Driving Execution

A Milestone in Karlsruhe: New Central Warehouse Optimizes Logistics Processes

September 2, 2024

In mid-July, the new central warehouse was opened in Karlsruhe, Germany. This is a milestone that was celebrated in style. After all, transitioning the logistics processes is a key requirement for relieving the value streams.

What Exactly Does This Mean?

Incoming goods, primarily production materials, are received, logged, and (contrary to in the past) temporarily stored in the central warehouse. In the subsequent steps, storage will use a 2-bin kanban system and order picking for production. Distribution transports the order-specific components to the value streams for assembly. The end products produced there are then delivered by distribution back to the central warehouse where they can be packaged and dispatched.

Finalization Is a Vital Stage

In this process, finalization is a crucial stage. It is a real “hotspot” explains Enrico Haack, Team Leader Warehouse and Internal Logistics.

“It's at this stage that all relevant data is checked by the system while ensuring that all parts of the delivery and the measurement protocols are actually present, that the correct labels have been printed and attached, and that connectors, cables, and user manuals are included. This allows us to avoid frustrating and unnecessary DOAs, that is to say the delivery of incomplete or incorrectly assembled products,” elaborates Haack.

Thanks to the Team

Until the spring of 2023, the Hexapods value stream was located in these premises. The extensive restructuring work, parallel to the employee's daily operations, proved to be an exceptional load for the entire team.

“I would like to thank each and every one of you for your patience and your willingness to follow this path,” emphasized Haack during his speech for the opening ceremony.

“Despite construction noise and the constant back and forth, you still managed all your work—and in good spirits. Thank you very much.” Altin Osmani, Employee Warehouse and Internal Services, also thanked employees for their overtime and the patience with which the double burden was accepted.

Axel Widenhorn, SVP Operations, likewise used the opening ceremony to extend his thanks to the team for their perseverance and pointed out, “You have built something here that never before existed at PI.” 

Three-and-a-half years ago, all the production material was still stored in the value streams, took away space from these streams, and the production staff were tasked with commissioning in addition to assembly. Disentangling this was a central concern of the restructuring and a unique challenge. Setting up the central warehouse is the first step on a path toward continuous improvement from which Operations still sees considerable potential for optimization.

The central warehouse is the foundation for the logistics of the future.

Axel Widenhorn, SVP Operations

Contant people: Enrico Haack / Altin Osmani

Written by Martina Brkic on September 2, 2024