TLIA1207C

Pick  and  process  orders    

MC  
Armstrong’s  Driver  Education  
 
Learner  Guide  
TLIA1207C Pick and process orders

Contents
What this Learner’s Guide is about ........................................ 4  
Planning your learning ........................................................... 5  
How you will be assessed ...................................................... 8  

Section 1........................................................................................... 10  
How are customer orders received? .................................... 10  

Section 2........................................................................................... 18  
Where is stock located? ....................................................... 18  

Section 3........................................................................................... 22  
What are the principles of Occupational Health and Safety?22  

Section 4........................................................................................... 36  
How is stock picked?............................................................ 36  

Section 5........................................................................................... 46  
How are picked stock items checked? ................................. 46  

Section 6........................................................................................... 52  
What are the methods used to replenish stock levels?........ 52  

Additional resources ....................................................................... 62  

Feedback on activities .................................................................... 64  

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TLIA1207C Pick and process orders

What this Learner’s Guide is about

This  Learner’s  Guide  is  about  the  knowledge  and  skills  you  require  to  
pick  and  process  orders  in  accordance  with  workplace  requirements  
include:  identifying  workplace  orders,  picking  processes,  policies  and  
procedures,  picking  and  despatching  orders,  and  recording  stock  
levels.      

The  activities  are  designed  to  give  an  opportunity  to  practise  and  
demonstrate  your  skills  and  knowledge.  

The  Elements  of  Competency  from  the  unit  TLIA1207C  Pick  and  process  
orders  covered  in  this  Learner’s  Guide  are  listed  below.  

Identify  workplace  order  picking  processes,  policies  and  procedures  

Pick  and  despatch  an  order  

Record  stock  levels  

This  unit  of  competency  is  from  the  Transport  and  Logistics  Training  
Package  (TLI07).  
 

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 TLIA1207C Pick and process orders

Planning your learning

It  is  important  to  plan  your  learning  before  you  start  because  you  may  
already  have  some  of  the  knowledge  and  skills  that  are  covered  in  this  
Learner’s  Guide.  This  might  be  because:  
• you  have  been  working  in  the  industry  for  some  time,  
and/or  
• you  have  already  completed  training  in  this  area.  

Together  with  your  supervisor  or  trainer  use  the  checklists  on  the  
following  pages  to  help  you  plan  your  study  program.  Your  answers  to  
the  questions  in  the  checklist  will  help  you  work  out  which  sections  of  
this  Learner’s  Guide  you  need  to  complete.  

This  Learner’s  Guide  is  written  with  the  idea  that  learning  is  made  more  
relevant  when  you,  the  learner,  are  actually  working  in  the  industry.  
This  means  that  you  will  have  people  within  the  enterprise  who  can  
show  you  things,  discuss  how  things  are  done  and  answer  any  
questions  you  have.  Also  you  can  practise  what  you  learn  and  see  how  
what  you  learn  is  applied  in  the  enterprise.  

If  you  are  working  through  this  Learner’s  Guide  and  have  not  yet  found  
a  job  in  the  industry,  you  will  need  to  talk  to  your  trainer  about  doing  
work  experience  or  working  and  learning  in  some  sort  of  simulated  
workplace.    

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Section 1: How are customer orders received?

Are  you  able  to:   Yes   No  

1. identify  how  warehouses  receive  orders    
from  customers?        
2. list  in  order  of  frequency  how  your  
warehouse  receives  each  type  of  customer  
order?        
3. describe  the  most  important  pieces  of  
information  on  customer  orders?        

Section 2: Where is stock located?

Are  you  able  to:   Yes   No  

1. locate  stock  items  in  your  warehouse  
without  assistance?        

Section 3: What are the principles of

Occupational Health and Safety?

Are  you  able  to:   Yes   No  

1. describe  the  basic  occupational  health  
and    
safety  (OHS)  rules?        
2. list  the  OHS  rules  used  in  your  warehouse?        

Section 4: How is stock picked?

Are  you  able  to:   Yes   No  

1. tell  someone  how  stock  items  are  
recognised  in  most  warehouses?        
2. list  the  information  that  is  commonly  
stored  on  stock  labels  for  all  stockgroups  in  
your  warehouse?        

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 TLIA1207C Pick and process orders

Section 5: How are picked stock items checked?

Are  you  able  to:   Yes   No  

1. describe  the  methods  used  in  your  
warehouse  to  check  that  the  stock  items  
you  have  picked  are  correct?        
2. use  a  warehousing  record  system  to  
confirm  that  picked  stock  items  have  been  
correctly  deducted  from  stock  holdings?        

Section 6: What are the methods used to

replenish stock levels?

Are  you  able  to:   Yes   No  

1. describe  how  a  warehouse  usually  
replenishes  its  stock  levels?        
2. replenish  stock  levels  accurately  in  your  
warehouse?        

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How you will be assessed

Assessment  of  this  Unit  of  Competency  will  include  observation  of  real  
or  simulated  work  processes  using  workplace  procedures  and  
questioning  on  underpinning  knowledge  and  skills.  It  must  be  
demonstrated  in  an  actual  or  simulated  work  situation  under  
supervision.  

You  will  be  required  to:  

• state  how  to  identify  required  stock  items  from  a  customer  
order    
• demonstrate  how  to  safety  lift  stock  
• pick  stock  items  against  a  customer  order  
• identify  storage  locations  to  replenish  reserve  stock  areas.  

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Section 1

How are customer orders

received?

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Section outline

Areas  covered  in  this  section  

Sources  of  customer  orders  

Information  included  on  customer  orders  

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TLIA1207C Pick and process orders

How are customer orders received?

Your  warehouse  will  probably  receive  orders  from  customers  in  
different  ways.  How  often  this  happens  and  the  method  will  depend  
on  the  type  of  warehouse  and  its  functions.  For  example,  food  is  
usually  ordered  often  and  delivered  quickly,  especially  if  it  is  
perishable.  Items  like  furniture  will  usually  be  ordered  in  quantities  
that  make  large  deliveries  more  cost  effective.  No  matter  how  an  
order  comes  into  your  warehouse,  there  will  be  certain  information  on  
the  order.  This  information  will  be  very  important  to  you  and  your  
workmates  so  that  you  can  process  the  order.  

Some  warehouses  have  customer  service  departments  that  receive  

orders  from  customers  and  process  them  onto  computers.  In  these  
situations,  storespersons  will  only  use  the  paperwork  from  the  
computer,  and  will  rely  on  other  departments  to  make  sure  that  the  
information  is  correct  on  each  order.  

This  section  provides  activities  in  understanding  how  your  warehouse  

receives  its  orders  and  the  most  common  types  of  methods  involved.  

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 TLIA1207C Pick and process orders

Activity 1: How does my warehouse receive orders?

In the spaces provided, write down the different ways in which your
warehouse can receive customer orders.

List them in order of frequency, with the most common first and so
on.

1. ___________________________________________________

2. ___________________________________________________

3. ___________________________________________________

4. ___________________________________________________

5. ___________________________________________________

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What important information is usually found in a

customer order?
A  customer  order  will  contain  many  pieces  of  information.  The  type  of  
things  written  on  customer  orders  will  be  different  depending  on:  
• what  is  being  ordered  
• from  where  it  is  being  ordered  
• where  it  will  be  delivered  
• when  it  will  be  delivered  
• how  it  will  be  delivered.  

However,  each  customer  order  will  contain  a  few  key  pieces  of  
information  which  will  easily  identify  an  order.  These  will  be  important  
when  you  and  your  workmates  need  to  locate  and  refer  to  each  
particular  customer  order.  

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Activity 2: What is the key information on a customer order?

Look at the following example of an order that could have entered

your warehouse.
Bloggs and Co. Stationers PURCHASE ORDER
‘Your Write With Us’
Bloggs and Co. The following number must
appear on
Accounts Dept. all related correspondence,
shipping
4th Floor, Stamford Trading House papers, and invoices:

190 Canterbury Road

Brighton TAS 7600 Reference Number: 509 356

Phone: (03) 6245 6999

TO: SHIP TO:

Aust. Warehouse Co. Bloggs and Co.
Accounts Dept. Unit 2
Aust. House Latrobe Training Estate
Tottenham Road EAST BRIGHTON TAS 7610
FOOTSCRAY WEST VIC 3012

ORDER DATE ORDER NO. SHIP VIA TERMS

QUANTI PRODUC UNIT DESCRIPTION UNIT TOTA

TY T PRICE L ($)
CODE ($)
8 P801258 PACKET Paper 80gsm White $6.87 $54.96
2 OHP5978 BOX Pens black OHP perm $2.20 $4.40
10 AB1385 1 Diary A4 week plan $5.50 $55.00
1 W98765 1 Wall year planner $10.12 $10.12
TOTAL $124.48

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In the spaces below, list the most important pieces of information

contained in that order, starting with the most important first.

You may need to discuss this with workmates or your trainer.

• Reference number __________________________________

• Order number ______________________________________

• Product codes______________________________________

• Product description __________________________________

• Customer telephone no. ______________________________

There is feedback on this activity at the back of this Learner’s

Guide.

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Section 2

Where is stock located?

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Section outline

Areas  covered  in  this  section  

Stock  systems  

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Where is stock located?

Stock  is  located  in  many  different  areas  of  a  warehouse.  Often  the  
areas  are  chosen  so  that  similar  items  of  stock  can  be  stored  close  to  
one  another.  At  the  same  time,  items  that  are  linked  on  customer  
orders  may  be  stored  close  to  each  other.  Your  warehouse  will  have  
planned  these  areas  so  that  the  processes  involved  in  picking  and  
processing  orders  are  completed  as  easily  and  efficiently  as  possible.    
These  processes  include:  
• finding  stock  
• picking  stock  
• dispatching  orders  and    
• replenishing  stock  levels.  

Some  stock  is  regarded  as  dangerous  or  hazardous.  These  items  are  
placed  into  groups  called  Classes  of  Dangerous  Goods.  These  Classes  
define  the  special  ways  that  dangerous  and  hazardous  stock  must  be  
handled,  stored  and  transported.  Your  company  will  have  specially  
chosen  employees  to  work  with  this  stock.  They  will  make  sure  that  
items  of  this  type  are  stored  in  safe  and  secured  areas,  where  they  will  
not  be  touched  by  people  who  do  not  know  how  to  correctly  handle  
them.  These  areas  are  also  chosen  so  that  any  accidents  with  
dangerous  or  hazardous  stock  will  cause  the  least  possible  damage.  

Valuable  stock  is  usually  locked  in  secure  areas,  so  that  it  can  be  
protected  from  thieves.  When  locked  away,  only  those  storespersons  
who  have  permission  to  handle  that  stock  will  be  allowed  to  enter  
those  areas.  

You  will  have  to  learn  stock  locations  for  items  with  which  you  usually  
work.  You  will  also,  of  course,  be  required  to  strictly  observe  all  
company  rules  about  stock  handling  and  security.  

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 TLIA1207C Pick and process orders

Activity 3: How are stock items stored in a warehouse?

Look at the following picture of a typical warehouse stacking

system.

Match the correct description against the number that is given on

the picture.

Description Number

Row _______________

Stack _______________

Shelf _______________

Level _______________

Bin _______________

There is feedback on this activity at the back of this Learner’s

Guide.

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TLIA1207C Pick and process orders

Section 3

What are the principles of

Occupational Health and Safety?

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Section outline

Areas  covered  in  this  section  

Correct  lifting  and  moving  of  stock  items  

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What are the principles of Occupational Health

and Safety?
The  three  main  principles  in  OHS  are:  
a. identify  the  risks  
b. assess  the  risks  
c. control  the  risks.  

OHS  is  very  important  in  every  workplace.  The  three  principles  must  be  
followed  at  all  times,  so  that  accidents  are  avoided.  In  1994,  workplace  
accidents  in  Australia  cost  $200  million  in  lost  production.  Back  injuries  
were  the  most  frequent  results  of  these  accidents.  Every  workplace  
must  pay  a  workers’  compensation  insurance  premium  to  cover  the  
costs  of  these  accidents.  The  average  cost  of  workers’  compensation  
insurance  is  $10  000  for  each  workplace.  

When  you  handle  stock,  you  must  make  sure  that  you  do  not  lift  items  
which  you  think  are  too  heavy  for  you.  You  should  always  use  
mechanical  lifting  aids  whenever  possible.  In  this  way,  you  will  follow  
good  OHS  practices  and  avoid  injuries.  

Look  at  the  following  pictures.  They  show  you  how  to  correctly  lift  
objects,  making  sure  that  back  injuries  are  avoided.  

 
 
 
 
Incorrect  
Bending  &  Lifting  

 
 
 

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Correct  Bending  
&  Lifting  

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Unsafe  -­‐  Too  
heavy  

 
 
 
 
 
 
Use  mechanical  
aids  when  lifting  
heavy  objects  

 
 
   

   

Avoid  above  shoulder  reach   Avoid  forward  bending  of  the  

back  
 
   
   

   
Avoid  twisting  of  the  back   Avoid  sideways  bending  of  the  
back  

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Some  of  the  symbols  you  may  see  in  your  warehouse  are  on  the  
following  pages.  These  tell  you  how  you  should  handle  stock  items  in  
the  warehouse.  They  are  good  tools  to  use  in  achieving  good  OHS.  

  
THIS  
WAY  UP  
 

FRAGILE  
 

Your  warehouse  may  store  hazardous  or  dangerous  goods.  In  these  
cases,  goods  packages  will  have  warning  signs,  similar  to  the  examples  
below,  attached  to  them.  If  you  do  not  understand  these  signs  and  
similar  diagrams  in  your  warehouse,  ask  your  trainer  for  help.  

   
 
 
 

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Activity 4: What are the things to be considered when

assessing the load to be moved?

Write below some of the OHS methods that you should think of
when stock items are to be moved.

___________________________________________________

___________________________________________________

___________________________________________________

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___________________________________________________

___________________________________________________

___________________________________________________

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___________________________________________________

___________________________________________________

___________________________________________________

There is feedback on this activity at the back of this Learner’s

Guide.

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The  range  of  items  that  you  may  be  required  to  lift  or  move  will  vary.  
You  must  know  the  precautions  you  should  take  when  lifting  stock  
items,  so  that  you  prevent  injury  to  your  workmates  and  yourself.  You  
should  never  attempt  to  lift  stock  without  first  considering  whether  it  
will  be  safe  to  do  so.  

Workplace  accidents  and  workers’  compensation  claims  are  very  high  

in  Australia.  Many  of  these  result  from  poor  lifting  practices.  When  you  
move  or  lift  stock  items,  your  company  will  expect  you  to  use  correct  
lifting  practices.  If  you  are  unsure  of  how  to  move  or  lift  stock  items,  or  
if  you  are  unsure  of  your  physical  ability  to  lift  or  move  them,  you  
should  ask  your  trainer  or  your  workmates  for  help.  

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Activity 5: What precautions should I take when lifting

stock items?

Write down in the spaces some of the things you must remember to
do when you have to manually lift or move stock.

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There is feedback on this activity at the back of this Learner’s

Guide.

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You  will  need  to  use  different  lifting  methods  or  equipment  to  lift  
different  stock  items.  You  should  work  out  the  amount  of  assistance  
or  choose  the  correct  lifting  equipment  before  you  start  lifting  any  
stock.  When  doing  this,  you  should  take  into  account  the:  
• weight  
• size  
• shape  
• contents    
• possible  movement  of  the  load.  

You  must  think  about  your  own  strength  and  lifting  ability,  and  the  
amount  of  help  you  may  need  and  how  quickly  you  can  get  it.  

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Activity 6: How should I correctly lift packages of different

weights, shapes and sizes?

Look at the table of stock items on the following page.

In the last column, write the most appropriate lifting method for
each item.

Choose the lifting method from the list below:

• Forklift truck

• hand trolley

• manually (assisted)

• manually (alone)

• authorised personnel.

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Item Weight Shape and size Description Method

Reams of 15 kg Rectangular box

paper
30cm x 20cm x
45cm

Filing cabinet 25 kg Rectangular box

(2 drawer) 45cm x 60cm x

75cm

Desk 20 kg Rectangular

200cm x 130cm x
100cm

Photocopier 60 kg Cubic

150cm x 150cm x
150cm

Poison 10 kg Container

20cm2 x 50cm

There is feedback on this activity at the back of this Learner’s

Guide.

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 TLIA1207C Pick and process orders

Ask your trainer to select some stock items that weigh between
10kg and 25kg.

You are required to move these items from one location in your
warehouse to another.

Your trainer will observe you doing this task, and check that you
used correct OHS lifting techniques.

Remember to work out if you are strong enough to lift the stock
items, and make sure that you bend and lift correctly, and avoid
twisting your spine. Your trainer will also make sure that any lifting
equipment you chose for this task was safely and properly used.

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Section 4

How is stock picked?

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 TLIA1207C Pick and process orders

Section outline

Areas  covered  in  this  section  

Stock  units  

Stock  labels

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TLIA1207C Pick and process orders

How is stock picked?

Stock  items  stored  in  warehouses  vary  greatly.  However,  all  stock  
items  will  have  a  label  attached  to  them  which  gives  information  about  
their  contents  and  location.  Labels  may  be  similar,  even  though  they  
are  attached  to  items  of  different  size,  weight,  shape,  etc.  

Stock  may  be  packaged  in  different  ways.  These  may  be  called  
“cartons”,  “boxes”,  “units”,  “shippers”,  etc.  Each  of  these  has  a  
different  meaning,  and  you  will  need  to  know  the  differences  when  
picking  stock.  For  example,  there  are  huge  differences  between  a  
carton  of  matches,  a  packet  of  matches  and  a  box  of  matches.  

Warehouses  do  not  often  receive  stock  in  the  same  units  of  quantity  
that  customers  have  ordered.  You  will  need  to  understand  the  
different  names  used  to  describe  different  amounts  of  stock  items.  
The  names  used  may  also  vary  from  warehouse  to  warehouse,  so  
checking  of  the  correct  quantities  to  which  each  unit  of  stock  refers  
will  be  very  important.  For  example,  someone  may  refer  to  a  ‘shipper’,  
whereas  someone  else  may  refer  to  the  same  quantity  as  ‘packets’.  
You  will  need  to  check  item  quantities  and  names  very  carefully,  so  
that  you  actually  pick  what  customers  have  ordered.  

Stock  picking  is  usually  done  by  people,  either  by  hand  or  using  Forklift  
trucks.  In  this  section,  the  tasks  you  are  required  to  do  will  be  by  hand  
only,  unless  you  have  already  obtained  a  licence  to  operate  a  Forklift  
truck.  Your  trainer  will  make  sure  that  you  do  not  use  a  Forklift  truck  
without  a  licence.  

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Activity 7: How do I identify stock items?

Look at the list below of different ways to recognise stock items.

Place a tick against each method used to recognise stock in your

warehouse.

• labels

• alphanumeric codes

• bar codes

• visual recognition

• diagrams

• stock characteristics *

• photographs

• text descriptions.

* Characteristics of stock items could be size, shape, weight, smell,

sound, touch, etc.

List below any other ways to recognise stock items used in your
warehouse, or any other warehouse you know.

___________________________________________________

___________________________________________________

___________________________________________________

___________________________________________________

___________________________________________________

___________________________________________________

___________________________________________________

___________________________________________________

___________________________________________________

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The  main  pieces  of  information  on  customer  orders  were  shown  in  
Section  one.  There  will  also  be  key  pieces  of  information  in  stock  labels  
so  that  they  can  quickly  be  identified  and  located.  In  some  instances,  
the  information  on  a  customer  order  and  your  warehouse  stock  label  
may  match.  You  will  need  to  know  which  stock  items  are  being  talked  
about  if  different  codes  or  information  is  on  a  label  compared  to  a  
customer  order.  

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Activity 8: What information is contained in stock labels?

Look at the sample stock label below and the list of stock label
descriptions.

00000 0032 00164

AC.68.2.1
ITEM: ARDMONA PEARS
425.00GM OM
PO 00342424
EXPR DATE 04-18-96 0012
REC 00097 QTY 0000032
DATE :04-18-96 TIME: 13:25

SLOC AC.68.2.1 CASES 32

1387630

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Next to each description, write the information from the sample

stock label that matches the description.

Description Answer

Alphanumeric codes _________________________________

_________________________________

Content description _________________________________

Content quantity _________________________________

Consignment quantity _________________________________

Critical dates _________________________________

_________________________________

Storage location _________________________________

There is feedback on this activity at the back of this Learner’s

Guide.

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 TLIA1207C Pick and process orders

Choose a stock label for a stock item stored in your warehouse.

Fill in the spaces below, using the information shown on that label.

Description Answer

Alphanumeric codes _________________________________

_________________________________

Content description _________________________________

Content quantity _________________________________

Consignment quantity _________________________________

Critical dates _________________________________

_________________________________

Storage location _________________________________

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Activity 9: What are the names that I need to know that

describe the quantities of stock received in
warehouses?

Look at the following list of names that describes different ways that
stock items are packaged.

You have to decide which name indicates that stock items may be
in smaller packages inside the original package.

List the names in order, so that the largest is first and the smallest
is last. Two correct answers have been provided for you.

For example, packets of stock are usually placed in boxes, so

boxes would be above packets in your list.

You may need to discuss these names with your workmates or

trainer, so that you understand the differences between each
name. You may, in fact, not use some of these names in your
warehouse. If this is the case, leave those names out of your
answer list.
• Cartons Pallets
• Boxes _____________________________________
• Packets _____________________________________
• ‘Singles’ _____________________________________
• Cases _____________________________________
• ‘Shippers’ _____________________________________
• ‘Inners’ _____________________________________
• Units _____________________________________
• Pallets Singles

Write down below any other names used in your warehouse to

describe quantities of stock items.

__________________________________________________

__________________________________________________

__________________________________________________

There is feedback on this activity at the back of this Learner’s

Guide.

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© Australian National Training Authority 2003 Page 45

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Section 5

How are picked stock items

checked?

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Section outline

Areas  covered  in  this  section  

Matching  customer  orders  with  picked  stock  items  

Checking  codes,  packages  and  descriptions  

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How are picked stock items checked?

An  important  part  of  your  job  will  be  to  make  sure  that  you  have  
correctly  picked  the  required  stock  items  to  complete  a  customer  
order.  You  must  be  aware  that,  if  you  make  a  mistake  by  picking  wrong  
stock  items,  incorrect  quantities  or  wrong  brand  names,  you  will  be  
making  more  work  for  your  workmates  to  correct  those  mistakes.  
Stock  levels  in  your  warehouse  will  also  probably  be  incorrect  as  a  
result  of  those  mistakes.  Therefore,  when  your  workmates  want  to  
pick  a  stock  item  to  complete  an  order,  there  may  not  be  enough  stock  
in  the  storage  location  to  do  this.  This  leads  to  customers  not  receiving  
their  orders,  either  on  time,  or  in  the  correct  quantities.  

If  a  customer  receives  incorrect  stock  items,  there  will  be  extra  costs  
involved  for  your  company.  Items  will  have  to  be  returned  and  the  
correct  stock  items  dispatched.  This  will  also  cause  a  bad  impression  of  
your  work  and  the  service  that  your  company  gives.  This  will  increase  
the  chances  of  your  company  losing  customers  and,  in  very  bad  cases,  
losing  so  much  business  that  employees  might  lose  their  jobs.  

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Activity 10: How do I check the picked stock items against

a customer order?

Look at the purchase order given in Section 1. Compare that order

with the list of stock items that were picked, as shown below.

Quantity Product Unit Description Price Total

code ($) ($)

8 P801258 Packet Paper 80GSM White 6.87 54.96

2 OHP5977 Box Pens Black OHP Non - Perm 2.20 4.40

10 AB1386 1 Diary A4 Month Planner 7.50 75.00

1 W98765 1 Wall Year Planner 10.12 10.12

Check this table, and if you find any errors, write the correct stock
items in the following table.

Stock picking corrections:

Quantity Product Unit Description Price Total
code ($) ($)

Ask your trainer to select a typical order from those your

warehouse has received. Make sure the order has at least three
stock items in it.

You should now pick the stock items from their storage locations,
and record the details of these items in the following table.

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Picking and recording stock items:

Quantity Product Unit Description Price Total

code ($) ($)

There is feedback on this activity at the back of this Learner’s

Guide.

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© Australian National Training Authority 2003 Page 51

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Section 6

What are the methods used to

replenish stock levels?

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 TLIA1207C Pick and process orders

Section outline

Areas  covered  in  this  section  

Reserve  stock  

The  need  for  stock  replenishment  systems  

Stock  rotation  systems  

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What are the methods used to replenish stock

levels?
Warehouses  need  to  replenish  stock  as  quickly  as  possible  so  that  the  
next  order  can  be  filled.  This  means  that  when  stock  is  sent  out  to  
customers,  it  must  be  replaced  in  the  stock  picking  locations  as  soon  as  
possible.  The  stock  used  to  replenish  these  locations  is  sometimes  kept  
in  a  special  area  of  the  warehouse  called  the  ‘reserve  storage  location’.  
Your  company  will  have  a  policy  that  describes  how  and  when  stock  
should  be  replenished.  

Often  when  you  replenish  stock,  you  will  need  to  adjust  records  of  
stock  holdings.  You  may  also  have  to  make  sure  that  stock  items  that  
need  to  be  ‘rotated’  (because  they  have  ‘use  by  dates’),  are  placed  in  
the  special  locations  where  they  will  be  picked  first  when  next  
ordered.  This  system  applies  most  to  perishable  stock  items.  

Some  warehouses  have  a  computer  stock-­‐taking  system.    This  means  

the  computer  will  update  stock  records  at  night  and  will  automatically  
re-­‐order  stock  items  when  the  warehouse  stock  holdings  fall  below  a  
certain  level.  If  you  do  not  have  a  computer  stock  taking  system,  your  
company  will  have  another  procedure  to  make  sure  that  stock  items  
are  re-­‐ordered  before  they  run  out.  

Replenishing  stock  locations  is  usually  done  by  hand,  or  using  Forklift  
trucks.  In  this  Learner’s  Guide,  you  are  only  required  to  do  tasks  by  
hand  unless  you  already  have  a  licence  to  operate  a  Forklift  truck.  Your  
trainer  will  make  sure  that  you  do  not  use  a  Forklift  truck  without  a  
licence.  

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 TLIA1207C Pick and process orders

Activity 11: Where are the ‘reserve’ stock locations in

my warehouse?

Obtain a copy of your warehouse floor plan, and indicate on the

diagram the locations where ‘reserve’ stocks are stored.

If your company does not have a warehouse floor plan, use the
spaces below to write down where these ‘reserve’ stock areas are
located.

___________________________________________________

___________________________________________________

___________________________________________________

___________________________________________________

___________________________________________________

___________________________________________________

___________________________________________________

___________________________________________________

___________________________________________________

___________________________________________________

___________________________________________________

___________________________________________________

___________________________________________________

___________________________________________________

___________________________________________________

___________________________________________________

___________________________________________________

___________________________________________________

___________________________________________________

© Australian National Training Authority 2003 Page 55

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TLIA1207C Pick and process orders

Stock  levels  need  to  be  kept  at  a  certain  level  so  that  future  customer  
orders  can  be  filled,  or  in  case  of  sudden  demand  for  certain  items.  
Some  types  of  stock  will  be  distributed  to  customers  at  faster  rates  
than  others.  Stock  items  which  are  ‘perishable’  will  need  to  be  sold  
quickly  so  that  the  items  reach  customers  in  a  satisfactory  condition.  A  
good  example  of  this  situation  is  dairy  foods,  which  must  be  delivered  
to  customers  for  drinking  or  eating  before  their  ‘use  by’  dates.  These  
stock  items  have  a  fast  turnover,  and  their  stock  levels  may  need  to  be  
different  from  most  stock  items  in  your  warehouse.  

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Activity 12: When do I refill the storage locations from the

‘reserve’ stock areas?

Discuss with your trainer how your warehouse stock-taking system

chooses when storage locations need new stock items. Your
company may have its own policy concerning stock replenishment.
Use the space below to write down details of the stock
replenishment system used in your warehouse.

Storage locations are replenished when

____________________________________________________

____________________________________________________

____________________________________________________

____________________________________________________

____________________________________________________

____________________________________________________

____________________________________________________

____________________________________________________

The methods used to replenish storage locations are

____________________________________________________

____________________________________________________

____________________________________________________

____________________________________________________

____________________________________________________

____________________________________________________

____________________________________________________

____________________________________________________

____________________________________________________

© Australian National Training Authority 2003 Page 57

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Certain  stock  items  will  need  to  be  ‘rotated’  in  their  storage  locations.  
Often,  older  stock  which  was  been  stored  will  be  moved  to  a  more  
accessible  area.  This  will  mean  that  this  stock  will  be  dispatched  to  a  
customer  when  an  order  is  placed  for  it.  For  example,  a  warehouse  
may  want  to  distribute  stock  items  before  the  packaging  looks  old,  and  
gives  a  poor  impression  of  the  items.  Faded,  dusty,  dirty  or  damaged  
outer  wrappings  can  be  avoided  by  dispatching  older  stock  items  
before  newer  stock  items  which  have  recently  been  received.  The  idea  
of  ‘rotating’  stock  is  useful  for  distributing  goods  before  they  become  
out  of  date,  particularly  preserved  foodstuffs  which  have  ‘use  by’  
dates.  

Your  warehouse  will  have  a  plan  to  rotate  stock.  This  is  likely  to  be  
based  on:  

FIFO   This  is  the  term  used  to  describe  the  ‘first  in  first  out’  rule.  
This  means  that  the  stock  which  has  been  in  the  warehouse  
longest  should  be  dispatched  first.  This  is  a  simple  and  
widely  used  rule.  

FILO   This  term  means  ‘first  in  last  out’.  In  this  rule,  the  stock  
received  first  is  dispatched  last.  

Sometimes,  stock  rotation  will  mean  that  pallets  are  re-­‐arranged.  This  
can  include  moving  pallets  from  areas  where  stock  is  stored  to  areas  
where  stock  is  picked.  

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Activity 13: How is stock ‘rotated’ in my warehouse?

Discuss with your trainer how your warehouse system rotates its
stock levels, to ensure that stock items which are out of date or no
longer in full working order are never distributed to customers.

Use the space below to write down details of how stock items are
rotated in your warehouse.

Stock items are rotated when

____________________________________________________

____________________________________________________

____________________________________________________

____________________________________________________

____________________________________________________

____________________________________________________

____________________________________________________

____________________________________________________

The methods used to rotate stock items are

____________________________________________________

____________________________________________________

____________________________________________________

____________________________________________________

____________________________________________________

____________________________________________________

____________________________________________________

____________________________________________________

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When  you  place  new  stock  items  in  their  storage  locations,  you  will  
need  to  place  them  so  that  they  are  easily  reached  by  you  and  your  
workmates.  You  must  place  the  items  so  that  they  can  easily  be  
identified  without  extra  inspections.  For  example,  you  should  not  
place  items  so  that  their  stock  labels  cannot  be  seen,  or  where  they  
will  become  damaged  by  poor  stacking.  

Pallets  need  to  be  straight,  and  cartons  and  boxes  should  fit  neatly  in  
locations.  Identification  and  location  labels  need  to  be  easily  checked,  
storage  areas  should  be  free  of  rubbish,  and  stock  items  should  be  
properly  located.  If  these  tasks  are  not  done,  stock  items  may  be  
damaged  or  wasted,  staff  may  be  at  risk  of  injury  or  customers  may  
not  receive  good  service.  

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 TLIA1207C Pick and process orders

Activity 14: What are the important things I need to do

when placing stock items in storage locations?

Write down in the spaces below some of the things that you should
do when you place stock items in storage locations in your
warehouse.

____________________________________________________

____________________________________________________

____________________________________________________

____________________________________________________

____________________________________________________

____________________________________________________

____________________________________________________

____________________________________________________

____________________________________________________

____________________________________________________

____________________________________________________

____________________________________________________

____________________________________________________

____________________________________________________

____________________________________________________

____________________________________________________

____________________________________________________

____________________________________________________

____________________________________________________

There is feedback on this activity at the back of this Learner’s

Guide.

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Additional
resources

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 TLIA1207C Pick and process orders

Publications:  
•   Workplace  Health  &  Safety  Handbook,  Occupational  Health  &  
Safety  Commission,  1992  

Video:  
•  Manual  Handling  -­‐  Safetycare  Series  

Web  sites:  
• NOHSC  (National  OHS  Committee  –  Publications)  
http://www.nohsc.gov.au/OHSInformation/NOHSCPublications/  
• Workcover  Authority  of  NSW  
http://www.workcover.nsw.gov.au/  
• Victorian  WorkCover  Authority  
http://www.workcover.vic.gov.au/  
• WorkCover  Queensland    
http://www.workcover.qld.gov.au/  
• WorkCover  WA      
http://www.workcover.wa.gov.au/  
• WorkCover  Corporation  of  SA  
http://www.workcover.wa.gov.au/  
• ACT  WorkCover      
http://www.workcover.act.gov.au/  
• Workplace  Standards  Tasmania  
http://www.wst.tas.gov.au/node/WST.htm  
• Work  Health  Authority  NT  
http://www.deet.nt.gov.au/wha/index.html

© Australian National Training Authority 2003 Page 63

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TLIA1207C Pick and process orders

Feedback on
activities
The responses provided in this section are suggested responses.
Because every workplace is different, your responses may vary
according to your specific workplace procedures, the equipment
available and the nature of the business.

Page 64 © Australian National Training Authority 2003

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 TLIA1207C Pick and process orders

Activity 2: What is the key information on a customer order?

Reference Number 509 356

Order Number 798 2275

Product Code P801258

Product Description PAPER 80GSM WHITE

Customer Telephone No. (02) 456 999

Activity 3: How are stock items stored in a warehouse?

2
Description Number Example
Row 3 CE
Stack 4 CE.51
Shelf 2 CE.51.3
Level 1 CE.51.4
Bin 5 CE.51.3.2

© Australian National Training Authority 2003 Page 65

Customised and developed by Armstrong’s Driver Education Pty Ltd July 2009 ADELG1070
TLIA1207C Pick and process orders

Activity 4: What are the things to be considered when

assessing the load to be moved?

Can I comfortably manage the load?

Do I need assistance?
Is there another more efficient method of carrying the load?
Decide on the method to be adopted
Establish that a safe route exists for the loads to be moved.

Activity 5: What precautions should I take when lifting

stock items?
1. Hold the load as close to your body as possible, and bend your
knees when lifting.
2. Your body should not be twisted when a load is being lifted or
carried; twisting or side-bending of the spine should be avoided.
3. The load should be lifted or carried using smooth movements to
avoid excessive muscle strain.
4. The load should be carried between your mid thigh and shoulder
height (if possible), using both hands (if appropriate).
5. The load should be balanced so that uneven body stresses are
avoided.

Page 66 © Australian National Training Authority 2003

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 TLIA1207C Pick and process orders

Activity 6: How should I correctly lift packages of different

weights, shapes and sizes?

Item Weight Shape and size Method

Reams of 15 kg Rectangular box Manually

paper (alone)
30cm x 20cm x
45cm

Filing cabinet 25 kg Rectangular box Hand trolley

(2 drawer) 45cm x 60cm x

75cm

Desk 20 kg Rectangular Manually

(assisted)
200cm x 130cm x
100cm

Photocopier 60 kg Cubic Forklift Truck

150cm x 150cm x
150cm

Poison 10 kg Cylindrical Authorised

personnel
20cm2 x 50cm

© Australian National Training Authority 2003 Page 67

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TLIA1207C Pick and process orders

Activity 8: What information is contained in stock labels?

00000 0032 00164

AC.68.2.1
ITEM: ARDMONA PEARS
425.00GM OM
PO 00342424
EXPR DATE 04-18-96 0012
REC 00097 QTY 0000032
DATE :04-18-96 TIME: 13:25

SLOC AC.68.2.1 CASES 32

1387630

Page 68 © Australian National Training Authority 2003

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 TLIA1207C Pick and process orders

Description Answer

Alphanumeric codes 00000 0032 00164

OM0012

1387630

Content description Ardmona Pears

Content quantity 425 grams

Consignment quantity 32 cases

Critical dates Date Received 4/18/96

Expire Date 4/18/96

Storage location AC.68.2.1

(Row AC, Shelf 68, Level 2,

Bin location 1)

© Australian National Training Authority 2003 Page 69

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TLIA1207C Pick and process orders

Activity 9: What are the names that I need to know that

describe the quantities of stock received in
warehouses?

This is a suggested answer. Your answer may be slightly different

due to the storage requirements in your warehouse.

• Cartons Pallets

• Boxes Cartons

• Packets Cases

• ‘Singles’ Boxes

• Cases Packets

• ‘Shippers’ Shippers

• ‘Inners’ Units

• Units Inners

• Pallets Singles

Activity 10: How do I check the picked stock items against

a customer order?

There were two errors in the table of picked stock items. The
correct items that should have been picked are:
Quantity Product Unit Description Price Total
code

2 OHP5977 Box Pens Black OHP Perm $2.20 $4.40

10 AB1385 1 Diary A4 Week Plan $5.50 $55.00

Page 70 © Australian National Training Authority 2003

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 TLIA1207C Pick and process orders

Activity 14: What are the important things I need to do

when placing stock items in storage locations?

1. Protect stock (light on heavy, soft on hard, avoid heat and

sunlight, avoid vibration, etc.)
2. Maximise available space
3. Correct loading/unloading sequence
4. Correct labelling and documentation
5. Maintain stability of loaded stock items.

© Australian National Training Authority 2003 Page 71

Customised and developed by Armstrong’s Driver Education Pty Ltd July 2009 ADELG1070