Benchmarking Warehouse Practices
In Line with our vision to develop an environment that is conducive for the Indian Supply Chain Industry and enhancing the competitiveness of the Indian Logistics sector in par with Global counterparts, CII Institute of Logistics has initiated a certification process on Warehouse performance excellence, termed WAREX in 2010 to benchmark the Warehouse practices in India. Through the process of qualitatively assessing a warehouse and its operations, WAREX authenticates the qualification of the warehouse to its user. Also it enlightens the facility operator to focus on areas of concern to comply with statutory norms, check operational inefficiency, correct procedural defects, alerts possible failure and highlight performance deterioration. Thus it also acts a driver for performance improvement of a Warehouse.
Various concepts, methods and process of transferring value and materials from a supplier to the end user have evolved over past few decades. A paradigm shift on approach and practices in the past two decades starting from containerization till evolution of a complete supply chain has resulted in variety of innovations in the logistics sector. Need to reduce carbon foot prints and corporate responsibilities in greening the supply chain is sprouting initiatives like slowing the supply chain, customer centric supply chain etc. Warehouses play a major role in this logistics cycle and are no more just storage spaces. Warehouses these days do a lot of value addition to the product and the entire supply chain. An efficient warehouse operation is a vital link between the manufacturer / producer and the end user. Thus warehousing has emerged as a strategic function in the supply chain.
With emergence of 3PL and changing perception of outsourcing in Indian Industry; consolidation, mass distribution and product services are carried out in a shared warehouse facility. In an Industry where more than 90% of the sector is unorganized in India, warehousing and materials handling contributes to the high level shrinkage rate. Be it an in-house warehouse or an outsourced facility, performance measurement and continuous improvement are vital for sustained results.
The major benefits of WAREX certification can be experienced in two areas
How to get certified?
To qualify for WAREX certification, the Warehouse building needs to be compliant with all essential statutory norms, and the facility operator has to be a registered entity.
The certification process goes as below,
How is a warehouse graded?
The warehouse assessment and grading are based on its statutory compliance, administration, operations, infrastructural efficiency, safety & Risk management, technology deployment and environmental approach.
The certification echelons are as below.
For further details:
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