Outsourcing the warehouse and reorganisation of transport

Leunisman GmbH is a leading large scale printer for advertising and packaging. Their clients, the branded products industry in Germany and Europe, are served from the company’s shipping depot in Hannover.

The requirements

The finished products warehouse was to be handed over to a logistics service provider as the production required more space and an extension to the premises was not possible. Parallel to this the transport streams of the distribution were to be analysed with a view to reducing costs.

The targets and parameters

• Which assortments and which tasks should be taken over by Third party?

• Is the contracting out economical, will costs go down?

• Which is the most suitable service provider?

• How many logistics service providers should be engaged?

The solution

The stock of the finished products was handed over to a logistics service provider. A small product assortment remained at Leunisman as these goods required specialised handling. The service provider took over the functions of storage, picking and the processing of returned goods. A remote data transmission system was introduced for the communication (order data, warehouse management, inventory) between the service provider and Leunisman.

In the transport sector new conditions were agreed for 85% of the outgoing tonnage. This provided increased transparency for Leunisman and reduced the transport costs by 25%!

Through the allocation of warehouse management and transport to a service provider a considerable reduction in costs could be achieved. Additionally, an upwards growth in production over years could be guaranteed.

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