January 2009

ADM Londis plc, one of Ireland’s premier symbol groups, is reporting a reduction in warehouse running costs of around €300,000 per annum following its investment in an Accord® Voice Picking solution from BCP for its central Warehouse & Distribution facility.

The Group’s 90,000 sq ft warehouse and distribution centre, located in Johnstown, Co Kildare, services over 370 retailers nationwide, houses an extensive range of ambient products and is managed by TDG Logistics.

The Challenge
This investment in Voice Picking technology represents the final stage of a two year, €2m warehouse modernisation project. This was prompted by the Group’s objective to continuously ensure that Londis is responding more rapidly than competitors to the changing demands of retailers and consumers.

Reflecting on the investment, Claude Tonna-Barthet, Customer Operations Director, ADM Londis, said: “ADM Londis is driven to deliver world class customer service to our retailers and end consumers. This has led us to review the everyday services completed by warehouse staff.”

The Solution
ADM Londis engaged leading supply chain software provider Business Computer Projects Ltd (BCP) to implement its cutting-edge Accord® Voice Picking solution with the Radio Frequency network and Vocollect Talkman T5 Voice terminals supplied through Heavey RF. This technology replaces a manual, paper-based picking system. Hands-free headsets enable staff to simply follow the voice directions which outline the next item to be picked, with specific instructions as to its location and product quantity required, allowing them to concentrate completely on the task of product picking. ADM Londis engaged leading supply chain software provider Business Computer Projects Ltd (BCP) to implement its cutting-edge Accord® Voice Picking solution with the Radio Frequency network and Vocollect Talkman T5 Voice terminals supplied through Heavey RF. This technology replaces a manual, paper-based picking system. Hands-free headsets enable staff to simply follow the voice directions which outline the next item to be picked, with specific instructions as to its location and product quantity required, allowing them to concentrate completely on the task of product picking.

The Results
Voice picking was phased into the warehouse over the course of one month and has now been fully embraced by warehouse operatives.

Significant improvements have been achieved in the relatively short period of time since implementation. The system has resulted in improved picking accuracy, reduced mispicks as well as improving the sequence of picking around the warehouse. The net result has been an improvement to the overall service levels to ADM Londis customers as can be seen by a reduction in claims of over 50% as well as improvements in the way products are packed for delivery which in turn has reduced breakages to Londis retailers by approximately 10%. nd picking activities, giving pick confirmations in real time. This leads to a much reduced reaction time in dealing with potential stock holding issues, further ensuring that Londis customers get exactly what they order. The improved on-time reporting from the system, together with the on-screen key performance indicators also means that available warehouse resources can be focused on key tasks and workload can be quickly altered to ensure that Londis can respond instantly to its retailer’s evolving demands.

These improvements to customer service levels have been achieved with a reduction in warehouse running costs of approximately €300,000 per annum which has included savings in stock damages and stock losses.

Claude Tonna-Barthet reflects: “Radical changes to improve service levels could not have been achieved without the implementation of the Voice Picking software. I am delighted to say we have not been disappointed in the results delivered. This implementation is the culmination of a six month project and is the keystone in the Group’s investment of over €2m in the warehouse over the last two years, ensuring that the Group can make important warehouse management decisions based on the most up to date, current information.”