This industrial research project presents Warehouse Management Improvement in Cement Tile Industry. The major problems of Cement tile in process in the warehouse are improper material flow and duplicated useless work during spray paint color process. The business process is modeled using Integration definition for function modeling (IDEF 0) which shows information flow and material flow. Value stream technique is implemented to analyze the wastes in the process study. The failure mode and effect analysis (FMEA) is used to find the important cause of the problem. In addition, the key performance indicator (KPIs) for the warehouse management is measured for the improvement. The mathematical model is formulated and solved for the optimized layout. The results reveal the waste reduction, which reduce the wastes in material flow from 3425 metre to 690 metre (80 percent increase