Tuning complex logistics centres

Eugen Trost GmbH & Co. KG, based in Fellbach near Stuttgart, deals with auto accessories and parts. Trost’s customers are primarily auto workshops in southern Germany. Trost guarantees an immediate delivery service through 7 branches and around 70 affiliates.

Initial situation

Trost had a new central depot in Uffenheim. Typical problems – for this situation – became evident after analysing the warehouse and observing the live operation:

• Problems remaining from the picking had not been systematically worked through, the day-to-day business always took precedence

• The organisational structure was not yet functioning: no routines, team-leader qualifications missing

• Training success was slow to take effect: recruiting, job shifting, changes in IT

• The productivity in incoming-goods, order picking and packing fell below expected levels

• Not all techniques and processes were running with sufficient stability

The requirements

In this precarious situation, Trost assigned viaLog with the tuning of the logistics centre. viaLog took on the project management and worked with all relevant parties in the warehouse.

Course of action

The first stage for viaLog was to check the organisational structure: Positions were filled, understudies named, routines defined, tasks and responsibilities determined.
In a second stage a rough reporting system was implemented (personnel planning, daily loads, productivity) which supported the operational business as regards performance and prognosis.
The third stage was the systematic working of the project in order to reach the targets of the tuning. By integrating all responsible technology and IT suppliers etc., more than 500 individual measures were defined, delegated, carried out and controlled.

Result

Following a five month long engagement by viaLog, considerable successes could be noted:

• The central depot’s productivity had doubled and continued to improve further.

• The central depot »functioned« correctly: no overcrowded areas, flexible personnel exchange between the teams, low error levels, foreseeable personnel planning.

The overall effect resulted in the desired customer satisfaction: The Trost retail units delegate more and more logistics demands to the central depot, lauding the delivery service and fusing the onsite assortment together.