Case Study VW OTLG - Automotive - Industries - TGW Logistics Group
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Case Study VW OTLG

strategically important locations were improved with a unified and optimised material flow concept

Case Study VW OTLG
  • HIGH SERVICE AND QUALITY STANDARDS

    Strong growth involves and requires increase in storage capacity, diversification of the range of products and enlargement of the customer base.

NETWORKING DELIVERS HIGHEST SERVICE STANDARDS

Volkswagen Original Teile Logistik GmbH & Co. KG (OTLG) delivers original spare parts and accessories to approx. 2800 Volkswagen and Audi service partners all over Germany. Around 3300 employees generated a total turnover of 1.9 billion Euros in 2007.

Due to the considerable growth of the company a logistics network spread over 12 locations was formed in Germany which was simply no longer able to meet the extraordinarily high demands VW requires of its logistics operations. The ambitious goal for overcoming this was to deliver a unified standard of quality and service for all locations and each and every customer which was delivered by the “Depot Network Optimizing Plan for Germany”. Some sales centres were closed down and 7 strategically important locations were extended and improved instead and provided with a unified and optimised material flow concept. The VW locations Köln, Dieburg and Ludwigsburg were modernised and extended by TGW Transportgeräte GmbH.

REQUIREMENTS & PREREQUISITES

  • Consistently high service and quality standards for the customers
  • Trouble-free supply of a geographically defined sales area for every distribution centre (DC)
  • Strong growth involves and requires increase in storage capacity, diversification of the range of products and enlargement of the customer base
  • Delivery guarantee within 12 to 24 hours

 

SOLUTION

Incoming goods are deposited in different storage areas depending on their characteristics and turnover. Heavy goods storage takes up a major portion of the distribution center, big and bulky goods are provided on pallets for order picking. Large parts for high turnover sales are placed on pallets and grid boxes and are stored on three floor levels in a racked storage facility. A conveyor connection to the picking stations is provided at the front of this storage area.

The different areas and activities of the warehouse are linked by a network of conveyor lines. These areas include the .rack / shelving and paternoster storage and picking area and the hazardous goods storagefacility. The goods in the rack / shelving areas are stored in totes or loose on the shelves whereas the goods in the vertical storage paternosters are kept in small trays. The paternoster is ideal for storage and handling of small parts. The hazardous goods storage area provides a safe environment for all goods with high fire or explosion risk.

The decision where goods are to berouted and stored within the DC is made in the goods receiving area. Each incoming unit load is provided with a barcode label defining its target in the warehouse. Around a third of all internal transports is done automatically, the rest is handled manually by means of industrial trucks.

Goods that are transported into the warehouse via the conveyor system have to be repacked from the pallet into standardised 600mm x 400mm totes. This is essential for the effective order-related supply of the picking stations. 10 workplaces with conveyor connection are available for picking.

A vertical conveyor or lift serves for integrating the totes into the 200 m long high level conveyor network. VW opted for an overhead conveyor system in order to avoid the warehouse staff being impeded in their work on the transport routes on the ground level. Besides distances can be covered very fast and picking time and routes for the workers are reduced to a minimum.

"DO IT MY WAY" ORDER PICKING

Order picking is effected manually throughout the entire distribution centre West, but the manual picking processes in the shelving, paternoster and hazardous goods storage areas are supported by the automation of the permanent supply and removal of totes and goods to the picking workstations. Picking in each of these three storage areas is done in a similar manner. The picking personnel retrieves the items for an order from the rack location, places them into the order tote and pushes this tote off onto the conveyor line which ultimately feeds the goods issue area.

The orders are batched together throughout the picking process. The batches or multiple order lines require re-packing according to customer orders prior to dispatch. Grey 600 mm x 400 mm plastic boxes are used as order totes. The automated system also supports this task by providing the totes in optimal sequences to the corresponding repacking position. Completed totes are stacked onto pallets or grid boxes, collected and consolidated according to tours and finally loaded into mini vans.

TGW TECHNOLOGY EMPLOYED

All picking as well as repacking workstations are equipped with accumulation positions, which allows for monitoring of the tote transfer to the individual destinations. The system detects the current filling levels of the accumulation positions of every station. Monitoring also includes transports which are designated for the respective accumulation positions but have not arrived at the position yet. If a position provided for a tote cannot be accessed due to occupied accumulation positions, the tote will be temporarily stored in a loop. Stop lights provided at the accumulation positions serve as orientation for the warehouse staff. A yellow light signals that the capacities of the respective position are limited and order picking shall be continued at this position. A red light means that the workstation is full calling for immediate action.

ADVANTAGES FOR VW OTLG

  • Remarkable increase in efficiency and delivery service
  • High availability of the entire range of products
  • Short response times
  • Tight delivery timeframes can be complied with
  • Rise in storage space and number of employees by approx. 40%
  • Enlargement of range of products by more than 70%

Our references

TGW Logistics Group

  • SIG Combibloc Co. Ltd.SIG Combibloc Co. Ltd.
  • Roche Diagnostics GmbHRoche Diagnostics GmbH
  • Bertelsmann CommunicationBertelsmann Communication

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