INNOVATION IN WAREHOUSING AND SUPPLY CHAIN

Albert Vidal
Software Business Unit Director

Rev. 02, Sep 2019

Quick facts about Mecalux

HISTORY COMPANY PRODUCTION

Backed by a solid Among top companies in 11 production plants in
company with more than 50 warehouse management 6 countries
years of experience.

CENTRES EMPLOYEES SOFTWARE

4 technological centres 4,000+ 1,000+ warehouses managed
by our software

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Mecalux around the World

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A single provider for all warehouse needs

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 Markets change and businesses
need to evolve.

Logistics need to adapt to new

scenarios and warehouses play a
centric role.

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Warehouse operations might seem trivial

INBOUND PUTAWAY WAREHOUSE SHIPPING

• RECEPTIONS • LOOSE STOCK PUTAWAY • REPLENISHMENT • PICKING

• RETURNS • CONTAINER PUTAWAY • COUNTS • LOADS
• ADVANCE SHIPPING • ADJUSTMENTS • WAVES
NOTICE • KITTING • CROSSDOCKING
• QUALITY CONTROL

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Badly managed warehouses become extremely inefficient

DISORGANISED CHAOTIC UNNECESSARY FREQUENT

WAREHOUSE OPERATIONS STOCK COUNTS STOCKOUTS

IMPRACTICAL INACCURATE ORDER PREPARATION LATE ORDER

TRACEABILITY PRODUCT ROTATION ERRORS DELIVERIES

€
NO INTEGRATION INCREASE IN INCREASE IN SICK HIGH EMPLOYEE
WITH ERP OVERTIME WAGES LEAVES TURNOVER

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Digital systems help improving physical warehouses

Physical
warehouse layout
1 and operations

Optimisation and
improvement
4 actions Digital modeling
of warehouse
and operations in
2 Easy WMS

Warehouse
operations and
3 KPIs tracking

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Key stakeholders of a Warehouse Management System

WAREHOUSE STAFF WAREHOUSE MANAGER SUPPLY CHAIN MANAGER

• Task guidance • Workflows • KPI control
• Time optimisation • Space optimisation • Decision making
• Error reduction • Monitoring and improvement • Cost efficiency

WAREHOUSE MANAGEMENT SYSTEM

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Why to invest in a WMS?

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 It is not about just deploying a
software, it is about transforming a
business.

Real case scenarios.

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Order and cleanup

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Space optimization

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Areas definition: quality control, crossdock, returns

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Functional workplaces

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Communications, processes, training.

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 WMS implementations difficulty
depends on complexity of
warehouse operations

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Different complexity, different WMS requirements

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 From small and simple warehouses
to large and complex warehouses.

Some cases.

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Enabling a 42% CAGR over a 7-year period
Case Study I: Tradeinn.com

Initial scenario: Limitations to business growth:

• Online sports apparel, growing startup: • Non-scalable e-commerce operations:

- 300,000 customers
- 100,000 SKUs
- <1,000 daily orders
- 3,000 sqm warehouse
- 1 physical store
- Unable to manage stock in heavy flash sales
- Inefficient picking, packing and shipping
- Mismatch of shipped and website items
• Unable to manage omnichannel warehouse operations:
- Ineffective order prep from stock or cross-docking
- Deficient stock management and replenishment in physical stores

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From small and simple to large and complex
Case Study I: Tradeinn.com
2012 2013 2014 2015 2016 2017 2018

~8x revenue growth

€18M €24M €32M €50M €75M €120M €140M

3,000 m2 warehouse + 1 store 7,500 m2 warehouse + 1 store 15,600 m2 warehouse + 2 stores

<1,000 daily orders 1,000 daily orders 2,000 daily orders 2,500 daily orders 5,000 daily orders 5,500 daily orders 7,500 daily orders
300k customers 530k customers 900k customers 1.3M customers 2.5M customers 2.5M customers 2.5M+ customers
100k SKUs 150k SKUs 550k SKUs 600k SKUs 650k SKUs 700k SKUs 1M SKUs

Warehouse expansion Warehouse expansion

& new shop

First implementation
2 new 4 new 8 new 4 new
capabilities capabilities capabilities capabilities

6.4x orders

36,219 monthly 232,730 monthly

orders (lines) orders (lines)

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Feeding and storing goods in a fast-paced production line
Case Study II: Michelin
Initial scenario:
• Obsolete existing warehouse:
• Limited storage space
• Increasing production
• Inefficient stacking storage
• Situation:
• Michelin’s Group internal competition for a new
production line against another plant in Poland.
Warehouse efficiency was key for decision makers.
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Customer objectives:
• New warehouse to increase their storage space
• Adaptability to store non-standard metal containers
• Integration with production plant’s existing systems
• Control of all the warehouse operations, integrating
manual and automated
• 24/7 operations with high downtime costs
• Handle up to 240 containers/hour
• Increase capacity by 4,600 containers
Path to Michelin’s most efficient warehouse in Europe
Case Study II: Michelin

Vitoria plant added new production line to increase its “Now, we can store the goods from the production lines
output by 20%, thanks to having an automated and, also, supply the dispatch docks faster”
warehouse.1
Antonio J. García-Montalvo, Michelin project manager
spri.eus

“the WMS of Mecalux communicates with BSM, Michelin’s IT system, through an interface. This interface has been
developed during trials run in Mecalux’s offices, at our headquarters in Clermont-Ferrand and the Vitoria plant. Overall,
the objective is to guarantee that the synchronisation of both systems runs smoothly”
Antonio J. García-Montalvo, Michelin project manager

https://www.spri.eus/invest-in-basque-country/en/news/michelin-to-invest-e80-million-in-its-vitoria-factory/

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From production to multichannel fulfillment
Case Study III: Danone

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From production to multichannel fulfillment
Case Study III: Danone

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Efficiency and precision in health care materials
Case Study IV: Zaloker & Zaloker

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 Ongoing WMS trends
in Europe and North America

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Online commerce fulfillment

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Physical and Digital store management

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Other warehouse management solutions

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 YOUR LOGISTICS
easywms@mecalux.com
EXPERT PARTNER www.mecalux.com

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