LTH guest lecture – Astro WMS Mikael Brorsson

Bengt Olenmark

A European Supply Chain Execution provider with a global track

record

350+ employees

Annual Turnover of 60 MEUR

Strong, value added partner network

This is Consafe Logistics

We believe in PIN: Partnership, Innovation and No-Nonsense.

Three parts of our customer offer

Leading suppliers of WMS for EMEA

Source: Warehouse Management Systems Worldwide OutlookMARKET ANALYSIS AND FORECAST THROUGH 2015

by ARC Advisory Group

Strong presence in relevant verticals

5

COOP

H&M

Netto

DSG International

Jysk

Ahold/ICA

Reitangruppen/Rema

1000

Retlog/Biltema

a Swedish furniture

supplier

SKF

Rexel/Elektroskandia

Canon

Saint-Gobain

Michelin

Antalis/MAP

Onninen

Infinitas learning /Liber

SCA

Ahlsell

Carlsberg

Heineken

Harboe

Arla Foods

Unilever

Nestlé

BrakesGroup/Menigo,

HK Scan

PernodRicard/Absolut

Vodka

Food & BeverageRetail/

consumer goodsIndustrial /

Wholesale

Agenda

1 Technology and Interfaces

2 Warehouse

3 Goods In

4 Goods Out

5 Statistics and logs

Customer module

Exits

• Standard exits in every module

• Customer code doesn’t effect Astro Std.

• Upgrades doesn't effect Customer code.

Customer ModuleWarehouse Goods in Goods out

Mobile Communication Statistics

Communication

To Astro:

• Customer Order

• Production Order

• Purchase Order

• Pre-advice notes

• Part Data

To ERP:

• Updates

• Balance adjustment

ERP

Astro WMS

Demo Astro Warehouse Client

Warehouse Processes

• Every process creates assignment.

• Assignments are prioritized.

Queues with assignments

P B G S

10:15

10:30

11:00 10:00 10:15

Pick Buffer Goods.recv. Stocktaking

Part 2 - Warehouse

Warehouse - Buildings

Buildings

Area

Area

Area

Are

aA

rea

Area

Area

Area

Are

aA

rea

• One or several areas can belong to a building

• Every area must have a nameArea

Area

Area

Are

aA

rea

Building 1

Warehouse - Zone

Every location is divided in zones

A B C D

Area

Load Carrier Type = S

Location Type = L

Location Type = S

Location Type = M

Increase Rack, Zone or Location Type?

Warehouse – Automatic location search

Incoming Unit

Warehouse – Location Coordinates

Rack

10

01 02

11 12 13

21 22 23

31 32 33

41 42 43

51 52 53

PICK 10-02-33

Verification

Checksum: Package ID:

Location coordinates: 6455241

Part Number:

• Checksums on all locations

• 1 to 9

• 10 to 99

• 100 to 999

72

10-02-33• 10-02-33

• 100233

A

CustomerDelivery Address

Hgfh ediijf wiejf owfo

Epwj jf oko okewfo eof

Epofo oefo pfdpp pwo

Pqjqewp pqwpowq powdo

• Scanner

• Certain parts

• Individuals

Replenishment

Replenishment point = 30 pcs

• Below replenishment point

• Replenishment amount

• Replenishment assignment is created

• Fixed or floating pick loctation

100 pcs

20 pcs

Express Replenishment?

Förbättringar

Automatic:

• Picklocation = 0

• Pre-defined level (fixed pick location)

• Per cent of received goods

• Background program

Create stocktaking assignments:

• by stocktakingdays on package properties

• by part number

Spontaneously:

• by location coordinates

• by package id

Stocktaking

Date Handling

Production date = When pallet is created.

Best before date = When best before date expires

Last transit date = Last date to ship if pallet is going via transfer warehouse

Last storing date = Last storing date (some days before best before date)

Information on pallet level:

Part 3 - Goods In

Goods In

• Demand driven put-away

• Automatic location search algorithm

• Alternative Areas (quality control, etc.)

Goods In – Purchase Order

• Entering data

• Print labels

• Packages are created

• Assignments are created

Goods in – Pre-adviced

Supports international standards like OAG and GS1

Simplifies goods reception - “One scan to go”

Mjölkchoklad

At the Supplier

SSCC, Prod.date, Supplier,

BB-date, Part, Qty, Batch, etc.

Mjölkchoklad

Astro site

Mjölkchoklad

Astro site

Beehive: What s the benefit of pre-advised?

Discuss in pairs

Be prepared to deliver an answer in two minutes!

Answer: What s the benefit of pre-advised?

Goods In – Return Round

• Reversed pick round

• Verification of location

• Replenishment of pick locations

Part 4 - Goods Out

Order

Route Planning

Release

Pick

Load

Pack

Report

Balance (real-time)

Status/Delivered amount

ERP

Goods Out

Traffic

Transporters

Route Planning

• Delivery days (allowed delivery days, Monday, Tuesday, Wednesday,..)

• Load Area (manual, automatic, one or several, in different buildings)

• Release Order (manual, automatic, sequential)

• Pick Date (Pick days before delivery day, long transport time)

• Ready Time (trip completely picked)

• Stop Time (no orders from ERP are accepted)

Route planning

Route settings

Release Order

P1

B

Pick

Buffer

P2

Box calculation

Pick

• Split order into Queues

• Box size

Release Order – Advanced boxcalculation

Customer

A • Max/min weight and volume

• Max orderlines

• Calculates box type = pick and pack

• Correct label

• Correct load carrier type

P4 P2 K3

Release Order – Order Consolidation

Customer

A Customer

ACustomer

A

Pick pallet Full pallet

• Pick lines can be full pallet pick

• Less pick rounds

• Less packing/wrapping materiel

• Rules of Consolidation?

M

Dispatch area planning

Outgoing

Shipment

Incoming

Shipment

• Total control of dispatch areas (in and out)

• Time slotting

• Coordinates outbound and inbound

• Self adjusted during back log

Picking - Hardware

Tablet PC

Handheld PC

Mobile PC

Voice Picking

Beehive: Picking and equipment used

What are the advantages and disadvantages?

• Handheld PC?

• Mobile PC?

• Voice?

• Tablet?

• Printed list?

Picking and equipment used -answers

Equipment Advantages Disadvantages

Handheld

Mobile PC

Voice

Tablet PC

Printed list

Pick by Voice

DEMO

Go to rack

01 02 0403 05 06 08 10 1207 09 11

Queue: 55

slot & level

01 02 0403 05 06 0807 09

00

10

20

30

40

12

66

Item number

Description

Where am I

How much more

01

01 02 0403 05 06 08 10 1207 09 11

01 02 0403 05 06 0807 09

00

10

20

30

40

21 88

49

06

Skip location

01 02 0403 05 06 08 10 1207 09 11

01 02 0403 05 06 0807 09

00

10

20

30

40

61 28

55

07

pick more pick less

Picking – Relay Pick

Pick Area 1 Pick Area 2

Pick round is delivered to next picker

Picking – Shuttles

BA DC EF

• Correct shelfs in all machines

• Picking several orders at the same time

• Part picking

• Several picks at same shelf

• Storing round (mixed pallet)BADC

EF

Picking – Transit

Goods In

Buffer

Loading

• Can store transit goods

• One part number

• Freetexts and documents

• Traceability

Transit OrderPurchase Order

Transit Order Released

Demo Picking

Beehive: Payback of a WMS

Case ”A supplier of consumables – food/non food”

Starting point:

Had a WMS handling the buffer locations

Picked with pick labels printed by the ERP system

Fixed pick location on the floor level / buffer above

Replenishment request with a barcode pen that was docked

100 pcs

20 pcs

400 pcs400 pcs

200 pcs

200 pcs

75 pcs

200 pcs

100 pcs

Beehive: Payback of a WMS

Picking via fork lift computer was introduced

Replenishment based on min level

Question:

Which were the profitable factors?

Estimate the profit in % of the current wages?

Other profits?

Three minutes – be prepared to deliver a suggestion!

Replenishment point = 30 pcs

100 pcs

20 pcs

400 pcs400 pcs

200 pcs

200 pcs

75 pcs

200 pcs

100 pcs

Beehive: Payback of a WMS

BufferPick

Goods Receiving Load Area

Production

Fullpallet – Without system

PalletEmpty PalletEmpty

Pallet Empty

Pallet Empty

Adaptive Task interleaving

Historic databaseAreas divided into time zones

Analyse: Choose assignment closer to

current position instead of most prioritised.

Result:

Driving distance optimisation.

Less empty pallet driving time.

PB

RP

G

Queues with assignments

and ready time.

STK

Full Pallet – Transfer Areas

BufferPick

Goods Receiving Load Area

Production

Transfer Transfer Transfer Transfer

Transfer

BADCEF

• Link incoming and outgoing pallets

via transfer areas

Packing

Packing

• Co-packing

• Delivery Label

• Scale

• Advive Note to transporters

• Packing on/off

• EDI connection

• Transport booking

• Transport documents

• Transport consolidation

• Track & Trace

• Freight follow-up documents

Transporters

Loading

• Loading on/off

• Load List (pallet seq., pallet id, amount)

• Scan pallets (mobile unit PC, handheld, scanner)

Part 5 - Logs and Statistics

Operational log

Logs and Statistics – Operational log

• Log of all activites

• From and to-location

• Who, when and where

• Part No, batch and package id

• Trip, order, orderline and box id

• Log codes

Log codes:

1 Storing

2 Stocktaking

3 Moving

4 Picking an order line (pick line)

5 Full pallet pick when lacking ord. lines

6 Collecting/moving empty pallets

7 Merging pallets

8 Splitting pallets

12 Blocking

13 Double moving

16 Box picking

18 Performing "full pallet out" assignment

26 Storing of packed goods

29 Split moving

31 Picking prepicked TrPac into TrPac

36 "Double full pallet out" assignment

37 Add package to dispatch pallet

38 Remove package from dispatch pallet

40 Loading

41 Unloading

45 Cancel order line from mobile unit scr.

46 Packing

47 Cross docking

48 BoxCalcPallet Packing

49 XDocPallet Packing

60 Created transit pallet

61 Audit TrPac

62 Audit TrPac error

70 Login/Logout

72 Function start/end

74 Working start/end

75 Forced logout

80 Receiving adviced Pallet

85 Changed TrPac contents qty

86 XDocPallet Cancel

93 Change of pick location

94 Change of full pallet pick location

95 Change of to-location

96 Release of empty boxes

97 Next multi cycle selected

98 "Sub-queue" entered

308 Trip was loaded

930 Shortage at box picking

931 Shortage at full pallet picking

932 Location search unsuccessful

934 For internal use

936 Info box pick label print

937 Crane:Reject error

938 Crane:Transport error

939 Crane:Movement report error

940 Crane:Status changed

941 Crane:ID-station error

950 Scale:Weight error

951 Scale:User rescaled

952 Scale:User picked too many

953 Scale:User picked too few

954 Scale:User picked wrong product

955 Scale:User picked damaged product

961 Scale:User marked scale broken

962 Scale:User marked prodmaster error

963 Scale:User continued

969 Scale:Weight

Reason codes:

Balanc

e

History

• When and who

• Reason code and type

• Available / not available balance in pick area

• Available / not available balance in buffer area

• Product recalls!

1 Storing

2 Stocktaking

4 Picking

7 Merging

12 Blocking

42 Splitting

Logs and Statistics – Traceability

Free, occupied and blocked• Total

• Location type

• Zone

0

10

20

30

40

50

60

70

80

90

Pick Buff Deep Crane

Free

Occupied

Blocked

Logs and Statistics – Fill Rate

0 100 200 300 400

Stockholm

Gothenburg

Copenhagen

Hamburg

Picked

Not Picked• Dates, trips and order lines

• Picked / Not picked

Logs and Statistics – Picked

Beehive: Why a WMS?

When do you think it is suitable to use a WMS system?

Discuss in pairs

You have two minutes

Be prepared to deliver an answer!

When do you need a WMS?

Then you should have a WMS!

What to remember & general recommendations

Have a clear picture of general structure and processes.

This “back bone” is the base for the total success of the

WMS.

Focus on main flow

Focus on continuous improvement as a long-term process

after the installation project. Get to know the available

possibilities and how to use them in an optimal way.

Start basic and simple

What to remember & general recommendations

Handle the WMS project as a logistics project, with IT support, not

the other way around.

Engagement as well as acceptance and commitment among the

personnel at the unique site as well in the whole customer

organization is very important and should not be under-estimated.

Put time and effort in education of the system and processes –

this is an important factor for success.

Summary

Material handling systems (WMS) and their content has been described briefly.

Technical requirements and equipment needed to implement these systems has been described.

Benefits with a system in order to make the material handling more efficient.

Efficient logistics is a competitive edge – not just a cost!

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