Fleggaard
Pushing the Boundaries for Customer Service and Operational Efficiency
May 2010
There is no need to invest in new equipment to achieve an efficient logistics function. In many cases, a review of a warehouse’s layout can reveal inefficiencies that can be corrected by adjusting workflows and reorganising the warehouse’s contents. At Signal, a reorganisation in new premises has led to a 30 per cent increase in efficiency – without investing in technology or hardware.
Signal A/S has optimised their new warehouse in connection with a move and restructuring of the company. Optimisation occurs without investment in automation or hardware and is solely based on smarter layout using the existing warehouse systems. For example, the picking lines have been shortened, and the company works consistently according to the just-in-time principle.
‘We found ourselves in a situation where we had to move our warehouse, and we found a new suitable warehouse in Kvistgård near Helsingør. An immediate disadvantage was that the new warehouse was smaller than the one we had before. This meant that a direct copy of the old warehouse layout was not possible,’ says Jesper Christoffersen, Warehouse Manager at Signal.
Following a recommendation from the board, Jesper contacted Langebæk to seek advice on the layout of the new warehouse. The fashion industry is dominated by seasonal collections that change with the seasons. This means that Signal can benefit from rotating their goods according to this rhythm to always maintain optimal picking routes. The optimal warehouse layout, based on these seasonal variations, was found through analyses conducted by Langebæk in collaboration with Jesper Christoffersen.
Signal was not inclined to make large investments in a new warehouse layout. On the other hand, the warehouse needed to have expansion options. After a review of the company’s processes, purchasing, and sales, a solution was found; A solution that takes into account Signal’s new warehouse situation and also describes how it can expand in the near future.
‘It has been a challenging process, which also included our procedures for sales and purchasing. The result is that we now have an overview of the upcoming steps as we grow. You could say that we have less space but greater capacity by focusing on just-in-time,’ says Jesper Christoffersen.
‘Logistics can easily become high-flying, but together with Langebæk, we have focused on simple and practical solutions as well as dialogue with the employees who will use them,’ says Jesper Christoffersen.
‘We wanted to see what the future could bring by using the most energy-efficient solutions available. This was also our contribution to COP15 to explore our own opportunities for energy savings,’ says Carsten Seiler.
He contacted two of the airport's regular suppliers: SEW-Eurodrive, which supplies gears and motors, and Forbo Siegling, which manufactures conveyor belts. They were given the freedom to offer the most energy-efficient technology available on the market.
Forbo Siegling contributed a newly developed conveyor belt originally designed for treadmills in fitness centres. These belts are both robust and feature a special underside surface, which acts as the contact surface with the conveyor's glide surface, reducing friction to a minimum.
‘We know from other installations, such as at Post Danmark and companies in the USA, that this type of belt can significantly reduce energy consumption. At the airport, we have achieved a 26% reduction,’ says Frank Vognsen from Forbo Siegling, which supplied the belts.
SEW-Eurodrive was able to contribute a similar saving. By selecting motors, gears, and frequency converters of the latest energy-saving types, significant power could be saved. A simple and correct dimensioning of motor sies has resulted in a significant energy reduction – approximately 30% compared to the old system. Sales Engineer, Mark Hylsberg, has replaced a total of nine motors and older worm gears: ‘This is the first time in Denmark that we have had the opportunity to go as radically as we did in the airport project, but we expect a lot to happen in this area. Customers are increasingly demanding environmentally friendly solutions, and new regulations are coming that will tighten the requirements for motor efficiency in general starting from 2011.’
In addition to upgrading the moving components, changes have been made to the control of the units. By using data from sensors, the belts stop when there is no baggage.
‘All in all, we now save 55%. Additionally, the project has resulted in lower heat development and less noise, which is a big advantage for the employees working in the basement. The project has shown us and the world that it is possible to make significant savings in power consumption. From a purely economic perspective, however, it would not make sense to replace well-functioning existing belts. But with the introduction of green technology in planned new installations, we will continuously be able to reduce energy consumption and costs significantly across the board,’ explains Carsten Seiler.
Several companies are working in recent years to optimise their internal transport systems. For example, Gatwick Airport has saved up to 45% in energy consumption simply by switching to better motors and gears, and Coca-Cola in Austria has reduced energy consumption on conveyor belts by as much as 75%.
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