The third-party logistics market in Poland is developing faster than ever before, and Consafe Logistics is in place to help customers overcome every challenge with its robust, scalable and adaptive warehouse management system – Astro WMS®.
The implementation of Astro WMS® is part of a broader strategy to enter the 3PL market. The VIVE Group plans on using Astro WMS® to manage its own logistics, as well as future 3PL customers, in a newly constructed industrial park – Panattoni Park Kielce.
A paradigm shift in Polish 3PL
“The 3PL services market has been developing at an incredible rate, becoming one of the most dynamic in Europe and the most developed in Eastern and Central Europe,” comments Robert Magolon, Logistics Manager of the VIVE Group. “Looking at the 3PL market in Poland, we will notice slightly different development rates, divided into individual regions of the country.”
Robert is referring to well-developed agglomerations of logistics services around important communication routes that are windows to emerging foreign markets. He now sees the demand for logistics services growing, facilitated by infrastructure (e.g. road) improvements, which once impeded the movement of goods to various parts of the country and Europe.
“The direct stimulus for our interest in 3PL services came from analyzes and research carried out within a radius of 120–150 km from Kielce,” continues Robert. “There was a serious deficit related to 3PL logistics and modern warehouse facilities that would meet customers’ expectations and logistical aspirations.”
After verifying and identifying their own needs, the decision was made to cooperate with Panattoni Europe, renting a 25,000 m2 warehouse space in the area’s newest and largest industrial park.
Preparing for the shift
To facilitate their transition to becoming a full-service 3PL provider, the VIVE Group partnered with Consafe Logistics and will use Astro WMS® to manage all operations in the new warehouse.
“Moving to a new warehouse and implementing the WMS will be an excellent opportunity to analyze and simplify the processes taking place,” remarks Robert. “We are particularly interested in those related to the use of resources in our organization and, consequently, affecting operational costs.”
Taking advantage of the flexibility and scalability of Astro WMS®, the VIVE Group has already selected several features (modules) that will increase the efficiency and profitability of their operations.
One module they chose facilitates the storage (racking) of identical, or similar, products regardless of the customer/owner. Independent of the final distribution/delivery, this feature allows pickers to retrieve all the required items for multiple orders for multiple customers simultaneously.
A complementary module will allow individual customers to designate multiple sales channels their articles, depending on end customer delivery parameters. Optimizing the number of daily picking trips, Astro WMS® automatically determines the best picking routines for fulfilling multiple single-line orders together with larger multi-line orders – an insurmountable task when attempted manually.
Together, these features will dramatically improve picking and packing, while simultaneously consolidating and maximizing warehouse space requirements – critical criteria for the VIVE Group as they merge several warehouses into one.
Other Astro WMS® features will improve The VIVE Group’s ability to satisfy the needs of current 3PL customers and attract new ones of all sizes. Cloud-based Astro WMS® services, allow customers – with and without their own dedicated enterprise resource planning (ERP) system – to access their inventory, place and track orders, and receive real-time reporting. It easily communicates with ERP systems from multiple vendors, including SAP and ORACLE.
Value-added services will allow the VIVE Group 3PL customers to customize their order handling, such as including promotional material or giveaways, as well as special packaging options.
“These features create excellent opportunities for the VIVE Group to implement optimized solutions for themselves and their external 3PL clients, allowing them to offer attractive rates for logistic services,” says Marcin Figlarek, Application Consultant at Consafe Logistics Poland.
Finally, 3PL customers who frequently tender larger orders from manufacturers will benefit by a simplified procedure for stock switching. The VIVE Group will receive and stock these orders until such time the customer switches ownership of individual or bulk units over to themselves, placing these stock keeping units (SKUs) into their inventory, often under newly created unique names, making them available for picking, packaging and shipment to their end customer(s).
Implementing the shift
The VIVE Group has completed, together with Consafe Logistics, the first phase of their 3PL journey. As the new warehouse space nears its completion, the final phases of implementation – installation and troubleshooting – will commence. Full warehouse operations are expected to be up and running in May 2019.
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About Vive Group
The Group of affiliated companies – of which VIVE Textile Recycling is the main one – was founded in 1992 and for many years has been a leader in textile recycling. We constantly develop the company’s activity in new areas like transport, logistics, optimisation of cost incurred by enterprises or innovative recycling methods. We support sport club PGE VIVE Tauron Kielce and VIVE Serce Dzieciom Foundation.