distribution its control and finance

DURING the last two decades there has been a constantly increasing capital investment in distribution facilities. The ever‐growing range of consumer products, pressure on shelf space in the shops and supermarkets to accommodate them, the sharpening of competition, the greater sophistication of marketing technique, and the strong accent on service, all have imposed a need on distribution management to meet the marketing demands by re‐orientating the methods of distribution. By tradition, and by its nature, distribution is labour‐intensive and, in the process of rationalization, a clear aim of most managements has been to reduce the labour content of costs by investment in improved facilities. This manifests itself in purpose‐built warehouses which, of themselves, by the nature of the tailored layout and planned work flow, clearly defined stacking areas, unloading and loading docks, contribute to more efficient movement of goods. Linked with this, mechanical handling and unit load systems have been introduced and, more recently, automation, thus substituting the use of capital for labour. Horse‐power has been added to manpower.