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April 29, 2025
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Built-to-Suit Warehouse Solution for High-Precision Component Manufacturer
ClientA Leading German Manufacturer of High-Precision Components
Challenge
- Strategically locating and operating a warehouse to serve key customers efficiently across the region.
- Establishing a state-of-the-art finished goods (FG) warehouse near the client’s plant to reduce first-mile transportation costs.
Solution
Allcargo Supply Chain provided a built-to-suit warehouse management solution designed to meet the unique needs of the client, focusing on efficiency, scalability, and cost optimization. Key elements included:
- Strategic Location: Positioned the warehouse near the client’s plant to minimize first-mile transportation costs and improve response times.
- State-of-the-Art Facility: Established Asia’s largest distribution centre (113,000 sq. ft) for the client, equipped with automated and digitized operations to streamline processes.
- Scalable Operations: Designed the facility to scale with the client’s growth, ensuring flexibility to handle increased demand in the future.
Facts & Figures
Facility Size113,000 Sq. Ft, Asia’s largest distribution centre for the clientSKU Count700+Workforce130 resources operating in 3 shifts, 24x7Pallet Positions16,000 Euro and customized palletsTechnology & Automation:o Automated pre-packing and packing
o conveyors. Various MHEs (Material Handling Equipment) including HPTs, forklifts, RTs, and BOPTs
Customer Value Proposition
Performance & KPI Achievement
Allcargo achieved strict compliance with the client’s key performance indicators, delivering efficient and reliable warehouse management across various aspects:
- KPI / Metrics
- Focus
- Inbound Handling
- Efficient receiving and storage
- Outbound Handling
- Streamlined order fulfilment
- Storage
- Optimized space usage
- Inventory Accuracy
- High accuracy to minimize errors
- Shrinkages
- Reduced loss through tight controls
- Cycle Time – Pick & Pack
- Fast order processing
- Customer Complaints & Responses
- Prompt issue resolution
- Return Stock Management
- Efficient handling of returned items
- Quantity & Weight Accuracy
- Precise handling and measurement
Through a customized and scalable warehouse solution, Allcargo Supply Chain delivered the following benefits to the client:
Cost Savings
Reduced first-mile transportation costs by locating the facility near the client’s plant.
Enhanced Efficiency:
Automated and digitized processes improved cycle times and operational efficiency.
Scalability
Facility design and operations are scalable, accommodating the client’s future growth.
