Project of rendering provider’s services on the
customer’s premises

Project background

The Customer CJSC Ferrero Russia has a production and logistics park in Vladimir region: a confectionery factory and a Class A distribution warehouse terminal connected by an automated transport channel. In 2009, TLS won a tender for

ferrero-img

 the right to provide warehouse outsourcing services at the facility. The company’s main objective is to perform all the operations in the commercial and raw materials warehouses in accordance with the Customer’s supply and production plans using its own workforce. Since the warehouses and production facilities were launched in 2009, TLS has been the Customer’s reliable business partner operating as a warehouse provider in this and several regional warehouses and providing transport services to the Customer.
TLS solution
  • Drawing-up of job/responsibility descriptions and user instructions in accordance with the agreed-upon business processes, health and safety regulations
  • Personnel recruitment, training and adaptation course at a training camp prepared using the company’s own resources (handling facilities, equipment for elevated operations, automation tools; workstation and RF terminal interface of the WMS; health and safety; quality program)
  • Further personnel enhancement(skill development and workforce universalization efforts; online monitoring of key performance indicators in terms of shifts, sites and users using proprietary software products; design and application of an incentive system)
  • Flexible billing system
  • Cooperation with the Customer in the development of a process model, preparation of technical specifications and work acceptance (testing) when configuring the SAP Extended Warehouse Management (EWM) platform
  • Development of technical specifications for the additional WMS configuration needed in the event of procedural changes or in order to improve the warehouse performance
  • Calculation and reconfiguration of the warehouse topology depending on procedural changes, new processes, and the Customer seasonality factor

  • Development of proprietary software products to improve integration of the warehouse dispatch service and the Customer’s production and client service departments
Results

  • Through an agreement with TLS for warehouse outsourcing services, the Customer has obtained a reliable partner in the logistics segment. The provider has undertaken all the challenges of keeping the goods safe while in storage, ensuring uninterrupted supply of materials to the factory and meeting the finished products shipment deadlines
  • The provider’s profound knowledge and understanding of the specific features of warehouse processes has enabled the Customer to effectively use the software and warehouse capacities: the shelving and shipping areas, the handling facilities and other equipment
  • The provider’s continuous process optimization efforts in tandem with the Customer’s IT and client service departments has made it possible to achieve a high level of performance and quality of customer services
  • The provider’s lower expenses resulting from optimized processes enabled the Customer to conduct a flexible pricing policy.