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Paper ID:IJSREM67770

Optimising Warehouse Space Allocation: Operations Research Approaches to the Storage Location Assignment Problem

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Paper ID:

IJSREM67770

Volume:

10 |

10 |

Oct 2026

Pages:

1-16

Publication Frequency:

Monthly (12 issues per year)

DOI
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Not assigned

License:International Journal of Scientific Research in Engineering and Management follows the Creative Commons Attribution 4.0 (CC BY 4.0) License, allowing free use and distribution with proper attribution.

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Authors

OM

Om Magia

Operations Research

Anil Surendra Modi School of Commerce

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PB

Pranav Bogawat

Operations Research

Anil Surendra Modi School of Commerce

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PM

Prachi Mangla

Operations Research

Anil Surendra Modi School of Commerce

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PA

Pratham Agarwal

Operations Research

Anil Surendra Modi School of Commerce

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TB

Tanisha Bedi

Operations Research

Anil Surendra Modi School of Commerce

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Abstract

Operations Research (OR) is a scientific discipline that uses mathematical modelling, statistical analysis, and algorithmic optimisation to support complex decision-making under resource limitations and operational constraints (Taha, 2017). An OR study systematically converts an unstructured real-world operational challenge into a structured mathematical abstraction consisting of decision variables, an objective function, and a set of explicit physical or functional constraints. Once formalised, the model is solved using exact analytical procedures, mathematical programming, or approximate heuristics, followed by rigorous validation against historical or real-time operational data. In industrial logistics and material handling, Warehouse Space Allocation is a core domain where OR methodologies significantly outperform manual rules of thumb or empirical intuition. Modern warehouses operate as high-velocity distribution nodes where millions of physical Stock Keeping Units (SKUs) must be received, stored, picked, and dispatched within strict time windows. Facility managers face continuous multi-factorial trade-offs: maximising cubic storage space utilisation while simultaneously minimising order picking travel distance, preventing congestion in pick aisles, balancing rack structural load limits, and maintaining operational flexibility. Mathematical modelling converts these conflicting requirements into solvable optimisation problems, providing quantifiable improvements in warehouse throughput, labour efficiency, and floor space productivity.

KEYWORDS

Stock Keeping Units (SKUs) labour efficiency and floor space productivity.

Cite This Article

Om Magia, Pranav Bogawat, Prachi Mangla, Pratham Agarwal, Tanisha Bedi, "Optimising Warehouse Space Allocation: Operations Research Approaches to the Storage Location Assignment Problem," International Journal of Scientific Research in Engineering and Management, vol. 10, no. 10, pp. 1-16, Oct 2026.

Full Article/Conclusion

Managing warehouse space allocation efficiently is critical to modern supply chain operations. The evolution of Operations Research in this domain, moving from basic linear programming and index rules (such as COI) to complex mixed-integer programming, machine learning highlights the growing complexity and velocity of modern distribution centres. The five benchmark studies analysed demonstrate that optimising warehouse space is not merely a task of packing items into available rack volume; it requires balancing picking travel distances, slot dimensions, product affinity, dynamic demand, and structural safety limits. As e-commerce growth demands faster order fulfilment and higher space efficiency, integrating advanced OR methodologies into automated Warehouse Management Systems will remain a primary driver of supply chain efficiency, cost reduction, and operational resilience.

References

·                  Chiang, D. M. H., Lin, C. P., & Chen, M. C. (2011). Data mining techniques applied to medical slotting and storage location assignment problem. Expert Systems with Applications, 38(10), 13449–13456. https://doi.org/10.1016/j.eswa.2011.04.103 ·                  de Koster, R., Le-Duc, T., & Roodbergen, K. J. (2007). Design and control of warehouse order picking: A literature review. European Journal of Operational Research, 182(2), 481–501. https://doi.org/10.1016/j.ejor.2006.07.009 ·                  Fumi, A., Scarabotti, L., & Schiraldi, M. M. (2013). The storage location assignment problem: A mathematical optimization approach. International Journal of Engineering Business Management, 5(27), 1–9. https://doi.org/10.5772/56828 ·                  Gu, J., Goetschalckx, M., & McGinnis, L. F. (2007). Research on warehouse operation: A comprehensive review. European Journal of Operational Research, 177(1), 1–21. https://doi.org/10.1016/j.ejor.2006.02.025 ·                  Hausman, W. H., Schwarz, L. B., & Graves, S. C. (1976). Optimal storage assignment in automatic warehousing systems. Management Science, 22(6), 629–638. https://doi.org/10.1287/mnsc.22.6.629 ·                  Mulvey, J. M., Vanderbei, R. J., & Zenios, S. A. (1995). Robust optimization of large-scale systems. Operations Research, 43(2), 264–281. https://doi.org/10.1287/opre.43.2.264 ·                  Muppani, V. R., & Adil, G. K. (2008). A branch and bound algorithm for class based storage location assignment. European Journal of Operational Research, 189(2), 492–507. https://doi.org/10.1016/j.ejor.2007.05.051 ·                  Taha, H. A. (2017). Operations research: An introduction (10th ed.). Pearson. ·                  Yang, X., & Nguyen, T. (2020). Constrained clustering approach for class-based storage location assignment in high-velocity e-commerce warehouses. IEEE Transactions on Automation Science and Engineering, 17(4), 1892–1904. https://doi.org/10.1109/TASE.2020.2982134

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