DELFI TECHNOLOGIES - DENMARK

September 26, 2016

Warehouse solution for better planning and fewer errors

Delfi Technologies’ own warehouse solution has made the company’s flow of goods much more manageable than before. Especially the feature with a large screen in the warehouse provides an overview of the daily flow of goods. The warehouse staff can follow the order process from receipt to dispatch. The overview has made the planning of the day’s tasks much better and significantly reduced the number of errors.

In mid-2014, Jackie Cortez, head of Delfi Technologies’ purchasing and logistics department, talked about the new warehouse solution ‘Delfi Mobile Force’ in the Delfi Post (newsletter). At the time, the reduction of errors and the elimination of printed pick slips and manual workflows was the most revolutionary aspect of the new solution. Since then, the solution’s large screen has received overwhelmingly positive attention.

VAREFLOWET

The big screen is divided into five columns that categorize the flow of goods. The columns include order receipt, queued orders, order picking, order dispatch and order invoicing. The warehouse staff use the big screen to follow the day’s flow of goods, plan tasks, but also as a kind of checklist.

“The big screen gives a clear indication of where we are in the day’s tasks. Every time we scan an item with the handheld terminal, the item/order number will automatically move from one process to another, for example from order picking to shipping. The warehouse system is fully integrated with our financial system C5, so the information I read on the big screen is valid and I can plan according to it,” says Jesper Slott Andreasen, warehouse manager at Delfi Technologies’ central warehouse in Køge.

"The inventory system is fully integrated with our financial system C5, so the information I read on the big screen is valid and I can plan accordingly."

Jesper Slott Andreasen, Delfi Technologies

FEWER PICKING ERRORS AND HIGHER PROFITS

The warehouse staff can clearly see that the number of picking errors has decreased significantly. The staff believe this is partly due to the software solution, which constantly updates the flow of goods, but also the overview from the big screen gives them the energy to focus on the individual task.

– We can always see where each order is in the process, which gives us more focus on the task at hand, simply because we’re not thinking about all the other orders at the same time – we’re already on top of them. I can always see the amount of incoming orders on the screen, so I can plan extra manpower very early on to alleviate a future order pressure,” says Jesper, who is very pleased with the many pluses that the warehouse solution has brought.

The finance department also welcomes the elimination of picking errors, because from a financial point of view, these errors are both expensive and cumbersome. It’s annoying for the customer, it’s a hassle for the employees who have to handle the investigation internally – all in all, an unnecessary and expensive process.

“Handling picking errors is very costly. You have to prepare a credit note, spend time finding the error, the customer has to spend time returning the wrong item, a new order has to be created and the item has to be shipped again. Since the implementation of the new warehouse solution, picking errors have been largely eliminated and this is clearly visible on the bottom line according to the logistics budget,” says Lykke Frandsen, Head of Administration at Delfi Technologies, who has a heavy hand on the cash register.

PAIN-FREE STATUS

Previously, status was a task that required resources and hours of gray hair. This task has become a lot easier with the new inventory solution. The annual inventory took place in June – and just like the previous two years, it went really well and the difference was almost unnoticeable.

“It’s clear that with the new solution, the status is almost painless because we have a pretty accurate inventory. We usually have five employees counting up. We start at 8 in the morning and finish around 8 in the evening. In June this year we also started at 8 in the morning, but this time we were already done at 4 p.m. A quick calculation is a saving of 20 man hours, 4 hours per man times five employees,” says Martin, who also works in the warehouse.

STORAGE SOLUTION DELIVERS BIG SAVINGS

“With the old solution, we would have needed even more hands to handle the increased pressure, but with the new warehouse solution and two skilled warehouse employees, staffing levels have remained intact. The savings are far greater than we expected,” says a very satisfied Administration Manager Lykke Frandsen.