Every company wants to save costs, respond flexibly to changes in the marketplace, and remain competitive. This only works with perfectly orchestrated internal processes, however. This was Pharmapool's experience, too. Optimise logistics structures, design processes more efficiently, and utilise cost savings – the requirements were defined when the pharmaceutical company began planning a new, central distribution centre in Widnau at the beginning of last year. Regardless of individual interests of the pharmaceutical sector or branded products, the wholesaler for doctors founded in 1996 offers its customers in Switzerland a wide range of medications, incl. generic medicines, consumables, doctor's practice and lab equipment, as well as items on the Drugs and Medical Equipment List (Mittel- und Gegenstände-Liste). In the process, Pharmapool supplies doctors, chemists and consumers reliably within 24 hours with boxes of medicines carefully packed by hand in individual shipments. "The old warehouse structure couldn't keep pace with the requirements of modern order processing and distribution logistics", explains Mr. Binkert, Managing Director of Pharmapool AG, Widnau. This is because all work in the warehouse was previously carried out manually using picking lists. This takes time and costs money. "This is why we have decided to set up a new hall with modern warehouse technology as well as a new picking strategy to exploit all the potential in terms of internal processes", states Mr. Binkert. The key points for Pharmapool were to optimise and increase performance and quality in the picking process. The intention was to base the solution on a carefully orchestrated, custom combination of modular systems.The scope of services provided by SSI Schaefer ranged from system planning and consulting to implementation, through to after-sales service. Together they started work on implementing the project in line with all the requirements and on schedule. To achieve this, SSI Schaefer worked closely with architects and the Pharmapool project team, right from the start. This meant that proposals from SSI Schaefer on the hall layout were incorporated at an early stage to facilitate the optimum design, meeting all requirements, for the subsequent installation of the picking system. An intelligent material flow concept with as much automation as necessary, and as little automation as possible; this was the guiding principle followed by SSI Schaefer in developing the project. "We examined all the requirements and the available options in great detail to achieve the optimum result for Pharmapool. Along the way, this project demonstrated very clearly that a semi-automated system incorporating carefully orchestrated components can produce the perfect result in the pharmaceutical sector as well", reflected Bruno Skraber, Head of Department at SSI Schaefer, Switzerland. A carefully designed, semi-automated total system concept comprising conveyor technology, paperless "Man to Goods" picking (RF Picking) combined with ergonomic picking stations and appropriate warehouse technology has been ensuring exceptionally efficient processes since the end of 2011. The new system on a 1300 square metre base area is equipped with an R3000 modular shelving system providing 12,000 storage spaces. A conveyor technology system over 80 m long with eight picking zones was installed in the middle of the modular shelving system. Here, the conveyor path ensures rapid transport of the order containers between the picking stations and the dispatch area. Within the zones, SSI's WAMAS C software guarantees fast and transparent picking processes. The conveyor technology provides the foundation for the rapid implementation of the new distribution centre, forming the centrepiece of the system. This carefully designed concept in Widnau now prepares around 10,000 different items in 200,000 packages ready for retrieval. They are stored in 9000 Euro-Fix containers from SSI Schaefer. The individual zones are interconnected via the automatic conveyor technology, forming a complete unit. "This structured, transparent system design means that this Pharmapool warehouse offers a high level of efficiency", explains Skraber. All jobs are recorded directly on Pharmapool's in-house ERP system. This then communicates directly with the WAMAS C logistics software that initiates the retrieval operations. And off we go. WAMAS tells the system, and automatically the workers, how many containers should be required for a job. The workers send the empty containers via conveyor technology into the warehouse or to the picking zones. "The use of containers and conveyor technology permits the automation of transport processes in combination with a manual system, ensuring an exceptionally fast material flow", explains Skraber. Even before the transport containers follow their routes to one of the eight picking stations, they are automatically scanned via light barrier and a staff member attaches a printed order docket. This is recorded on the system and paired up with the container. The transport container then makes its way to the relevant picking zone. Once there, it is scanned by a picker with a small finger scanner connected directly to the hand-held terminal. This tells the worker digitally and with no delay where the right items are to be retrieved. Controlled via the system, the picker is led to the correct storage location. At the storage location, there is another label with a barcode scanned by the worker before s/he removes the goods. To ensure that no errors occur, the barcode for the goods is recorded and acknowledged. This increases the order picking quality. After completing each picking process, the worker in the relevant zone sends the container back into the goods flow. Once the order has been compiled in full, the goods are automatically sent in the direction of the despatch area to the last workstation. Here, the order is checked once again, packed and released for dispatch. 15 dispatch shipments leave the warehouse each day. The new system has achieved an increase in picking efficiency of around 30%. "Following a brief startup phase and familiarisation with the new way of working, the system has accelerated the material flow considerably. And the clear organisation of the picking zones and new picking strategies have streamlined order processing and compilation. The error quota has also dropped to virtually zero", according to Mr. Binkert from Pharmapool. It is not just the warehouse that is more efficient; employee work quality has also increased considerably. This is because the conveyor technology takes the strain off picking staff and instead supports the workers in compiling jobs easily and without errors. The bright and friendly atmosphere in the warehouse also provides a more relaxed working environment."There are no interface problems at all, either in project implementation or in the system design", continues Skraber. The implementation process was carried out with purpose and flexibility via teamwork. "We are very happy with the project management from SSI Schaefer and the results provided by the solution. Our expectations have been more than met with the project and we are now absolutely ideally equipped for the future", summarises Mr. Binkert from Pharmapool.
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