FRESH LOGISTICS for the food industry

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1 FRESH LOGISTICS for the food industry The generously proportioned logistics center offers room for expansion Management Summary The Schober Group built a new fresh logistics center on the industrial estate Hertener Mark, direct on the Autobahns A42 and A43 in 2012, to take on the storage, picking, packing and dispatch of all of the products of the Nestlé subsidiary Herta GmbH in Herten. In a very short period of time, the SLA Software Logistik Artland GmbH implemented a system using custom hardware and software for the accurate execution of the processes, which have since proven themselves to be stable and flexible. Good news for businesses in North-Rhine-Westphalia who are looking for storage possibilities: there is still free capacity! The family run business Schober, managed by Steffen-Kai Schober, operates several logistics sites for well-known food producers in Germany. They all use modern warehousing technologies combined with powerful information technology systems. A truck fleet of around 100 trucks and 180 trailers fulfil the transport duties and around 500 employees take care of the challenging services, such as picking and packing. 1

2 2 That is why Nestlé chose Schober as their partner, to build and run a new central warehouse for the products made by Herta. No simple task, then even small and specially packaged products with short sell-by dates need to be quickly and reliably delivered to retails in Germany and the bordering countries the Herta quality guarantee requires consistent and reliable fresh logistics that has a turnaround measured in hours! Shelving with picking spaces: The generous amount of space as well as the standard software SLA -Office Logistics facilitates error free processing LAVISHLY PLANNED OUTSOURCING Built on a site with 2.8 hectares (nearly 7 acres), the logistic center, with 9,500 square meters (over 102,000 square feet) of enclosed space, has storage space for 8,500 palettes and 2,000 square meters (around 22,000 square feet) for packaging and handling. 33 ramps allow for permanent loading and unloading of trucks. Additionally, trucks can be driven through a roll-up door on the side of the building, giving access to the hall, which is normally cooled to three degrees Celsius (37.4 Fahrenheit), but which can be split into three different temperature zones as needed. The facility was finished on schedule and handed over to Schober Logistik Herten GmbH, which is part to the Schober Group. WAREHOUSE MANAGEMENT BY SLA SLA, experts for process optimization in the food industry, which had already successfully completed many IT projects in the production for Herta, took on the installation of the warehouse management system. Their project manager, Benjamin Reim, had designed the existing logistics solution at the old Herta site and therefore knew the details of the required processes as well as the requirements regarding data transfer, customer specific labelling and the hand-over to the haulier. After the SLA implemented the most important processes in a very short space of time, the team won the trust of the operator and their major customer, allowing them to implement the SLA standard software SLA -Office Logistics also in the new logistics center in Herten. Initially the interfaces from SAP and the customer specific customization in the areas of storage and stock removal as well as picking were implemented. Likewise, all of the hardware, including hand scanners and label printers were delivered and implemented. After around 3 months of intensive work, the solution was put into production in October 2012, without affecting the delivery capability.

3 A simple GUI aids all employees in an error free process. Uwe Micke, director of Schober Logistik Herten GmbH, said, SLA understands the requirements of the industry and can turn them into working software solutions with little communication overhead, that exceed our expectations. This was also demonstrated by the further project phases, where special processes, such as the customer specific packing, the production of shop-displays and special offers as well as the commissioning of cases with special SLA SOLVED A COMPLICATED CHALLENGE VERY SUCCESSFULLY WITH COMPETENT CONSULTING AND PUNCTUAL DELIVERY. STEFFEN-KAI SCHOBER, CEO of the Schober Group The IPCs are ideally suited for the smooth, continuous operation in all areas of the food industry and operate reliably and error free even under extreme conditions, elucidated Benjamin Reim, Project Manager at SLA. Under peak load from 06:00 through to 22:00 up to 2,500 inventory changes are booked, 100,000 cases and around 1,300 pallets are processed. selections of products, including the optimization of said processes. Today four servers, 12 desktop PCs and ten stainlesssteel industry PCs suitable for the food industry, from SLA s own production facility, are installed. 3

4 YOUR ADVANTAGES WITH LOGISTICS SOLUTIONS FROM SLA Exact execution of all logistics processes, including custom processes. Fresh logistics at a new level User-friendly touch dialogs Simple and quick integration with existing systems Data communication in real-time Complete integration of all peripherals, systems and machiners Leading to a higher level of automation (Industry 4.0 ready) Mobile scanning and mobile apps Complete traceability through the complete logistics process Modular and therefore flexible and extendable/ customizable at any time Online/offline functionality 24/7 premium service LOGISTICS 24/7 The delivery information from the manufacturers SAP system is transferred by Edifact as the goods arrive, using the inhouse shuttle service. The employees book the deliveries using barcodes. To this end there are robust industry PCs from SLA on the delivery ramp, which allow for data entry using a flexible and configurable touch GUI and which show the user the next steps. This reduces the likelihood of errors and all users become quickly accustomed with their operation. Differences are reported immediately, which are then taken care of to the last detail by a single office worker. In the meantime, 99.9% of all delivered quantities are correct: everything that runs over the SLA software is flawlessly registered, said Uwe Micke. Following the delivery, the software automatically choses the optimal storage location for the goods. This takes into account freshness and the expected use, as well as the defined warehousing strategy: fast turn-over items should be reachable over the quickest route items which will be stored longer are given quieter storage locations. This means that there is hardly any waste. We want to offer the resulting efficiency and flexibility as advantages to our customers, said Uwe Micke. The 60-strong special shifts perform this roll for sales actions and seasonal business as well as the occasional Sunday. EVERY HOUR COUNTS, IN OUR ULTRA FRESH BUSINESS. UWE MICKE, CEO of Schober Logistik Herten GmbH 4

5 CASE STUDY Packing: The automatic system on the mezzanine is well supported by the logistics software which offers a wide range of functionality for the specific processes and products. 5

6 MONITORING BY APP So that the management can monitor the current stock levels as well as the progress in picking and dispatch, the SLA developed a mobile App for smartphones. Once the user has logged in, the app delivers information in real time. The clearly arranged UI offers the user access to the picking, completed orders, stock levels, availability, routes and delivery quotas over a central menu. This means that those responsible for deliveries at Herta also receive the current state of operations at the Schober Logistik Herten GmbH facility. The most important data is shown in graphical form through a management cockpit. AUTOMATED PACKAGING Production Orders are entered into the SLA solution for automated packaging or the construction of displays, which are fulfilled on the mezzanine. The required articles are booked off of individual pallets and combined into a new unit. Customer specific labels in diverse languages are also part of the service, as well as sending small packages, down to individual cartons to the retailers. The dispatch data is subsequently sent to the haulier using a standard interface. When the goods are dispatched, the labels are scanned and booked out. Even Schober Logistik Herten GmbH s billing of their customers, based on the handled volume, is taken care of by the logistics software. At the same time Sealing, packing and properly labelled all in a single, flowing process 6

7 the manufacturer receives the invoice quantities and inventory data by Edifact. OPPORTUNITIES FOR OTHER MANUFACTURERS In early 2015 all of the processes were optimized again, based on the captured performance measurements. A modern LED lighting system and constantly closed doors have halved the energy costs; the EU accreditation and certification to IFS 2.1, ISO and ISO 9001 show the high quality in stable, automated processes. Thus we feel that we are prepared for new challenges, said Uwe Micke. For new customers from the meat and cold cuts industry or for dairy products, he can offer space for around 4,000 pallets or 3,000 square meters storage. The flexible and scalable solution from SLA is already designed for this and can be easily customized to meet new requirements. WITH THE SLA, WE HAVE FOUND A SERVICE PROVIDER THAT REACTS JUST AS QUICKLY AND RELIABLY IN A 24/7 RHYTHM AS WE DO. THIS MEANS THAT WE CAN JOINTLY MEET ALL OF THE REQUIREMENTS AND WISHES OF OUR CUSTOMERS. UWE MICKE, CEO Schober Logistik Herten GmbH 7

8 SLA The SLA Software Logistik Artland GmbH, based in Quakenbruck, has been optimizing business and production processes in the food industry since With extensive industry knowledge, solutions are implemented, supplemented and connected to all modern peripheral devices including RFID systems in the production process in order to make company workflows more efficient, more secure and more profitable. SLA is the market leader in Europe for solutions for meat processing from slaughter on. A further business area is comprehensive internet applications such as the Meat Integrity Solution (MIS) and industry portals such as GLOBALG.A.P. as well as POS apps for sales. The company s own industry PCs and software components for third-party providers complete its product range. SLA s customers include GLOBALG.A.P., Bell, Pini Polonia, Rügenwalder Mühle and MV Fleisch. You can find more information online at SLA Software Logistik Artland GmbH Friedrichstr. 30 D Quakenbrück Tel: +49 (0) Fax: +49 (0) kontakt@sla.de Image rights: SLA Software Logistik Artland GmbH, Quakenbrück