Procurement Management  ·  Level 5
Handling Organizations' Materials
Chapter 3: Organize Storage Equipment
📚 5 Topics
⚑ What you will be able to do

By the end of this chapter, you will be able to:

  • Identify the right storage equipment for different types of materials with confidence.
  • Accurately classify storage equipment according to your workplace procedures.
  • Properly document the storage equipment you need, following correct protocols.

Mastering these skills will help you keep materials organized and your workplace running smoothly in any trade environment.

Compiled by: David Owino

Organizing storage equipment is a fundamental aspect of effective materials management across all professional fields in Kenya. Proper storage ensures that materials are preserved in good condition, easily accessible, and safely handled, which directly impacts operational efficiency and cost control. From county referral hospitals managing medical supplies to retail businesses handling diverse product inventories, the classification and organization of storage equipment must be tailored to meet specific material needs and workplace environments. This chapter explores the classification of storage equipment and the importance of organizing them systematically to support smooth organizational operations.

3.1 Classification of material storage equipment

Storage equipment is the furniture, structures and systems in which materials are held while they are in the store. Classifying it helps the storekeeper and the procurement officer match each kind of material to the right equipment, according to its size, weight, quantity, value and how often it is issued. Four main classes are used: shelving and racking systems, bulk storage containers, automated storage and retrieval systems, and drawer storage systems. Example: a motor spares distributor may keep tyres on racks, engine oil in drums and tanks, small fast-moving parts in automated carousels and nuts, bolts and fuses in drawer cabinets.

3.1.1 Shelving and racking system

Shelving and racking systems are fixed or movable frames with horizontal levels on which goods are placed, making use of the height of the store. Shelving usually holds loose items and cartons placed by hand, while racking is a heavier structure designed to hold palletised loads or long and heavy items placed by forklift or other equipment. Together they are the basic storage equipment of most stores.

Name Specification Use
Light-duty shelving Steel or wooden shelves, adjustable, loaded by hand Cartons, stationery, small packaged goods
Medium and heavy-duty shelving Bolted steel frames with reinforced shelves Heavier cartons, spare parts, tools
Adjustable pallet racking Steel uprights and beams, beam height adjustable, marked load per level Palletised goods placed and removed by forklift
Drive-in racking Rails on which pallets rest, forklift drives into the rack Large quantities of the same item, high density storage
Cantilever racking Arms projecting from a central column, no front uprights Long items such as pipes, timber, steel bars
Mobile shelving Shelves on rails that roll together, opening one aisle at a time Saves floor space for slow-moving items and records
Flow (gravity) racking Inclined roller lanes, loaded from the back, picked from the front First-in first-out stock rotation of cartons or pallets

Advantages of shelving and racking

  • Use of height: Goods are stored vertically, which saves floor space.
  • Easy access: Each item or pallet can be seen and reached.
  • Orderly storage: Locations can be numbered and coded for quick finding.
  • Protection: Goods are kept off the floor, away from damp and dirt.
  • Flexibility: Adjustable shelves and beams can be reset as stock changes.

Limitations of shelving and racking

  • Load limits: Every shelf and beam has a safe working load that must be marked and never exceeded.
  • Damage risk: Racks struck by forklifts can collapse; damaged uprights must be reported and repaired.
  • Aisle space: Space must be left for people and equipment to reach the goods.
  • Cost: Heavy-duty racking and installation are expensive.
  • Fixing: Tall racks must be anchored to the floor and inspected regularly.

3.1.2 Bulk storage containers

Bulk storage containers hold large quantities of loose solid materials, liquids or gases that are not packed in individual units. They allow materials such as grain, cement, sand, fuel, oils and chemicals to be stored and drawn off in measured quantities. The container must suit the physical and chemical nature of the material, for example tanks resistant to corrosion for chemicals, or silos with aeration for grain.

Name Specification Use
Silos Tall steel or concrete cylinders, filled from the top, emptied from the bottom Grain, cement, animal feed and other free-flowing solids
Tanks Steel, plastic or fibreglass, above or below ground, with gauges and valves Fuel, oils, water, liquid chemicals
Bins and hoppers Metal or plastic, open or with lids, some with sloping bottoms for discharge Loose materials such as sand, aggregates, granules
Drums and barrels Steel or plastic, typically 200 litres Oils, lubricants, paints and chemicals in medium quantities
Intermediate bulk containers (IBCs) Plastic tank in a steel cage on a pallet base, about 1,000 litres Liquids moved by forklift and dispensed by tap
Flexible bulk bags Woven polypropylene bags with lifting loops, about 1 tonne Fertiliser, sugar, granules
Gas cylinders and cages Pressure cylinders stored upright in secured cages Industrial gases such as oxygen and acetylene

Points to observe with bulk containers

  • Compatibility: The container material must not react with or contaminate the contents.
  • Labelling and hazard signs: Contents, capacity and hazards are clearly marked.
  • Measurement: Gauges, dipsticks or weighbridges are used to measure stock for records and verification.
  • Spill control: Tanks of liquids stand in bunded areas that can hold leaks.
  • Inspection and cleaning: Containers are inspected for corrosion, leaks and residue and cleaned between different contents.

3.1.3 Automated storage and retrieval system

An automated storage and retrieval system (AS/RS) is a computer-controlled system that places goods into storage locations and retrieves them on request, with little or no manual handling. The storekeeper enters or scans the item code, and the system's crane, shuttle or carousel brings the item to a pick station or puts it away in a free location, while the inventory record is updated automatically. AS/RS is used in large, high-volume warehouses where the investment is justified by savings in labour, space and errors.

Name Specification Use
Unit-load AS/RS Stacker cranes in very tall racks moving full pallets High-volume pallet storage in distribution centres
Mini-load AS/RS Cranes or shuttles handling totes and cartons Small parts and cartons for order picking
Vertical carousel Shelves rotating vertically in a closed cabinet, brought to the operator Small parts, tools and spares in limited floor space
Horizontal carousel Bins rotating on an oval track Fast picking of small items
Vertical lift module Trays stored in a tall cabinet, an extractor brings the tray to an opening Dense storage of spares and small goods

Advantages of AS/RS

  • Space saving: Uses the full building height and narrow aisles.
  • Accuracy: The system delivers the exact item requested and updates records at once.
  • Speed: Retrieval is fast, which increases picking productivity.
  • Security: Goods are enclosed and released only to authorised users.
  • Safety: Less manual lifting and fewer people moving among equipment.

Disadvantages of AS/RS

  • High cost: Purchase, installation and software are expensive.
  • Dependence on power and systems: A power or system failure stops retrieval, so backup power and procedures are needed.
  • Skilled maintenance: Technicians and spare parts must be available.
  • Inflexibility: Item sizes and weights must fit the system's trays or loads.
  • Long set-up time: Planning and installation take months.

3.1.4 Drawer storage system

A drawer storage system holds small items in sliding drawers within cabinets, often divided into compartments. It protects small, loose and valuable items from dust, loss and damage, and keeps each item in a labelled compartment so that it is found quickly. Drawer storage is suited to stores that hold many small items, such as electronic components, fasteners, small tools, instruments and spares.

Name Specification Use
Modular drawer cabinet Steel cabinet with full-extension drawers, adjustable dividers, central locking Small parts, tools and spares
Small parts organiser Plastic or metal frame with many small transparent drawers Screws, washers, fuses, electronic parts
Plan (flat file) cabinet Wide shallow drawers Drawings, plans and large documents
Lockable tool cabinet Drawers with key or code lock, sometimes on castors Valuable hand tools and instruments
Filing cabinet Vertical drawers for files Stores records and documents

Advantages of drawer storage

  • Dense storage: Many small items are stored in little floor space.
  • Protection: Items are kept clean and dry and cannot fall or be scattered.
  • Security: Drawers can be locked for valuable items.
  • Easy identification: Each compartment is labelled with the item code.
  • Ergonomics: Full-extension drawers let the user see and reach every item without climbing or bending deeply.

Limitations of drawer storage

  • Weight limits: Drawers have load ratings; overloading damages runners.
  • Tipping risk: Opening several loaded drawers at once can tip a cabinet unless it has an interlock or is fixed.
  • Small items only: Not suitable for bulky goods.
  • Cost: Good quality modular cabinets are relatively expensive.
  • Visibility: Contents are hidden unless labels are kept up to date.

Practice Questions

  1. Explain how storage equipment can be classified by material type and give examples from different Kenyan organizations. (10 marks)
  2. Describe the importance of selecting storage equipment appropriate to the storage environment. Provide at least three examples. (10 marks)
  3. Discuss the differences between static and dynamic storage equipment with examples relevant to Kenyan workplaces. (10 marks)
  4. How does the size and weight of materials influence the choice of storage equipment? Illustrate with examples. (10 marks)
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🔒3.2 Importance of Organizing Storage Equipment

Organizing storage equipment effectively is critical in all professional settings to ensure operational efficiency, material preservation, and safety. Kenyan organizations ranging from county hospitals to retail businesses benefit from well-organized storage s…

🔒3.3 Principles of storage equipment organization

The principles of storage equipment organisation are the rules that guide how racks, shelves, bins, drawers and containers are arranged and kept, so that materials are protected, easy to find, quick to issue and safe to handle. Four principles are central: cat…

🔒3.4 Factors to Consider When Choosing Storage Equipment

Selecting appropriate storage equipment is vital for effective materials management in any Kenyan organization. The choice affects how well materials are preserved, accessed, and accounted for, impacting overall productivity and cost-efficiency. Factors influe…

🔒3.5 Storage Equipment Documentation

In Kenyan organizations, proper documentation of storage equipment is a vital aspect of effective materials management. Whether in a county referral hospital managing medical supplies, a retail business handling stock, or a university storing educational resou…

Chapter Summary

This chapter explored the various classifications of material storage equipment, including shelving and racking systems, bulk storage containers, automated storage and retrieval systems, and drawer storage systems. It highlighted the importance of organizing storage equipment to enhance efficiency, safety, and inventory management within organizations. The principles guiding effective storage equipment organization were discussed, focusing on categorization, accessibility, labelling, and regular maintenance to ensure optimal functionality. Factors influencing the choice of storage equipment were examined, emphasizing considerations such as the nature of materials, space availability, and operational requirements. The chapter also underscored the necessity of proper documentation for storage equipment to maintain accurate records and facilitate smooth operations. Overall, the content provided a comprehensive understanding of how to select, organize, and manage storage equipment effectively in various organizational contexts.

Self-Assessment

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A. Written Assessment

  1. What is the main difference between shelving and racking systems in material storage? (2 marks)
  2. Name three types of bulk storage containers commonly used in agricultural cooperatives and explain one advantage of each. (3 marks)
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Chapter Examination Questions

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SECTION A (40 Marks) - Answer ALL Questions

  1. Define the shelving and racking system and explain its application in a county referral hospital's medical supplies store. (4 marks)
  2. Differentiate between bulk storage containers and drawer storage systems with examples from a university laboratory setting. (4 marks)
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Am I competent?

At the start of this chapter we promised you would be able to:

  • Identify the right storage equipment for different types of materials with confidence.
  • Accurately classify storage equipment according to your workplace procedures.
  • Properly document the storage equipment you need, following correct protocols.

Tick each one you can genuinely do.

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