

The objective of the study was to develop a management framework for internal logistics in the Department of Education in Gauteng. For the purpose of this study internal logistics was defined as the complete process of obtaining goods and services from the compiling and processing of requisitions to the payment of invoices and the record keeping of all transactions to achieve organisational objectives. Internal logistics entails purchase planning, specification development, supplier research, contract administration and quotations, ordering and inventory control. The management of internal logistics can enhance productivity and performance within the value chain, improving service delivery, the outcome of the audited financial statement and ultimately the optimal spending of the allocated budget per financial year. For three consecutive financial years (2006/2007, 2007/2008, 2008/2009) GDE received a qualified audited financial statement. For financial years 2009/2010 and 2010/2011 GDE succeeded to receive an unqualified audited financial statement. To maintain this achievement and ultimately receive a clean audit financial statement, it is necessary to evaluate all the business processes, specifically within supply chain management, contributing to the audit findings. Supply Chain Management (SCM) is in some way the completion of the circle of financial management. It is important for GDE to develop a uniform internal logistics framework that would enable them to also gain the maximum from its annual allocated budget. It is also critical that the internal logistics are attended to as soon as possible to have a positive input towards the audited financial statement. A literature study was done on the concepts of the value chain, supply chain management and the management of knowledge. A questionnaire was designed, based on the findings in the literature, and used to measure the efficiency of the internal logistics in the District offices. The state of the internal logistics at the District offices was assessed through survey questionnaires to extract the data. It became evident that certain gaps and problems exist in relation to internal logistics at the District offices and that knowledge management is related to these gaps and problems. Internal logistics has a link with the elements of supply chain management as investigated in the literature study. The elements of supply chain management can to be broken down into clear activities for the management of internal logistics. The key area of concern is that the internal logistics within SCM are not acknowledged and therefore not properly managed in the District offices. The result of this is that the allocated budget is not optimally utilised and also receives qualifications from the audited financial statement. A practical framework to manage internal logistics is proposed for the Department of Education to assist with the problems, and to bridge the gaps found after analysing the questionnaires. The findings of the empirical study were used as the basis of the framework. Finally, conclusions and recommendations are drawn and rendered in order to improve the logistics management of the Department of Education in Gauteng. / Thesis (M.B.A.)--North-West University, Potchefstroom Campus, 2012.

The diploma thesis focuses on internal logistics and manipulation in the manufacturing company. First part provides theoretical background. Second part offers an insight into the current state and last part contains a solution for optimization of internal logistics.

Tenhults Pressgjuteri AB is facing growth in expansion, which results in need of bigger premises. The company has bought an adjoining property to overcome this problem. This thesis givessuggestions on how the logistics of these properties should be managed, which transport system is most suitable to use, where deliveries will take place and how the stock will be set upin the new premises. To obtain relevant data and information have a description of the facts, measurements and calculations been made. Selections and ratings have been used to develop suitable alternative solutions. The payback-method has been used to calculate the investments. A specially designed evaluation chart forms the basis of which transport system to be used. Lastly, a sensivity analysishas been conducted to determine how reliable the results are. Deliveries and inventory have been determined based on the choice of transport system.The thesis shows that the choice of transport system depends on the volumes that are carried, distance and environmental conditions. The market offers both automated transport systems and systems that require a driver. The automated transport system willnot be profitable whenthe cargo volume is too small since the investment costs are significantly higher. However, the operating costs are low which makes it profitable with an increased cargo volume. Closer analysis of existing production flow could provide a more credibleresult. What also must be taken into account is thatthe costs is not preciseand may differ in reality. The costs are assumed to be so lifelike that they do not affect the result more than marginally. / Tenhults Pressgjuteri AB befinner sig i en expansionsfasoch är i behov av större lokaler. För att lösa dettahar företaget köpt upp en grannfastighet. Denna rapport ger förslag på hur logistiken mellan dessa fastigheter skall skötas,vilket transportsystem som är lämpligt att använda, var utleveranserskall ske,samt ett förslag på hurlager kan ställas uppi den nya fabriken. För att erhålla relevant data och information har nulägesbeskrivningar, mätningar och beräkningar gjorts. Urval och värderingar har använts för att ta fram lämpliga alternativ på lösningar. För att beräkna investeringskostnader har payback-metoden använts och ett specialframtaget värderingsschema ligger som grund för valet av transportsystem. Slutligen har en känslighetsanalys gjorts för att bestämma hur pålitligt resultatet är. Utleverans och lager har bestämts utifrån valet av transportsystem för att synkronisera på bästa sätt. Arbetet visar att val av transportsystem beror påvilka volymer som fraktas, avstånd och miljöförhållanden. Marknaden erbjuder både automatiserade transportsystem och system som kräver chaufför. I detta fall är fraktvolymen för litenför att ett automatiserat system skall vara lönsamt eftersominvesteringskostnaderna för ett sådant system är betydligt högre. Däremot är driftkostnaderna lågaför ett automatiserat systemoch vid en större fraktvolym sparas dessa driftkostnaderin då ingen bemanningskostnad tillkommer.Närmare undersökning av befintligt produktionsflöde kunde ge ett mer trovärdigt resultat då arbetet baseras på beräkningar från olika portar. Det som också skall tas i beaktande är att kostnaderna inte är exakta och kan komma att avvika i verkligheten. Kostnaderna antas dock vara så verklighetstrogna att de inte påverkar resultatet mer än marginellt.

In order to be competitive, one way is to focus on the internal logistics in a cost effective manner. The concept of material control covers how to control the flow of material resources from the customer to the supplier. This study intends to look at how internal material control can be done efficiently in a manufacturing company. In order to achieve an efficient internal material control, methods and approaches should be evaluated based on a situational approach. Therefore, the purpose of the study is to develop a model for analysis and improvement of internal material control in manufacturing companies. The study is a case study and has been conducted on site at Atlas Copco Tierp Works. Atlas Copco in Tierp, produces components and assembles hand-held power tools. The empirical data has been conducted with employees at Atlas Copco Tierp Works and with direct observations of the processes that the study has been limited to. Literature reviews have been made in parallel with the empirical data collection with an emphasis on internal logistics, material control and lean production. The study shows which factors that are important for an effective internal material control. Furthermore, the report presents an analysis model, which has been applied to Atlas Copco Tierp Works. The analysis model presents a recommendation on appropriate material planning method, as well as the conditions that should be complied in order to achieve an efficient internal material control. The analysis model strengths are considered as mainly to be that it covers many areas, by including the planning environment, material planning methods, efficiency and decision-making. Accordingly, the model is considered to have potential for development by including a cost analysis as a part of the decision-making part. / Att styra sin interna logistik, på ett kostnadseffektivt sätt, är en nödvändighet för att kunna konkurrera på en redan hårt utsatt marknad. Materialstyrning kan ses som en delmängd av logistik och innefattar aktiviteter för att styra och planera materialflödet från leverantör till kund. Denna studie visar på hur den interna materialstyrningen kan ske effektivt, i ett tillverkande företag. För att uppnå en effektiv intern materialstyrning så bör metoder och tillvägagångssätt utvärderas utifrån ett situationsanpassat synsätt. Studiens syfte är därför att utveckla en modell för analys och förbättring av intern materialstyrning i tillverkande företag. Fallstudien har bedrivits vid Atlas Copco Tierpverken. Vid fabriken i Tierp sker tillverkning av komponenter samt montering av handhållna industriverktyg. Den empiriska datainsamlingen har skett genom intervjuer med medarbetare på Tierpverken och observationer över det interna materialflödets processer som studien avgränsat sig till. En litteraturundersökning har gjorts, med betoning på intern logistik, materialstyrning och Lean Production. Studien visar vilka faktorer som är av betydelse för en effektiv intern materialstyrning. Rapporten presenterar en analysmodell, vilken har tillämpats på Atlas Copco Tierpverken. Analysmodellen ger en rekommendation på lämplig materialstyrningsmetod, samt vilka förutsättningar som bör uppfyllas för att uppnå en effektiv intern materialstyrning.  Analysmodellens styrkor anses främst vara att den täcker in många områden, där planeringsmiljö, materialstyrningsmetoder, effektivitet inkluderas för att beslut och rekommendationer kan utföras. Modellen bedöms ha utvecklingspotential genom att inkludera en kostnadsanalys som en del vid beslut.

The growing demand for products and services puts great pressure on logistics performance and enhances the role that logistics plays in determining a company’s competitiveness. This research focuses on internal logistics systems, which includes all logistics activities and processes within the physical limits of an isolated company. Internal logistics is vital for the overall function of many companies. However, despite its importance, this part of logistics has traditionally not been viewed or developed in a strategic way. Since internal logistics activities are often characterized by a high degree of manual handling and hence strongly affect the cost of operations, there is a large incentive for improvements in this area.   One possible way to improve an internal logistics system is with the help of automation. In many areas, automation is a well-known means to increase productivity and cut costs, thus improving competitiveness. However, automation is not commonly used within internal logistics activities, and there is a lack of knowledge and research within this new application area. The main objective of this research, therefore, is to contribute to an increased understanding of how automation can be used to develop competitive internal logistics systems. Four empirical studies have been performed to investigate how companies perceive and work with their internal logistics systems, specifically in terms of improvements using automation. The empirical studies also aimed at identifying and describing how the studied companies could benefit from automation within internal logistics activities. From the studies, the importance of assessing and being aware of the current state of logistics performance was discovered as a basic requirement that needs to be fulfilled before conducting improvement work. Further, one of the main overall conclusions from this research is the need for a logistics strategy that includes goals and plans for the operation and development of an internal logistics system. As a result of the research, a structure and procedure for the development of a logistics strategy and a framework for conducting an improvement process in internal logistics using automation were developed. / Lean Automation

This thesis is focused on topic of mapping and optimization of processes with particular focus on logistic processes. The work consists of three interconnected parts. The first part contains definitions of important concepts and approaches in three separate areas. The areas are organization processes, logistic processes and Lean management. The second part revolves around suitable methodology, it contains used methods and tools suitable for mapping and analysis of various process as well as principles and tools recommended for optimization of logistic processes. The last part of thesis maps key processes of internal logistics inside of manufacturing factory and analyses logistic system used in organization. The thesis also proposes various recommendations how to make analysed processes better. Analysis and optimization of processes is in the end enriched by recommendations, which should lead to better organization logistics system in the future.

This thesis is focused on ensuring the prosperity of the agricultural company Novohradské hory Ltd. In the theoretical part are described the methods of internal and external analysis (PESTEL -- MAP, ETOP, Causal analysis, Key success factors), methods based on internal logistics (warehousing capacity, Sanky diagram) and evaluation of investment (ROI, playback period). The practical section addresses main areas - analysis of companies, warehouses and parking area, zootherapy implementation and integration into the portfolio of activities.

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