www.ssi-schaefer.com
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www.ssi-schaefer.com
No. 27 Company magazine Cover story – E-commerce LOXXESS: Flexible fashion logistics 4 Healthcare Food industry RhönSprudel: Streamlined beverage intralogistics 8 Brocacef: 12 Automated A-Frame picking system for medicines www.ssi-schaefer.com Obituary Gerhard Schäfer 1924 – 2015 The managing shareholder of the SSI Schäfer group passed away unexpectedly on 19 July 2015 at nearly 91 years of age. He was one of a kind as an industrialist – a unique personality, a charismatic and unconventional leader who was not afraid to do the unexpected or go against the flow. He was at the helm of the company and guided its destiny for all of seven decades. Gerhard Schäfer was the first apprentice of the company established by his father in 1937. After his father’s untimely death in 1951, the four brothers Hans, Gerhard, Theo and Manfred Schäfer took charge of the company, leading it on an impressive path of development and diversification. The transformation of SSI Schaefer from a local manufacturer of stovepipes, transport and bottle cases into a globally operating enterprise in the fields of intralogistics and waste disposal systems bears Gerhard Schäfer’s personal signature. His entrepreneurial vision was not only the driving force behind the company’s early internationalisation but also made him recognise the trend towards automation in intra-logistics and act accordingly. For him, corporate strategy was not something you learn from a textbook – he had it in his genes. He always made decisions quickly and without hesitation. Above all, he knew how to say all there is to say in a short statement and make a powerful point along the way. As an industrialist he firmly believed in putting customer requirements first, he championed innovation and diversification, and he strongly advocated the company’s ‘one-stop shop philosophy‘. In Gerhard Schäfer we also lose somebody deeply marked by his origin and difficult youth. For him it was always the company that came first, never his personal status. He was always open to new ideas, direct and uncomplicated. Above all, he treated all human beings as equals. Gerhard Schäfer’s outstanding achievements as an industrialist shine brightly and are clear for everyone to see. As employees, we are proud and grateful that we were able to contribute our share. Now it is our duty and challenge to continue his life’s work in his spirit. Rudolf Keller CEO SSI Schaefer 2 Editorial Dear readers, Logistics is often accurately defined as being the art of ensuring “the right products are in the right place at the right time.” Logistics service providers have to a large extent fulfilled this basic requirement and to a high standard. As a result, customers are now turning their attention to maximising cost-effectiveness and speed. In other words, speed is key to competitive differentiation. We do not have control over long-distance shipments or traffic congestion. However, we can greatly accelerate the internal processes of transferring and picking goods. And we can do this by deploying smart technologies and efficient organisation. In this issue of Update, we highlight some examples of this approach in action. Rainer Buchmann Managing Director, SSI Schaefer, Graz, Austria Contents 4 16 E-commerce Cover story LOXXESS: Flexible fashion logistics Manufacturing Project Diesel Technic/ Blanco/Sarens Group Project RedMart/Suning 4 8 Food industry Project RhönSprudel/Refresco/ A.J & C.I Snell/ Royale Marine/Fonterra 8 12 Healthcare Project Brocacef/Attends/ Galexis/Dräger 15 Logistics service Project PKT/TransWest 18 Special feature Solution AGVs – Obstacle-free intralogistics 20 Inside SSI Schaefer Interview End-to-end expert advice Solution Cut & Weld containers in custom sizes, from standard parts News Intralogistics prize for Batch Pick’n Scan Sorter/VDI Award for 3D-MATRIX Solution®/Supply providers Chain Day 12 3 Cover story – E-commerce Flexible fashion logistics The SSI Schaefer conveyor system at LOXXESS’s logistics centre in Bor combines and streamlines automated and manual processes for both hanging and flat-packed garments. Bor, Czech Republic. LOXXESS’s sophisticated answers to e-commerce and mail-order logistics challenges continue to attract new customers to the medium-sized enterprise. The fashion label BON’A PARTE is just one example. LOXXESS built, and now operates, the Danish brand’s central warehouse for the European market – based in Bor, Czech Republic. In addition to storage and distribution, it has assumed responsibility for a number of additional customer-specific tasks. These include quality control, picking, and processing returns. SSI Schaefer implemented a state-of-theart conveyor system in the warehouse that can be used for both hanging and flat-packed apparel. 4 Every day, thousands of clothes packaged in cartons arrive at the 12 loading docks at LOXXESS’s warehouse in Bor, just a few kilometres from the German border. After being unloaded, flat-packed garments are sent on to one of 80 ergonomic workstations – where they are inspected, entered into the IT system, and put away onto modular shelving. Individual items for a particular order are picked from shelves using handheld RF terminals, put into containers, and conveyed via a belt system to one of 52 packing stations. Premium goods of high value are placed on hangers, and then attached to an overhead conveyor. Cover story – E-commerce Pin co nveyor or La dd er co nvey The blouses, trousers, coats and other items pass through a tunnel finisher, where they are steamed to remove any creases. Then, they are placed in protective garment covers and moved via an SSI Schaefer pin conveyor from ground level to a static storage area on the third floor of the warehouse. The pins, mounted on roller chains, are compatible with most standard retail hangers. SSI Schaefer also installed a single-item sorter to improve putaway for hanging garments. This exceptionally versatile ladder conveyor, which allows both manual and automatic loading and unloading of goods, can be easily and reliably operated and is remarkably quiet. A single order may comprise both hanging and flat-packed garments. The various picking zones are linked by conveyors. Moreover, the SSI Schaefer Warehouse Management System (WMS) manages the flow of goods to the packing stations. The main challenge was to implement a solution that delivered the flexibility LOXXESS needed. In particular, it had to combine manual and automated processes, and handle both hanging and flatpacked garments. The result is a modular solution that can be used to serve multiple businesses in the retail industry – and is a future-proof investment for LOXXESS and its customers. s for of tec hnolo gie ms A co mbinatio n flat-p ac ke d ite d an ing ng ha both 5 E-commerce Online grocery shopping ramps up intralogistics challenges How do you ensure the smooth operation of a fulfilment centre for an online retailer of fresh, packaged and frozen food, plus household goods? Working hand-in-hand, RedMart and SSI Schaefer came up with an answer. Singapore. RedMart, Singapore’s leading online food retailer, required a major intralogistics overhaul. Its operations were expanding rapidly, and it became clear that a move to a brand new storage facility was an urgent necessity. Moreover, its e-grocery business comes with a host of intrinsic challenges: a large number of SKUs that must be put away in a defined sequence, time-sensitive shipments, and perishable fresh foods, to name a few. Against this background, RedMart tasked SSI Schaefer with implementing an intelligent combination of storage and picking systems. The result is a 10,000 m2 state-of-the-art warehouse, specifically built for e-commerce orders. SSI Schaefer worked closely with RedMart to develop a solution that incorporates a variety of standard solutions to great effect. It includes pallet racking with 1,140 positions, and a twotier free-standing shelving mezzanine measuring 940 m2. Moreover, SSI Schaefer installed longspan racking totalling 1,000 shelves, plus live storage shelving with some 500 shelves for storing cartons. The warehouse is divided into four temperature-controlled zones: an approximately 22 °C room-temperature area, two cold rooms at Within the 6 first week of commis sioning, pi 7°C and 2°C, and a −18°C freezer store. These zones are linked to ensure productivity as the retailer grows. The warehouse’s configuration lets RedMart offer the largest selection of dry and fresh groceries in Singapore. Owing to its complexity, the project is being carried out in two stages. During phase one, RedMart can offer over 15,000 SKUs. After phase two, this will grow to more than 50,000. The warehouse’s layout has been planned carefully to increase storage density and streamline material flows. And RedMart is already noticing the difference: within the first week of operation, picking rates doubled. “RedMart’s vision is to become the world’s most customer-centric e-commerce platform. And efficient fulfilment and world-class infrastructure are key to achieving this goal. Online food retail presents a number of challenges, and we are pleased that we chose SSI Schaefer as our partner for racking. Their team played an important role in the design and implementation of the project, and the results exceeded our expectations,” states Vikram Rupani, Co-founder, COO and CFO at RedMart. cking rate s doubled. RedMar t st or in its 10,0 es fresh, packaged , and froze 00 m 2 war n foods, an ehouse. d hous ehold good s, E-commerce Suning Commerce Group and SSI Schaefer at the contract-signing ceremony in Nanjing, China, in January 2015. Enhancing multi-channel distribution SSI Schaefer has embarked on a large-scale project for China’s Suning Commerce Group. Nanjing, China. Suning Commerce Group is one of China’s largest private retail enterprises – but refuses to rest on its laurels. The Group’s new logistics centre, once completed, will provide storage for 1.5 million products, and will be able to process 1.8 million order items every day. The project is being carried out in two phases, due to its sheer scale. The Group started out as an electrical appliances retailer 25 years ago. Today, it leverages multiple distribution channels and offers a broad range of products – including electronics, office supplies, beauty products, clothes and food. Suning now aims to expand its portfolio to include express and value-added services. To meet the Group’s storage needs, SSI Schaefer is installing an automated small parts store with some 500,000 positions, an automated pallet storage system with 20,000 positions, and modular shelving with approximately 18,500 bays. Moreover, the SSI Schaefer A-Frame picking system significantly accelerates throughput for A-class items. To address Suning’s order-picking needs, SSI Schaefer will deploy the tried-and-trusted Schaefer Carousel System (SCS) – capable of storing and picking up to 350,000 items. High-performance pick-to-tote picking stations will be used to assemble orders from the SCS. As a result, Suning will be able to process orders quickly and flexibly – for both its e-commerce and bricks-andmortar retail business channels. The logistics facility also includes a pick-to-belt carton picking system, plus designated storage and picking areas for special items. Suning will leverage an SAP IT system for inventory management tasks, while SSI Schaefer WAMAS logistics software will be used to control equipment. SSI Schaefer will also install a powerful sorting system, including cross-docking functionality, for express packages from third-party providers. Once fully up and running, the system will be able to sort up to 32,000 packages every hour. In addition, the new logistics facility will include a returns centre, with a total of 46 workstations. Suning plans to incorporate 180 workstations into its large packaging area, where orders are prepared for shipment. These workstations will be specifically tailored to the needs of e-commerce. From here, each order will either be shipped straight away, or stored temporarily in an additional 20-carousel SCS before being sent as part of a consolidated shipment. In the latter situation, a sorter will divert each package to its destination, at a rate of 18,000 packages per hour. The goods are then loaded into lorries for delivery. Suning is expanding – and so is SSI Schaefer. The intralogistics specialist is extending its market activities in China. In addition to its presence in Shanghai, it now has a site in Nanjing. 7 Lebensmittel The high-rise racking comprises channels four units deep, with space for 9,384 euro pallets. WAMAS® streamlines beverage intralogistics SSI Schaefer has replaced RhönSprudel’s block storage warehouse with an automated high-rise racking system served by Orbiter® shuttles – without expanding the original building’s footprint. Ebersburg-Weyhers, Germany. Mineral water and soft drinks manufacturer RhönSprudel is located at the heart of the Rhön Biosphere Reserve in central Germany. Every year, the enterprise produces some 300 million units, including mineral water and soft drinks, in glass and in PET bottles that are reused or recycled. Previously, RhönSprudel stacked beverages in conventional block storage in a warehouse prior to shipment. The facility offered only limited space, and forklift traffic between loading ramps, the production department and storage was very high. RhönSprudel was ultimately forced to rent warehouses in the vicinity. However, this increased lorry traffic, raised logistics costs, and added complexity to its existing operation process. 8 It was clear RhönSprudel needed greater storage capacity, and more efficient goods flows. Thomas Storch, Head of Operations at RhönSprudel, explains the difficulties posed by the ensuing project: “It was a complicated undertaking. The former logistics building had to be dismantled, and the new high-rise solution had to be installed and integrated with neighbouring facilities and systems. These included peripheral buildings for production, storage, and shipping, plus existing equipment and pipes and ducts, for example, for water and power.” SSI Schaefer proved equal to these challenges. In just 12 months, the intralogistics expert dismantled the original facility, and replaced it with a three-aisle high-rise racking system, served by Food industry If a lorry is due to arrive in a particular timeframe, WAMAS provides information on which product, from which batch, and in what quantity, should be retrieved in readiness. “We originally planned to inThe automated racking for pallets is a channel stall gravity roller conveyors – however, the chosen storage system up to four units deep. In each of solution has the advantage that only those pallets the three aisles, a storage and retrieval machine – to be loaded onto the lorries are brought to the of the latest Exyz generation – transfers pallets de- shipping area,” notes Martin Keller, Project Manlivered by a conveyor system to designated chan- ager at SSI Schaefer, Giebelstadt, Germany. nels. SSI Schaefer Orbiter shuttle load-handling devices can carry pallets weighing up to 1,000 kg. As the system is designed to put away and retrieve nearly 100 pallets per hour, there is ample capacity to accommodate high stock turnover – for example during the summer season. Orbiter shuttles. The new system has 9,300 pallet positions, and connects the production department with the lorry loading area. Orbiter shuttle load-handling devices put away and retrieve goods. Moreover, SSI Schaefer’s WAMAS logistics software allocates and manages storage positions in the facility, and interfaces with the existing warehouse management system. Using WAMAS, the depth of items stored in the channel can be varied. This flexibility enables leftover items in a batch to be stored efficiently. In addition, a visualisation system provides staff with views of the entire plant, including individual conveyors, so they can manually intervene, if necessary. Exyz – an exceptionally energy-efficient storage and retrieval machine Exyz storage and retrieval machines (SRMs) are designed for high efficiency. They feature regenerative brakes as standard. Furthermore, an optional Green Logistics version allows for additional sophisticated hardware and software features. The machine is of lightweight construction, consuming up to 25 per cent less power than conventional systems. Moreover, it incorporates a counterweight in its mast to offset the lifting carriage. Via an intermediate circuit, energy recovered from braking actions is harnessed to power drives for both horizontal and vertical movements. This technology can cut the system’s electricity consumption by up to 20 per cent. In addition, by adjusting the SRM’s speed and acceleration in line with actual requirements, operators save even more energy, and minimise wear and tear. Refresco beverages to be stored via automated systems Grünsfeld, Germany. SSI Schaefer has been tasked with providing a state-of-the-art logistics centre for Refresco. The contract encompasses the logistics concept, the building shell and steel structures, and intralogistics systems, including high-rise racking, conveyors for pallets, and peripherals. In addition, SSI Schaefer will integrate system control software with the SAP ERP and warehouse management solution via an interface, and implement a visualisation system. A transfer bridge will directly link Refresco production lines with the high-rise racking, ensuring pallet transfer from bottling to logistics will be fully automated. Conveyors will also connect the racking with the shipping department, and with the external goods receiving area. The strapping of two Düsseldorf half pallets onto to a euro pallet after the bottling process, transfer to logistics, stock replenishment, and putaway are also fully automated. This solution will provide Refresco with more than 21,600 pallet positions, and ensure excellent efficiency – even during peak times. It also has capacity to support future business growth. As a result, the beverage producer will be able to increase its current annual output of over 1.6 billion litres of juice, iced tea, juice drinks, and carbonated products. Completion of the facility is slated for late summer 2015. The groundbreaking ceremony for Refresco’s new distribution centre in Grünsfeld. (Photo: Matthias Ernst) 9 Food industry Better for berries, better for business Hereford, United Kingdom. A.J & C.I. Snell is one of the UK’s leading fresh and frozen fruit growers. The family-owned and operated company tasked SSI Schaefer with supplying and installing a mobile pallet racking system for a new freezer store for berries. Established in 1989, the business produces an impressive 1,300 metric tons of strawberries, raspberries, blackberries and blueberries, plus a further 700 tons of blackcurrants every year. These are subsequently processed into juice, or individually quick frozen (IQF). A.J & C.I. Snell operates a state-of-the-art packhouse in addition to the new freezer store. As a result, the company is able to offer a variety of services, including blast freezing and puree production, as well as contract storage and packing for local farmers. Although A.J. & C.I. Snell’s core business is the supply of fresh fruit to supermarkets, the new freezer store enables the accumulation of stock for supply beyond the traditional growing season. Snell’s broad customer base includes a number of famous high-street names, such as M&S, Sainsbury’s and Tesco. Additionally, as the largest blackcurrant grower in the UK, it sells produce to Every year, 1,300 metric tons of strawberries, raspberries, blackberries and blueberries are harvested and frozen, or processed into juice. 10 food processing organisations, including Yeo Valley and Lucozade Ribena Suntory. SSI Schaefer was actively involved in sizing and designing the new freezer store from the very beginning. Bob Jane, Dynamic Systems Sales Manager at SSI Schaefer elaborates: “Although we regularly supply systems for use in temperature-controlled environments, this is the first time we have installed mobile pallet racking to efficiently store soft fruits.” The mobile pallet racking system holds up to 900 standard pallets. Additionally, the store has a free-standing area where bulky items can be stacked in Dolav boxes – meaning the facility can house a total of 1,000 pallets. This has multiple advantages, including greater storage capacity for frozen fruit and lower refrigeration costs. Co-owner Anthony Snell highlights the reasons behind the investment in the new cold store: “After considering a number of alternatives, we chose a mobile racking system because it provided us with the space efficiency required to minimise our freezer running costs. The building provides us with enough capacity to offer the benefits of cold storage to other organisations in the area who may be looking for a facility to store frozen produce.” Food industry SSI Schaefer mobile racking system for heavy loads ensures easy access to all products. Bapatla, India. In the south-eastern state of Andhra Pradesh lies the town of Bapatla, a short distance from the bountiful Bay of Bengal. It is home to Royale Marine, established in 2011, a company specialising in farmed shrimps. Its core business includes the procurement, processing, packaging and sale of this seafood to the global market – in line with national requirements and customer preferences. A wide variety of end-products are prepared on two state-of-the-art production lines. These include head on shell on (HOSO), headless shell on (HLSO), block frozen and individually quick-frozen (IQF) shrimps. Royale Marine has consistently invested in intelligent solutions and equipment in Keeping the shrimps cool Mobile racking safeguards quality and access order to fulfil international food standards, quality controls, and food safety requirements. Rapid, highly efficient production processes and an uninterrupted cold chain are vital to preventing frozen seafood from spoiling. With this in mind, Royale Marine decided to build its own purpose-built on-site refrigerated warehouse. The goal was to maximise usage of available space while ensuring unimpeded access to all products. SSI Schaefer mobile racking system addressed both these imperatives in full. It offers around 1,700 pallet positions, and has enabled Royale Marine to significantly increase picking rates and accelerate distribution. Moving dairy products with Orbiter® shuttles Heerenveen, the Netherlands. Fonterra’s new production plant in the Netherlands operates 24 hours a day, 365 days a year. It commenced operation in early 2015, and processes over 2 million litres of whey a day to manufacture 25,000 metric tons of powdered lactose and 5,000 metric tons of whey protein annually. These are subsequently utilised in the medical, pharmaceutical and food industries. Fonterra is a co-operative headquartered in New Zealand, but known worldwide for the production and export of dairy products. In the Netherlands, it required high storage capacity and high throughput, prompting it to opt for the SSI Schaefer channel storage system with Orbiter shuttles. The 2,475 m2 warehouse now offers 3,900 pallet positions. The lactose and whey protein products are efficiently stored in 100 channels, each 38 m deep and 5 tiers high. The Orbiter shuttle system reliably stows and retrieves pallets at a speed of 1 m/s. A warning light indicates when a shuttle is active within any given channel. Pallets, docking stations and Orbiter shuttles can be easily moved into and out of the channels by forklift. And there is no need to replace shuttle batteries thanks to innovative power cap technology. Dairy products can be efficiently stored in 100 channels, each 38 m deep. Healthcare SSI Schaefer’s A-Frame picking systems are a fully automated solution for assembling complex orders rapidly and reliably. Available in a variety of designs, they are suitable for low, medium and high-turnover items. A fully automated A-Frame picking system for medicines Eindhoven, the Netherlands. Brocacef’s new distribution centre lies just a short distance from Eindhoven Airport, in the south of the Netherlands. Built in 2014, the 10,000 m2 warehouse supplies medication to pharmacies, hospitals, and other establishments. Brocacef processes 35,000 order items every day in Eindhoven. With this in mind, SSI Schaefer opted to automate picking processes to the highest degree possible, and to introduce stackers and a conveyor system for moving cartons and containers. As in the Amsterdam facility, A-Frame automated picking systems were implemented for high, Brocacef, a pharmaceutical retailer and distributor, medium, and low-turnover items – creating storage has grown by leaps and bounds in recent years. for a total of 3,000 SKUs. As a result, its original warehouse had reached the limits of its capacity – but was not suitable for However, the decision to construct a new wareexpansion. Moreover, utilising additional storage house was not only influenced by the need for space at Brocacef’s Amsterdam distribution centre greater capacity. Recently, Brocacef has increaswas not an option. Against this background, the ingly focused on central filling for repeat prescriptions. Within the scope of this approach, Brocacef business decided to construct a new warehouse. includes a label with patient information with the Brocacef tasked SSI Schaefer with providing medicines being shipped – a process otherwise the facility’s intralogistics systems, including performed by individual pharmacies. Brocacef’s solutions for slow to fast-moving items, and for new distribution centre helps the enterprise offer products of varying sizes. SSI Schaefer installed these central filling services. a 2,800 m2 free-standing mezzanine for storing slow-movers – plus pallet racking with wire mesh panels, live racking, and modular shelving, for storing small to medium-sized SKUs. In addition, a special, water-tight PVC covering was placed on the warehouse floor. 12 Healthcare A one-stop, fully automated solution SSI Schaefer has combined a new high-rise racking system, end-to-end conveying technology and WAMAS® logistics software to create a comprehensive, one-stop solution. Aneby, Sweden. Change is afoot in the Swedish province of Småland, best known as the backdrop to Astrid Lindgren’s popular children’s stories. Acquired by USA-based Domtar Personal Care in 2012, Swedish enterprise Attends, located in the city of Aneby, is one of the world’s leading manufacturers of medical hygiene products, babies’ nappies and incontinence products for adults. Due to rising demand and business growth, the company decided to add two production lines to its existing eight in its 42,000 m2 manufacturing facility. For the first time in its history, Attends opted for a fully automated logistics solution – and tasked SSI Schaefer with its implementation. “We were up against extreme time pressure and were working right through the cold Swedish winter. So it was a challenging project that demanded a high level of commitment from everyone,” explains Anders Bohlin, SSI Schaefer Sales Manager for Northern and Eastern Europe. SSI Schaefer delivered a one-stop solution – assuming responsibility for everything from the logistics concept and project planning to development of a turnkey five-aisle highrise racking system with 19,100 pallet positions. The entire solution is integrated with the production department. Furthermore, SSI Schaefer logistics software WAMAS is now the IT backbone for inventory management, process control, material flow management and system visualisation. The Aneby site houses 220 SKUs, totalling 45 million individual items. On the factory floor, robots compile single-SKU pallets. These and pallets containing a mixture of items are transferred to the highrise racking system via a conveyor to be put away and removed using energy-efficient Exyz storage and retrieval machines. “When it comes to handling fully laden pallets, this is certainly one of the most advanced intralogistics solutions in Sweden,” says Dag Sjökvist, Attends Technology Manager in Aneby. To ensure products are ready for shipping at the right time, WAMAS initiates and manages the retrieval of pallets from the high-rise racking system and coordinates conveying to the shipping area. Currently, 25 fully loaded lorries leave the Aneby site every day. However, this figure is set to rise to 45 in the near future, nearly doubling previous throughput. Pallets for putaway are transferred to the Exyz storage and retrieval machines in the high-rise racking system via dedicated transfer stations. 13 Healthcare New automated small parts store accelerates medicine delivery son with distribution centres across the globe. SSI Schaefer is contracted to implement a second automated small parts store for double-deep storage – including a logistics concept, storage and retrieval machines, approximately 4 km of container conveyors with double destackers and around 85,000 containers. SSI Schaefer is implementing a second automated small parts store for Galexis – including storage and retrieval machines, a control system, container conveyors and approximately 85,000 containers. The Schaefer Miniload Crane (SMC2 XL) storage and retrieval machines feature two telescopic fork load-handling devices that can put away and retrieve 125 units per hour – or perform both actions in a single operation 43 times per hour. The machines automatically deliver replenishments for order picking from live storage. The orders are then picked manually at 33 workstations, as part of a paperless process designed in line with the goods-to-person principle. Niederbipp, Switzerland. Galexis, a major player in the healthcare market, has tasked SSI Schaefer with expanding its pharmaceuticals distribution centre in the Swiss town of Niederbipp. The facility is the most advanced of its kind in the Swiss healthcare industry and stands compari- Completion is slated for mid-2016. The new small parts store will enable Galexis to increase throughput at the Niederbipp facility to 4,000 containers per hour – a rise in output of around a third. Combining production and Kanban delivery from a single source Lübeck, Germany. Dräger, a manufacturer of medical products and safety equipment, is planning to consolidate its manufacturing and logistics operations at a single site in Lübeck, Germany. By doing so, the company aims to accelerate its production processes, reduce inventory size and cut costs by eliminating the need to transfer materials between multiple plants. As Holger Völkel, who heads Dräger’s manufacturing logistics team in Lübeck, explains, “As part of our ongoing ‘factory of the future’ project, we aim to ensure that our manufacturing and logistics processes are truly interconnected. In concrete terms, our goal is to supply production staff with the materials they need within two hours of them submitting their requirements.” SSI Schaefer is teaming up with Dräger to establish a logistics centre that will combine production and Kanban delivery. The scope of services includes an automated small parts store with 120,000 storage positions, plus seven container storage and retrieval machines (SRMs) and automated high-rise racking with 6,500 euro pallet positions. This warehouse will be served by energy-efficient Exyz SRMs. Moreover, the facility will feature user-friendly workstations that will be connected to the small-parts store via a container conveyor or to the high-rise racking via a pallet conveyor in line with the goods-to-person principle. SSI Schaefer’s WAMAS logistics software will streamline all warehouse and material flow process management tasks. The intralogistics specialist will construct the new facility without interrupting ongoing operations. 14 A 3D illustration of the planned logistics centre at Dräger’s site in Lübeck, Germany. Logistics service providers One success leads to another, and another PKT’s One Logistics Hub centre now has a storage capacity of some 55,000 pallet positions. Klang Valley, Malaysia. PKT is at the forefront of supply chain management. The medium-sized enterprise has strong national and international operations, offering end-to-end logistics solutions for freight forwarding, customs brokering, contract logistics, haulage and distribution management. 720 bays for spare parts – for big-name players such as Volvo, Naza KIA and Mazda. PKT was impressed by SSI Schaefer’s highly professional approach in this first phase, and gave the green light to continue on to The Wave. The second phase involved racking in single and double-deep configurations, offering a total of 35,000 pallet posPKT constructed its new 109,000 m2 One Logis- itions for fast-moving items. In the final project tics Hub in Klang Valley, Malaysia. The centre stage, The Lighthouse was equipped with a varcomprises three warehouses, named The Ship, iety of shelving systems for storing spare parts for The Wave and The Lighthouse. It features intra- A.Sonic, Volvo, Nasim, Mazda, Citroen and Naza logistics solutions from SSI Schaefer. KIA. Combined, the warehouses house approximately 55,000 pallet positions. This large-scale project began with The Ship, where SSI Schaefer installed racking with some On the heels of its One Logistics Hub success, 13,000 pallet positions, plus a three-tier mezza- SSI Schaefer has been contracted to supply and nine with a modular shelving system comprising install solutions for other PKT storage facilities. Sub-zero storage solutions nv Oostkamp, Belgium. Mobile pallet racking from SSI Schaefer can be deployed in extremely harsh conditions, including sub-zero temperatures. The systems are ideal for businesses like TransWest, which stores and distributes chilled foodstuffs. The Belgian company enjoys an excellent reputation, and has operations in Benelux, Germany and France. are then stored at TransWest’s freezer warehouses at −22°C until, at the customer’s request, they are shipped to their final destination. Where necessary, it is possible to pick individual cartons for a customer order. TransWest wanted to increase its storage capacity by raising the number of pallet positions. It contracted SSI Schaefer to install mobile racking, TransWest has five cold storage warehouses in primarily for frozen meats and vegetables. The Oostkamp, with combined capacity for 25,000 solution has not only added 10,000 pallet poseuro pallets. Loaded pallets are collected directly itions – it saves a great deal of space, cutting the from the customer’s production plant. The goods original storage system’s footprint by 44 per cent. 15 Manufacturing Faster, better picking of spare parts SSI Schaefer has successfully restructured Diesel Technic’s intralogistics in Dubai. Dubai, UAE. Within the scope of a large-scale project, Diesel Technic tasked SSI Schaefer with consolidating its existing warehouses to create a single, central distribution centre. The new facility is used to supply parts to customers across the Middle East and Africa. in the automotive industry; as a result, Diesel Technic sought a storage solution that would guarantee access to all products, at all times. The solution by SSI Schaefer comprises high-rise racking with a very narrow aisle (VNA) configuration for heavy large and medium-sized items, plus Diesel Technic was founded in 1972 in Sulingen, a modular shelving system for small parts. The in northern Germany. Today, the Diesel Technic racking is almost 15 m high, and has 12,200 Group is one of the largest suppliers of spare pallet positions. In combination with the modular parts for the independent automotive aftermarket storage system’s 9,600 shelves, this maximises (IAM). The company’s experience and skills and usage of both horizontal and vertical space. reliable end-to-end services are valued by distriThe project has improved Diesel Technic’s time bution partners in over 140 countries. management and enables greater precision. As Diesel Technic’s goal for the new distribution cen- Michael Reuschel, Warehouse Operations Mantre in the free economic zone (FEZ) of the port of ager at Diesel Technic, explains, “The new wareJebel Ali in Dubai was to improve picking accur- house is tailored to meet our specific needs – and acy and speed – by installing best-in-class stor- lets us make best possible use of our resources.” age solutions. Demand for spare parts runs high Top image: The new, central Diesel Technic logistics centre in Dubai enables the company to supply parts to customers across the Middle East and Africa. The high-rise racking is 15 m tall and has 12,200 pallet positions. When combined with 9,600 modular shelves, this makes maximum use of both horizontal and vertical space. 16 Manufacturing SSI Schaefer expands Blanc o’s logistics ce (Photo: Blanc ntre o) by adding high-r ise racking. Symbolic key handover for high-rise storage Precisely one year after construction began, the fully automated high-rise storage system for Blanco’s Bruchsal logistics centre has been completed. Bruchsal, Germany. The new high-rise storage system for Blanco, a specialist in kitchen sinks and mixer taps, has been successfully completed and commissioned. In a special ceremony, SSI Schaefer Project Manager Ingo Wunder symbolically handed the key to the facility to Mathias Rüdele, CEO, Blanco logistics center. Furthermore, Jürgen Kalkenbrenner, Head of Automated Systems at SSI Schaefer gave a speech celebrating the companies’ positive and effective partnership. The high-rise system was built on a 4,300 m2 footprint. Its approximately 18,000 pallet positions are seamlessly linked via a conveyor sys- Symbolic key handover: from left: Ingo Wunder, Project Manager at SSI Schaefer, Mathias Rüdele, CEO, Blanco logistics center, and Jürgen Kalkenbrenner, Head of Automated Systems at SSI Schaefer. (Photo: Blanco) tem to the receiving and picking departments. Four energy-efficient Exyz storage and retrieval machines (SRMs) put away and retrieve pallets. SAP WM software is employed to perform warehouse management tasks and to control material flows via the SRMs and conveyors. “The cutting-edge technology used for the new, fully automated high-rise racking system and the expansion of the picking department dovetail neatly with existing processes. The end-to-end logistics solution SSI Schaefer implemented provides us with exactly the flexibility we need – and with the ideal conditions to meet future requirements,” emphasises Rüdele. Keeping small parts in easy reach Brussels, Belgium. The Sarens Group is a major international player in the rigging and transport of exceptionally heavy equipment, with over 4,200 employees and operations in more than 60 countries. The enterprise prides itself on its commitment to safety, innovative solutions and operational excellence. Parts warehouse for maintenance work on cranes and special-purpose vehicles. The facility includes a mezzanine with modular shelving and containers for the storage and order picking of small items. Sarens contracted SSI Schaefer to install advanced intralogistics systems in its warehouse in Wolvertem, just north of Brussels. The facility, which stores parts for maintenance work on cranes and special-purpose vehicles, was completely restructured. In addition to a mezzanine with modular shelving for small parts, SSI Schaefer provided plastic containers for storage and order picking. The solution has doubled capacity. Moreover, it enhances efficiency by making full use of the warehouse’s height. “Sarens is constantly looking for the safest and most efficient storage solutions for our business’s unique operations. SSI Schaefer offered us exactly the right combination of shelving and containers and successfully completed the installation work. We are pleased with the results and enjoyed working with SSI Schaefer,” notes Patrick Thomas, Category Manager at Sarens. 17 Special feature AGVs – obstacle-free intralogistics SSI Schaefer is broadening its portfolio with AGVs suitable for diverse loadhandling devices and capable of performing picking tasks. Giebelstadt, Germany. Demand for flexible, automated guided vehicles (AGVs) is growing across multiple industries. Companies often want to create better links between existing processes through semi-automation – for example, to better connect storage with production and shipping. AGVs are often introduced to existing storage environments. As a result, capital expenditure is generally within SME budgets. In intralogistics, speed, accuracy and flexibility are key. Customers are looking for greater throughput and lower inventories. And they need greater responsiveness to changes in terms of timing, volume and delivery destination. AGVs are often the answer to these challenges. In scenarios where SKU movements are highly standardised, AGVs can be deployed to automate processes, without the physical obstacles and inflexible use of space associated with fixed conveyor systems. In other words, AGVs bridge the gap between forklifts and conventional storage and conveying systems. AGVs for automated pallet transfer Norway; Vietnam. Tine SA, Norway’s largest producer, distributor and exporter of dairy products, operates a temperature-controlled logistics centre with fully automated processes. For example, as part of the material flows management system, AGVs connect the production department with the logistics centre. The laser-guided robots move pallets to transfer stations prior to putaway; the pallets are then stowed in highrise racking in a channel storage system. In addition, SSI Schaefer has worked with Vinamilk, Vietnam’s leading dairy product manufacturer, to create the country’s most advanced logistics centre, in the southern province of Binh Duong. AGVs deliver pallets from production to areas across the warehouse. At Tine, AGVs convey pallets intended for putaway from the production department to the neighbouring logistics centre. 18 The distribution centre for Norwegian logistics service provider Vectura AS also features state-of-the-art automation. At the Gjelleråsen production site near Oslo, AGVs use laser navigation to convey pallets across the warehouse – without the inflexibility and obstacles created by fixed conveyor systems. The robots transfer pallets from a filling system to an electrified monorail, which serves storage and picking zones throughout the facility. Special feature AGVs navigate via optical or laser guides or sensors. By employing cutting-edge technology of this kind, they ensure outstanding safety, reliability and precision. Moreover, they lower operating costs and enhance efficiency. Solutions of this kind enable a high degree of automation, reduce damage to conveyed items and eliminate many manual tasks. Additionally, they can be deployed in worker-unfriendly environments, for example, in freezer warehouses. SSI Schaefer now has a majority holding in the Belgian AGV designer and manufacturer MoTuM – broadening the existing portfolio to include larger AGVs. The vehicles are equipped with a fork or elements suited to carrying pallets and trollies. They mean greater flexibility for transferring, putaway and picking. Expanding AGV usage to include picking goes hand-in-hand with a focus on swarm intelligence and decentralised control. Swarm intelligence enables individual vehicles and devices to communicate with each other to create a complete, coordinated system. SSI Schaefer has a complete offering in this field, including fleet controllers for traditional conveying tasks, on-board computers and swarm intelligence solutions. The enterprise has already completed a number of major AGV projects all over the world – examples that attest to the versatility of this technology in a variety of scenarios. How does swarm intelligence work? Within swarm intelligence, vehicles operate independently instead of relying on continuous signals from a central control system. The individual AGVs communicate with each other to coordinate availability, routes and order prioritisation. Because of their decision-making ability, the vehicles are able to move freely within the warehouse, navigating via sensors and reacting to unforeseen events and obstacles. Deploying this type of technology opens up new opportunities in intralogistics. Conventional AGVs are employed for simple transfers, and for connecting storage systems with the point of need. Swarm intelligence opens up the scope of application to include picking, putaway, staging, sorting and sequencing. Made-to-measure AGV solutions from MoTuM France; Belgium; USA. SSI Schaefer and MoTuM have completed a number of major projects that see the implementation of AGVs to transfer pallets. For example, Longchamp, a French fashion accessories company, previously used eight standard forklifts in its logistics centre. MoTuM converted the machines to self-driving operation, including swarm intelligence. Moreover, MoTuM designed and manufactured 15 custom-made AGVs for Belgian transport and logistics service provider 2XL. Managed via a central control system, the devices take the shortest routes to transfer goods throughout the facility. SSI Schaefer’s 2Lite® maintenance-free battery solution provides the power required to ensure smooth, 24/7 operations while transferring over 366 pallets an hour. MoTuM’s AGVs, tailored to the customer’s specific needs, are also deployed in a pharmaceutical company in the USA. AGVs transfer pallets at Belgian transport and logistics service provider 2XL’s facility. 19 Inside SSI Schaefer End-to-end expert advice Andreas Hampe, Director, SSI Schaefer Business Consultancy Customers turn to SSI Schaefer for the supply and installation of tailor-made intralogistics systems. But not only that, an increasing number are also looking for expert advice – both before and after implementation. Early this year, SSI Schaefer created the Business Consultancy Group to meet this growing need. Andreas Hampe provided us with insights into the work of this new organisational unit. The Business Consultancy Group was established early this year. Could you tell us something about your service portfolio and your team? The idea for the Business Consultancy Group has been gestating for some time. The goal was to provide our customers with comprehensive value added advice. A typical logistics investment can easily run into eight figures and calls for more than just excellent project management. Our role is to take a look at the bigger picture, at all aspects of the project. We have established a core team that provides the customer with support across a variety of areas where we have extensive hands-on experience: process and material flows, and IT to name a few. And for longer-term deployments, we can call on other specialists, both within our own organisation and beyond. What kind of customers do you serve, and what are they looking for? Primarily, we help our existing customers by analysing the equipment and processes they have in place, and proposing ways of improving and streamlining them. At a later stage, we can advise and assist them with the implementation of agreed changes. We support new customers with expertise on the commissioning phase and on change management for new logistics processes. In this regard, we focus on SSI Schaefer core industries, including retail, automotive, food, manufacturing and increasingly e-commerce. What do you offer that goes above and beyond conventional project management? Project management concentrates on the efficient organisation and smooth execution of the agreed tasks. But we have observed that, unfortunately, the wider context of the logistics project is frequently neglected. To resolve this situation, Business Consultancy Group addresses issues such as change management, preparing staff for implementation, relocation, commissioning and all related topics. We are able to apply our entire skillset to offer our customers an end-to-end package. What does that mean in concrete terms? Our clearly defined goal is to offer our customers significant value added service. We begin analysing the current situation, either prior to installation or later, when the system is already up and running. We then draw up an action plan, and present it to the customer‘s project team. Hand-in-hand with that team, we agree on the details of the proposed activities and then put them into practice. 20 Inside SSI Schaefer Cut & Weld containers in custom sizes, from standard parts Thomas Jettkant, Head of Sales, Customised Packaging, at SSI Schaefer explains, “We manufacture Cut & Weld containers with unique dimensions for customers whose products do not fit in standard euro or modular sizes.” Neunkirchen, Germany. SSI Schaefer boasts a broad portfolio of containers and inserts. These products come in various dimensions and materials and are tested to ensure robustness, reliability and durability. In addition to injection-moulded products, SSI Schaefer offers Cut & Weld containers in sizes tailored to customers’ specific needs. Customer-specific – Customers choose from popular, standard containers. These are then manufactured to defined dimensions using hot-plate (sometimes called mirror) welding. Segments from standard sizes, and single or multiple containers, are combined as needed to make the new tailored solution. Moreover, using a template, the container can be easily reproduced. Versatile – The Cut & Weld containers are made of polypropylene. This thermoplastic polymer is extremely durable and resistant to nearly all solvents and fats, and to most acids and alkalines. The proven material is odourless and skin friendly. As a result, Cut & Weld containers can be leveraged for a wide variety of tasks across multiple sectors, including electrical engineering and the automotive industry. Robust – Despite being welded from multiple parts, the containers are exceptionally strong with a load capacity of up to 600 kg. The seams of the Cut & Weld products have approximately 90 per cent of the strength of those on a standard container. Customisable – Customers can choose the colour of their Cut & Weld containers. In addition, they can have their name, logo or another identifier affixed via hot stamping or compression moulding. Depending on the cut, the final product can also feature a label holder. SSI Schaefer Cut & Weld containers are made-to-measure for each customer. Standard containers are cut, and their parts welded, to create a tailored and exceptionally cost-efficient solution. Cost efficient – Because Cut & Weld containers are long-lasting and made from standard products, they offer customers an excellent, costeffective solution. Cut & Weld – The approach creates containers that are geared to a unique task, yet are fully reusable. They can be employed for products Using hot-plate welding, segments from standard sizes, and single or multiple containers, are combined as needed to make a new, tailored solution. that, because of their size, were previously packed with the help of fixes like cardboard or foil -which are at best recyclable, but rarely re-usable. Now these goods can be stored in robust, long-lasting plastic containers. 21 Inside SSI Schaefer Batch Pick’n Scan Sorter wins intralogistics prize Graz, Austria. A panel of scientists, industry experts and journalists from Initiative Mittelstand (an association designed to promote SMEs) and Huber Verlag für Neue Medien (a specialist IT publisher), has honoured the SSI Schaefer Batch Pick’n Scan Sorter with a special award, the Industriepreis – for the most innovative solution in intralogistics and production management. This accolade recognises pioneering work on the part of SMEs in manufacturing in German-speaking countries. Rainer Buchmann, Managing Director at SSI Schaefer, Graz, with the award for the intralogistics and production management category. Dr Willibald Günthner (member of the board of VDI-GPL), Rudolf Keller (Managing Director, SSI Schaefer Holding), Elmar Issing (Director, Business Solutions Group at SSI Schaefer) and Gregor Blauermel (Managing Partner of B416 Unternehmensberatung, a consulting company) at the award ceremony (from left). VDI award for 3D-MATRIX Solution® Giebelstadt, Germany. The SSI Schaefer 3D-MATRIX Solution, a dynamic storage and picking system for containers, cartons, trays, layer trays and pallets, has received the VDI innovation award for 2015. The accolade was presented at the 24th German Material Flows Conference in Garching, Germany, just north of Munich. The Batch Pick’n Scan Sorter is a new, modular solution that greatly enhances productivity and efficiency when receiving goods, managing returns and sorting goods by orders or shipping destinations. Barcodes can be read automatically from six sides, so products are quickly and accurately identified before they are sorted – with a throughput of 4,500 items per hour. “Conventional horizontal sorters require a lot of room. In contrast, the Batch Pick’n Scan Sorter makes the most of available space; empty bins are suspended from an overhead conveyor. As a result, the solution reliably captures product information and sorts items, including very small SKUs, with a much smaller footprint than other sorter systems,” explains Rainer Buchmann, Managing Director at SSI Schaefer, Graz. By winning the prize, SSI Schaefer has also been placed on a list of best manufacturers for 2015 (INDUSTRIE-Bestenliste 2015). 22 The award from the VDI (German Association of Engineers) honours new logistics developments that streamline completion of complex orders and excel in terms of reliability and availability. “The judges selected SSI Schaefer’s entry as the most innovative solution with key benefits for logistics,” emphasised panel chair Dr Willibald Günthner during his prize-giving speech. Dr Günthner is a professor at TUM (Technical University of Munich), and a member of the board of the VDI Society for Production and Logistics (VDI-GPL). The SSI Schaefer 3D-MATRIX Solution revolutionises warehouse organisation by introducing an additional dimension. Machines transferring, putting away and retrieving goods operate independently and simultaneously in the x, y and z axes. This technology enables access to every item in storage, at any time, without compromising performance. This means putaway, picking, staging and sequencing tasks can be performed by a single system. Rudolf Keller, Managing Director, SSI Schaefer Holding, and Elmar Issing, Director, Business Solutions Group at SSI Schaefer, accepted the award. Inside SSI Schaefer Supply Chain Day at SSI Schaefer a resounding success Visitors got up close and personal with logistics at SSI Schaefer’s sites in Betzdorf, Bremen, Burbach, Dortmund and Giebelstadt, Germany. Some people may think logistics is a niche topic of little interest to the general public – but they should think again. Because large numbers of logistics fans, experts, school pupils, students, graduates, former and current employees, and their friends and neighbours took part in Supply Chain Day at SSI Schaefer. Five German sites opened their doors, inviting guests to tour warehouses, visit the technology centre, listen to experts’ presentations and explore the worlds of logistics and storage, plus learn about career and training opportunities in the field. 300 visitors to our logistics centres alone,” said Klaus Loerzer, Managing Director, SSI Schaefer Dienstleistung. “We were delighted to see such a good turnout and large interest in our industry.” Visitors to Burbach and Betzdorf gained insight into entire logistics processes – from order intake to ready-to-ship goods. Andreas Oy, Global Sales Manager, and Toralf Langner, Sales Manager for Standard and Catalogue Business, both at SSI Schaefer, are members of their local German Logistics Association (BVL). In collaboration with the organisation, Oy and Langner were responsible for arranging the events at SSI Schaefer. “The response was so positive,” explains Langner, “that we plan to make our The event aimed to increase public awareness Supply Chain Day a firm fixture on SSI Schaefer’s and interest in the topic of logistics and present calendar of BVL events and activities.” SSI Schaefer as an attractive, modern employer. “Supply Chain Day was a resounding success, with At the SSI Schaefer technology centre in Giebelstadt, guests experienced fully automated picking solutions, ergonomic workstations and warehouse systems in action. 23 Increase warehouse efficiency with the right software At SSI Schaefer, over 700 IT specialists combine their skills to analyse and streamline your warehouse processes. For both existing and future storage systems, functionality-rich solutions are available that can be seamlessly integrated with your intralogistics hardware. Our WAMAS® software and SAP logistics modules control, enhance and monitor storage facilities in many industries. About update Published by (responsible for content): SSI SCHÄFER / FRITZ SCHÄFER GMBH • Fritz-Schäfer-Strasse 20 · 57290 Neunkirchen/Germany Public Relations / editorial team: Angelina Kuhn – email [email protected] www.ssi-schaefer.com SSI SCHAEFER LTD. 83/84 Livingstone Road · Walworth Industrial Estate · Andover, Hampshire SP10 5QZ, UK · Phone +44 / 12 64 / 38 66 00 · email [email protected] update en/uk 0831-092015-w 16/112015 Printed in Germany by Griebsch & Rochol • © SSI SCHÄFER • Products featured in articles may be subject to change and technical modification. Errors and omissions excepted.