MIL-HDBK-1032/2
Transaction Activity. Transaction activity is based on use of a
2.3.1.2
1348-1 order document.
Standards. Standard estimating factors for storage costs, handling
2.3.1.3
costs, and handling times in NAVSUP PUB-529, are normalized to represent
typical applications. Accuracy of these standards relative to actual
performance of an activity must be evaluated before comparisons are made
between proposed designs and current operations. Refer to Section 19 of
NAVSUP PUB-529 for guidance in adjusting these factors.
Storage Height. Economical storage height is dictated by space
2.3.1.4
availability, foundation cost, aviation restrictions, materials handling
equipment availability, and storage requirements. These characteristics shall
be considered when making system evaluations. Hazardous materials warehouses
are limited to a maximum storage height of 25 feet (7620 mm) or less,
depending upon the type of materials handling equipment used. See paragraph
4.3.2.
Procedures. The following steps should be followed in developing a
2.3.2
facility concept using NAVSUP PUB-529 procedures. Figure 1 illustrates these
steps in flowchart form. Refer to Sections 14-17 of NAVSUP PUB-529 for
details. The Activity or Project Manager shall designate in the project scope
the following factors, as well as any special requirements for storage or
handling.
2.3.2.1
Define Inventory. State inventory levels in terms of 0.80
Measurement Ton (M/T) pallet loads (32 ft3 or 0.91 mm3) or 0.0095 M/T
(0.38 cubic foot; 0.011 cu. m) shelf boxes. Separate inventory into groups
with similar storage, handling, or transaction characteristics. Examples are
pallet storage, bin storage, high and low activity material, Pre-Positioned
War Reserve Stocks, etc.
Define Daily Transactions. Define daily activity levels for pallet
2.3.2.2
systems in terms of daily quantities of pallets stored and retrieved. Define
daily activity for binnables and rackables order picking systems in line item
document issues.
2.3.2.3
Define Available Area. Define the area available for system
installation for both new facility designs and conversion of existing
facilities.
2.3.2.4
Compute Transaction/Inventory (T/I) Ratio. Compute the system T/I
ratio based upon the defined inventory and transaction quantities. Develop
separate T/I ratios for each inventory or handling group identified by the
procedure in sub-subparagraph 2.3.2.1.
2.3.2.5
Select System.
Evaluate and select alternative systems based on the
computed T/I ratios.
Determine Cost. Determine the relative system cost for each
2.3.2.6
alternative system and select the least cost system.
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