Managing Warehouse Risks for 3PL Providers: A Novel Approach Based on FMECA-DEA
Journal Title: Journal of Organizations, Technology and Entrepreneurship - Year 2024, Vol 2, Issue 2
Abstract
Warehousing serves as a critical component in the logistics chain, functioning as an intersection for inbound and outbound flows of goods before distribution to end customers. Given the complexity of warehousing operations, which involve numerous processes, activities, and workforce engagement, significant risks are inherently present. Consequently, a comprehensive risk analysis is imperative for effective risk management. Such analysis informs risk evaluation and facilitates the determination of appropriate mitigation strategies, with the goal of prioritising risks based on their potential impact. The objective of this study is to present a novel approach for risk assessment in warehouses operated by third-party logistics (3PL) companies, employing a combination of Failure Modes, Effects, and Criticality Analysis (FMECA) and Data Envelopment Analysis (DEA). The proposed framework aims to optimise risk prioritisation and to support the implementation of targeted preventive and corrective measures, thereby enhancing workplace safety and operational efficiency. This approach has been applied to a case study of a 3PL provider operating in the Serbian market, where 14 specific risks were identified and assessed. The most critical risks included falls from height, items falling from shelves during handling, forklift operations, and machinery-related risks involving packaging machines, electrical equipment, industrial cleaners, heaters, and forklift battery charging—particularly with regard to potential explosion hazards due to hydrogen gas release and acid spills. Based on the risk assessment, a series of preventive and corrective measures were formulated to mitigate the identified risks, thereby reducing the likelihood of occupational incidents, injuries, and fatalities. The integration of FMECA and DEA has been demonstrated as an effective methodology for systematically evaluating risks in warehouse operations, offering a robust basis for improving safety measures in logistics environments.
Authors and Affiliations
Milan Andrejić;Vukašin Pajić
Keywords
Related Articles
- EP ID EP749672
- DOI https://doi.org/10.56578/jote020204
- Views 46
- Downloads 0
Measuring Inconsistencies in Research and Development Descriptions in Annual Reports of Listed Companies
The descriptions of Research and Development (R&D) activities in the annual reports of listed companies provide crucial insights into a company’s internal governance, external competitiveness, and long-term sustainabilit...
Comparative Analysis of the Logistics Performance Index of European Union Countries: 2007-2023
Within the evolving landscape of modern business, a proficient logistics sector stands paramount in fostering regional and global competitive edges. A country's logistics performance, gauged aptly, can influence not just...
Navigating the Determinants of Marketing Performance in SMEs: An Integrative Systematic Review and Theoretical Analysis
The determinants influencing marketing performance in small and medium-sized enterprises (SMEs) have garnered increasing scholarly attention due to their critical role in driving economic development. SMEs face multiface...
The Influence of Digital Transformation in Enterprises on the Dynamics of Supply Chain Concentration: An Empirical Analysis of Chinese A-Share Listed Companies
The advent of digital technology has fundamentally altered the traditional modes of information exchange within enterprises, thereby impacting the concentration of supply chains. This study presents an empirical examinat...
Evaluation of Transshipment Technologies in Intermodal Terminals: A Hybrid FSWARA-ADAM Approach
The accelerating process of globalization has led to an increase in freight transport volumes, exacerbated road congestion, and heightened environmental concerns, underscoring the imperative for sustainable and alternati...