Denmark - Aarstiderne Case Study

 

Aarstiderne: Danish Fresh Food Delivery

"We needed a new warehouse management system and wanted the most modern on the market. The voice system gives us almost endless possibilities and we are planning to introduce our new way of working to even more co-workers."
Henrik Bendtsen,
Production Manager, Aarstiderne

Objectives
improve productivity and accuracy
improve process for workers
improve quality
to be able to add fresh dairy products
to the order at the last minute
to build a system that could manage a quick expansion

Voice-Powered Results
reduced pick errors by 75 percent
30 percent increase in number of orders handled
More ergonomic working environment
increased flexibility

ROI
calculated to achieve ROI in 2 years

E-Powered results
to expand the solution to distribute products on behalf of other companies with home deliveries
to use the system to distribute food to nearby schools

Aarstiderne Improves Productivity with Voice-Directed Distribution™
Aarstiderne is an online Danish business delivering organic fruit, vegetables and other foods to customers all over Denmark. With the philosophy "you are what you eat", the company is meeting the growing demand in Denmark for organic food.

In keeping with this motto they emphasize positive thinking,
individual responsibility, and a healthy and creative working environment. Aarstiderne started in 1999 with 6 employees and today has over 120 employees. The warehouse is 2500 square meters, with one shift. The company processes about 32 000 boxes per week, and had a turnover last year of 180 million Danish crowns.

The Challenge
Future proof system – develop themselves or use the experts
To deliver more orders they needed better overview of the stock
Aarstiderne is a growing business and was in need of a warehouse management solution that could grow with them. When they received an additional big order of 800 orders per week, doubling their usual delivery, they were in instant need of a secure, future proof and effective solution that would ensure that the company could continue to grow and handle orders with fewer errors. They had two options: to develop a system themselves, to fit their business, or buy a ready system from an expert.

Until then they had no IT support for their warehouse management. All picking was done by paper. Since Aarstiderne is dependent on dairy deliveries from
subcontractors before they can deliver to their customers, sometimes the quantity was reduced. This created a need to quickly and easily split orders to assure that each customer at least got some milk.

They also wanted a better overview of where the products were located, to help the workers process more efficiently to be able to deliver more orders. The solution had to provide more flexibility and higher quality. They wanted to be able to prepare an order with fruit and vegetables in the evening, and then easily add the milk the next morning, in order to guarantee maximum freshness. They wanted a future proof solution that was easy to implement, had a short ROI and was easy to train staff.

The Solution
Hands-free, eyes-free the workers connect to the back office
Smooth integration with existing erP system
Vocollect's partner, Psion Teklogix provided the hardware and customized the Voice Dialogs and Apport Systems handled the implementation and integration of the Voice Dialogs.

Aarstiderne use a Warehouse Management System from Apport Systems, called Apport Picking, together with Vocollect headsets, and belt-worn computers which are
connected to the host computer via a wireless network. Apport Picking is used for receiving goods, placing, picking, transfer, inventory, delivery and track & trace. The solution was integrated into Aarstiderne’s ERP system, Navision.

The worker is notified through the headset about where the product is located, which product needs to be picked, and how many for each individual order. When the fruit box is filled, the worker gives a voice-command through the headset and an invoice and address label is printed.

The Results
Where did all the errors go?
Number of picking errors reduced by 75 percent
Aarstiderne has already reaped many benefits of their system. Errors have been reduced from 100 to 25 per week. At the same time they have been able to
significantly increase the number of orders they deliver, they get a better overview of their stock supply and have more control of the process.
Staff training has been very easy, and the workers have quickly adapted to the new Warehouse Management System. It only takes 2 days for a new worker to learn to fully manage the entire process. The work environment for their staff has also improved as the new solution is more ergonomic than for instance scanners. They enjoy working hands-free eyes-free, which also helps accuracy. The company is now able to keep the dairy products as fresh as possible by being able to pick the goods at the last minute. The solution is well-adapted for handling the many individual orders in their business, and they are now looking for more ways to use it, such as for handling other companies’ processes for individual ordering, and delivering food to schools.

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