Inside Amazon: Chaotic Storage System
Details
CLOM019
6
2017
YES
200
Amazon
Retailing
US
Logistics & Supply Chain,Distribution, Inventory Management, Service Operations
Abstract
This case is about the US-based online retailer Amazon.com Inc (Amazon). It illustrates the Amazon fulfillment center’s storage system and contemplates its storage practices, which are in total contrast to the traditional practices of storing products by characteristics and attributes. The case also highlights the advantages and disadvantages of Amazon’s practices of storing its products by available shelf or storage space, though a few products are exempt from the rule. This presents a picture of ‘organized’ confusion to anyone who steps into Amazon’s warehouse. However, Amazon has been largely successful in redefining the way the products were effectively stored and retrieved in the warehouse. This case discusses the critical success factors that help operations managers to develop a decision framework for a warehouse storage system in the supply chain context.
Learning Objectives
The case is structured to achieve the following Learning Objectives:
- The students will get to understand the role of the warehouse storage system in the order fulfillment process. They will also get to know the importance of storage or shelf space in the warehouse storage system as in any brick-and-mortar store. Further, t
Keywords
Amazon, Storage, Warehouse, online retail