A community for warehouse and logistics discussion. Allows like-minded practitioners to interact by sharing ideas and knowledge in the forum.

Estimating Warehous...
 
Share:
Notifications
Clear all

Estimating Warehousing Operation Annual Operating Cost

3 Posts
3 Users
0 Likes
798 Views
Posts: 18
Topic starter
(@csysarah)
Active Member
Joined: 4 years ago

Would like to hear everyone's thoughts on what components should be included in the annual operating budget for warehousing operation. A few items I can think of include: Labour cost, utility, rent, security and maintenance, SG&A (ie. fixed FTEs such as supervisors, QC/QA).

2 Replies
Posts: 19
 Nic
(@quan)
Active Member
Joined: 4 years ago

Below are some of the cost components to be included.

Staff: Staff salaries, overtime and benefits, temporary labor and subcontractor cost
Inventory: Inventory consumed, obsolescence/disposal
Warehouse: Rental, repair and maintenance, utility, security
Distribution: Fuel surcharge, car park cost
IT: Network charges, software and hardware

Reply
Joker
Posts: 34
(@michaeltest)
Eminent Member
Joined: 4 years ago

May need to consider freight related cost as well if operations involves that.

Reply

Leave a reply

Author Name

Author Email

Title *

 
Preview 0 Revisions Saved
Share: