Customer challenge
Service Best had grown so strongly that it needed a new warehouse. But its logistics processes hadn’t kept up with this growth. Where were the bottlenecks? Growth, meeting customer expectations for delivery times and quality, and labour market shortages all ultimately impact on customer satisfaction. So a solution was needed to allow Service Best to continue its growth path. What did we suggest? A new, partly mechanised warehouse.
Approach
It’s obviously fantastic if your business is successful and growing fast. But that also creates certain challenges. That’s why Service Best asked UC Group to help facilitate its growth. We first looked at the company’s existing infrastructure and drew up a list of wishes and demands. Our advice was that the current warehouse was insufficiently scalable and that they should therefore consider a new warehouse.
Designing a new warehouse starts with appointing the right people. We believe that sustainable advice has to combine analytical input with input from the professionals putting it into practice. That’s why our professionals incorporated the warehouse staff’s practical insights into the new design, as well as examining the processes and current costs to identify opportunities for achieving further improvements.
Alongside a new warehouse, various other contingent improvements were needed. These included the system environment, as well as reinforcing the company’s position in terms of manpower, competencies and culture. In all its logistics, Service Best could expect a substantial increase in complexity and volumes. This represented a huge change-management challenge, which was dealt with by investing in staff managing and coaching.
Results
Based on the healthy balance between investments and the forecast operating costs of the new warehouse, Service Best’s management chose to go ahead with the concept we proposed. The next logical step, therefore, was implementation. To ensure that the forecast results were achieved, UC Group took charge of the project for realising the new infrastructure, implementing a new warehouse management system and relocating and transitioning to the new way of working.
The entire operation was ultimately handed over to Service Best’s own employees. This involved moving 20,000 pallets over a two-month period, while ‘the store stayed open as usual’. After an obvious learning curve, the company was able to operate along the new lines and achieve the envisaged increase in productivity.
Our Solution
Not only had the existing warehouse become too small, but it did not meet current safety and working environment standards. So a new set-up was needed, based on the latest technology and best practices. That’s why the choice was made for a combination of a shuttle and a conventional system, with separate compartmentalisation for hazardous goods. These separate compartments meant materials in various hazard classes could be stored in a warehouse in line with PGS 15 (CPR 15-2). The warehouse was also fitted with an automated HI-EX air foam installation inside and outside so that any emergencies can be brought under control quickly and efficiently. With only two per cent water in the foam, the risk of collateral damage to goods would also be minimised.