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Initialization Effects for PSO Based Storage Assignment Optimization

Recently, more and more products have been traded and the supply flow is increasing due to the spread of electronic commerce. Therefore, it is required to improve the efficiency of logistics operations. Especially, order picking accounts for a great amount of logistics operations in warehouses, thus reducing the picking cost will lead to improve operational performance. Nowadays, products are empirically placed based on shipping frequency but it has room for improvement. However, it is difficult to find an effective product layout which reduces the picking cost due to the numerous combinations of various products. Therefore, this research proposes an optimization system for storage assignment using an initialization method introduced to particle swarm optimization. The performance of the proposed system is verified by simulation experiments using real data. The results demonstrate that product placement reduces 20% of the picking distance compared to current product placement.