The dynamic development of the company is a big challenge for the logistics department. LPP focused on full process automation supported by the PSIwms warehouse system.
LOGISTICS IN FASHION
Replacing the collection on average every 2 months, strong seasonality, frequent price reductions are just some of the logistic challenges of the fashion industry. Order fulfillment times, their accuracy, availability and reliability play a key role. An efficient IT system that supports logistics processes is a key element in building a market advantage. He makes sure that the right product is in the right place at the right time.
The LPP company, the owner of clothing brands such as RESERVED, Cropp, House, MOHITO or SiNSAY, increases sales year by year and expansion of the sales network development to new markets. According to the rules adopted by the company, it would be impossible to supply the chain of more than 1,700 stores located in over 20 countries without the introduction of efficient logistics processes in the field of warehousing, sorting and distribution of products.
THOUGHTFUL INVESTMENTS IN WAREHOUSE AUTOMATION AND IT SOLUTIONS
For many years, LPP logistics has been based on the most modern solutions that optimize the work of the Distribution Center. In 2007, the management board of LPP decided to build a new logistics center. The selection of an appropriate warehouse management IT system was a key element of the entire investment. The choice of the PSIwms system was based on the maturity of the system and the company’s many years of experience. A few years later, due to the dynamic development, LPP decided to expand the warehouse and cover all warehouse processes with automation, including the addition of two more sorters and a mini load.
Currently, the LPP Distribution Center in Pruszcz Gdański covers an area of approximately 70 thousand square meters. sq m, uses several kilometers of automatic conveyors, three sorters, several machines for automatic handling of cartons, scanners and automatic scales in large quantities. The automated warehouse is about 18 meters high (about the same as a 6-story apartment block), with countless shelves, shelves and other storage places.
It is one of the largest distribution centers in Central and Eastern Europe, sending up to 1,500,000 items of fashion clothing and accessories daily to over 1,700 stores in over 20 countries
BIGGEST CHALLENGES: INTEGRATION OF AUTOMATION FROM DIFFERENT SUPPLIERS
The PSIwms system is an advanced warehouse management system that has been tailored to the individual needs of the customer. One of the challenges in this project was the smooth integration of old conveyor systems (moved from previous warehouses), new conveyors and sorters. Each of the above-mentioned components was delivered by a different supplier, which additionally complicated e.g. the transfer of messages from WMS to automation.
PSI has integrated the system with advanced warehouse automation, including : conveyors, cross-belt sorter (400 drops / 8 induction positions), stacker crane (so-called miniload system) for 370,000 storage places (cartons). The warehouse also includes automatic closing machines, labelers, and a shipping sorter. Recently, the company has introduced a system of electronic tags – RFID.
ADVANCED LOGISTICS UNDER THE SUPERVISION OF THE PSIwms SYSTEM
In the LPP Distribution Center, the PSIwms system determines the optimal storage places, strategies for unfolding goods, picking paths, transport routes for goods, how to load them on trucks, load on sorting devices.
The system supports various ways of receiving and issuing goods (automatic and manual) and a number of picking strategies, including the release of goods without the storage stage (the so-called cross-dock). The essence of the system’s operation is the automation of warehouse operations, both through integration with warehouse automation devices, and thanks to the control of warehousing processes through advanced algorithms. PSIwms groups items according to defined characteristics in order to plan automatic processing, e.g. on sorters, and plans warehouse operations taking into account the work cycle of the Distribution Center.
HOW DOES THE PSIwms SYSTEM SUPPORT LOGISTIC PROCESSES IN THE LPP DISTRIBUTION CENTER?
When accepting the goods, the WMS system automatically registers the packages based on the barcode stuck to the carton. Volumetric scanners and RFID tag readers provide the WMS with accurate information about the goods received. RFID tunnels recognize how many products there are in each carton and WMS verifies this information with the advice note and controls its movement. The system routes the goods to an automated mini-load warehouse or to a high bay warehouse.
When orders come from showrooms, the WMS system starts the process of grouping orders and releasing goods by sending information to the employees about the number of needed cartons for download to the terminals. Each operation is approved in the system by scanning the barcode. When preparing the goods for shipment, the Warehouse Advanced Planning module plans the work of sorters and allows you to view the current execution of orders. Most of the items are sorted automatically and the worker just puts them on the conveyor. The devices sort products into cartons for a specific store after scanning the barcode of the product. Pick to light sorting is used to sort items of non-standard sizes. On the terminal screen, the employee reads the information about the number of articles needed. After completing the order, the boxes with the goods are directed by conveyors to the shipping areas. Then they are weighed and sent to automatic closing machines.
PSIwms manages all goods flows through the warehouse without the use of paper documentation. The only printed document is the shipping carton label. This is the only paper document in the entire process. Finished packages are delivered directly to the trucks. The WMS system automatically communicates with shippers, informing them about the expected shipment.
“Thanks to the WMS system that manages the entire LPP Distribution Center, we can perform very complex processes. It manages all stages of the presence of goods on the premises of the facility – from their acceptance and division between the domestic warehouse and the customs warehouse, as well as the division between the so-called high storage racks and an automatic warehouse, up to sorting and sending properly prepared transports to individual countries and showrooms. ” – Jacek Kujawa, vice president of the management board of LPP S.A.
BENEFITS OF IMPLEMENTATION
As a result of the implementation of the PSIwms system, LPP increased the efficiency of the Distribution Center in terms of sorting and sending goods to the constantly growing sales network. PSIwms also supports the operation of e-commerce warehouses in Poland and abroad.
The cooperation of LPP and PSI has been developing for over 10 years, during this period the system was optimized in terms of supporting e-commerce sales and additional modules for planning logistics processes, WAP, were introduced. This is an example of a model cooperation with the client in developing unique and effective IT procedures in business.