Transportation Review

A featured contribution from Leadership Perspectives, a curated forum for transportation and logistics leaders, nominated by our subscribers and vetted by the Transportation Review Editorial Board.

Raben Group

Iwona Czapura-Zelik, Regional Director, Fresh Logistics Polska

Innovation is the Way to Process Optimization

Iwona Czapura-Zelik

Iwona Czapura-Zelik

The fresh produce market is very dynamic and it undoubtedly reflects consumer trends which change in line with the economic situation. The current market trends are heading in one direction - the logistics operator has the task of delivering more, more often, more accurately, without errors and damage. Customer expectations over the past years have evolved towards higher quality, increasingly shorter response times to changing needs, with unlimited flexibility and pressure on the level of costs of logistics services. And the role of the logistics operator is to meet market expectations. However, this will be possible if all participants in the supply chain are equally involved.

We are confident that by working together and continuously optimizing processes, using lean management tools and creating an engaging work environment, we will be able to effectively address today's challenges. Such activities cannot be carried out ad hoc - only a strategic approach is a guarantee of success i.e. satisfaction of even the most demanding customer. At Fresh Logistics, we have been implementing the Better Every Day business improvement program for many years, in which we analyse processes together with our customers and partners, in terms of their complexity, standardization or possible waste. Working together in the search for cost and process optimizations is now a necessity and will help all supply chain participants achieve their business goals in a highly competitive market, especially in the face of today's challenges.

It is worth mentioning that a huge role in shaping fresh food logistics is played by retail chains. A dozen or so years ago, we mainly delivered goods directly to stores. Currently, about 75percent of deliveries go to the distribution centres of retail chains. Delivery times have also become crucial as they went down to as little as 12 hours from the time the goods are picked up from the production facility. An operator who wants to enjoy successful cooperation with a large customer from the retail sector (a large retailer) should focus on developing tailor-made solutions because only these will fit the customer's business practice and meet its expectations in the best way. In this area, Fresh Logistics Polska focuses on a partnership which brings measurable benefits to each of the parties. Partnership is about people so cooperation between our employees and those of our customer, as well as of the consignee, is crucial.

Working together in the search for cost and process optimizations is now a necessity and will help all supply chain participants achieve their business goals.

Flexibility, speed, cost-effectiveness, data reliability - these is what is expected of a logistics operator handling fresh food products today. In order to meet these expectations, logistics companies are investing in digitalization of their processes, which results in paperless logistics and the use of RPA (Robotic Process Automation). Paperless aims to eliminate traditional paper documents and shift to Electronic Data Interchange (EDI). The Paperless initiative at Fresh Logistics is carried out in cooperation with GS1 Polska. The other participants are also our customers: manufacturers and retail chains. We are working to eliminate paper documents from the logistics process. Several elements of this process are already in place; others are being developed and will be implemented in 2022. Paperless logistics benefits not only Fresh Logistics and our partners, but the entire market.

Another important element of digital transformation is the increasingly common use of RPA in our processes, i.e. software robots that support or replace the work of users in particular applications, e.g. WMS, TMS or at the interface between IT systems. Robots operating in our company edit shipments and fill in various statuses, accept orders from external platforms and create orders for them in our systems. They validate data between systems. The time gained by automating repetitive processes creates the opportunity for our employees to work on conceptual tasks with high complexity and higher customer value.

Our company focuses on innovation through computerisation and integration of operational and IT systems. The best proof of this is the MyPlan application, which supports timely departures/arrivals of goods from/to warehouses.

The concept for the MyPlan application was developed by employees as part of the Better Every Day program. Teams started working on timeliness with a simple sheet of paper, problem solving, measuring, looking for waste. As the topic was developed, tools were created in Excel or SQL, the usefulness of which was verified during daily operations. The solution became part of the daily work routine and visibly improved the results of on-time departures. Therefore, the decision was made to transfer the prepared solutions to the MyRaben platform, introduce central management of the application and integrate the application with the transport management system (TMS). In the second phase of the project we integratedMyPlan with applications such as XDockNavi, MySlot, Terber and Elcar, and to interface back from MyPlan to TMS.

The MyPlan application visualizes warehouse departure and arrival plans and their execution status. A significant role in the application is played by the way routes are presented for handling. The plan prepared by the Transport Department in the TMS is reflected in a graphic form. This form makes it possible to quickly assess the correctness of the plan as well as find bottlenecks or optimization opportunities. The visual form also helps to approve the route plan by transport and warehouse management. The Transport Department is obliged to prepare a plan that takes into account the limitations of the warehouse and verifies transport resources. The Warehouse Department is responsible for the timely implementation of the plan confirmed with transport and the provision of warehouse resources. In the shipment handling process, on the other hand, warehouse workers are provided with route visualization similar to an airport arrival/departure board. Routes pop up on the board at pre-scheduled intervals with basic route information and expected operating times. The board is equipped with an andon system, which is triggered in case of a threat of a delay.

Subsequently, a sister app called MyTractor was developed to manage the provision of trailers for loading. Commands from MyPlan are passed to MyTractor, validated by workers at the loading docks and sent to MyPlan. The next few months will see the development of the MyPlan application, which will facilitate the handling of pickup routes and communication between the Transport Department and the Customer Service Department.

The articles from these contributors are based on their personal expertise and viewpoints, and do not necessarily reflect the opinions of their employers or affiliated organizations.