Operational cost of a warehouse
Table II shows a typical operational cost composition of a warehouse. The total
operational costs strongly depend on the layout and the operational methods used
(Bartholdi and Hackman, 2005). Table II stands for those costs that depend on the
warehouse size and operation. Remaining costs stay approximately invariant with
layout and operation changes. Hence, for performance comparison purposes of
different layouts of a given warehouse, it is only required to consider the operational
variable costs (C):