Storage location assignment in a distribution center

Considering a relay order pick system in a distribution center, we propose a heuristic method based on historical customers' orders for assigning products into storage zones, and construct a performance index for measuring the continuity of each order handled in the pick system. The objective is to balance workloads among all pickers so each one has almost the same load and the relay pick lane has a continuous flow. The proposed method is illustrated and verified to achieve the objective through empirical data and simulation experiments. Considering the fluctuation in order volume, we present two heuristic methods, also based on historical data, for adjusting the storage location so that the balanced workloads among all pickers and the continuity of the operation lane are not changed. These two methods are illustrated through actual data and verified by simulation experiments.