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Warehouse optimization (new lay-out)
Give Room to Nature
Elho is a Dutch family owned business located in Tilburg. For more than 55 years elho designs, produces and sells synthetic pottery. Elho wants to bring nature into people’s daily lives with sustainable pots and smart solutions that make both consumers and nature happy.
Products of elho are delivered with strong peak in the spring season. For two years the logistic organization has not been able to handle the demand to fully satisfactory of the sales department and customers although all products have sufficient stock during spring season.
A new lay-out is designed for the picking and packing area, with use of following logistics principles:
- Distinguish fast movers from slow movers;
- Use location numbers for Pick- and Bulk locations;
- Separate the flows for incoming and outgoing products.
Outsourcing the logistic organization to a LSP is not recommended based on an operational costs calculation and quality considerations.
Pragmatic advice enables elho to handle peak of outgoing shipments in spring season:
- Within existing warehouse;
- With limited investment in hardware with a simplified process, that allows handling peaks with additional workforce.