Big Hammer Inc.

Warehousing Operations

Big Hammer, Inc., manufactures and distributes widgets. Manufacturing occurs at its Los Angeles, CA, plant. It distributes from two separate locations. One of these locations is in Kansas City, MO, and has been part of Big Hammer for many years. The other location is in New York, NY, and is the surviving portion of Paulex Co., a distribution company just purchased by Big Hammer.

Instructions: Explain the issues for Big Hammer Inc. and provide a solution.

Event#3

Alana also observed a curious exchange between Franklin, the accounting manager, and Carmen, the billing clerk.

While attempting to make a invoice for an item, Carmen's computer screen flashed an error message indicating that she was trying to bill for something that had a zero stock balance in the system. The software would not let her bill for an item it did not reflect as being available for the subject sale.

Carmen called Franklin over. She showed him the signed delivery slip indicating that the item had, in fact, been delivered.

Franklin stated, "Those people in the warehouse can't get anything right." He then proceeded to manually override the system and entered the SKU (SKU #4567) and quantity. Franklin then directed Carmen to try again. The invoice was created without any further problems.