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The RENAULT VI Group (known commercially
as Renault Trucks) is one of Europe's largest truck manufacturers.
From light commercial vehicles - made for express delivery and city
distribution applications - to long-haul heavy trucks and military
vehicles, Renault VI's commercial offer meets all the needs of road
transportation. In 2001, with a brand-new complete and innovative
range, Renault Trucks own 12.4 percent of the European market for
trucks over 16 tons GVW and 10.9 percent of the market for trucks from
6 to 15.9 tons GVW. Renault VI has a major international presence,
particularly in Europe with a network of 1,350 dealers.
Renault VI Group Goal
Renault VI's goal is to be the number one company for after-market service in Europe.
Renault VI Group Challenge
To achieve this goal, Renault VI identified the need to improve
availability and movement of stock across the continent while
reducing the overall level of stock within its distribution channel.
Renault VI's parts distribution was formerly managed from three centralised
warehouses and ten subsidiaries throughout Europe, each one stocking a
limited variety and supply of parts inventory. Renault VI decided to create
a single, larger distribution centre that could receive and distribute
25,000 order lines per day right across Europe. This was a distribution
centre that would have highly complex warehousing and inventory management
requirements and would require the integration of an ERP system, RF and
material handling equipment. Renault VI needed to identify a company that
understood their requirements and could deliver a complete solution to
handle all aspects of the supply chain involving the distribution centre.
Renault VI's Operations
Renault VI selected its 120,000sq metre Vénissieux site to be its centralised
distribution centre. This site had the initial size, infrastructure and location
to cope with the physical demands of handling over 100,000SKUs and continuous
deliveries and collections. The site employs 550 people with 200 employees working
2 shifts. Products are stocked in pallets and boxes and stored mainly in pallet
racks and on the floor. Teklogix RF equipment is used to scan products during
putaway and picking. Carousels and automated sortation systems are also used to
assist with movement of stock between storage areas, the pickface and delivery and
collection areas. In order to ensure the solution was built on solid foundations,
Renault VI opted for a phased approach to implementation, concentrating on installation
of the CatalystCommand WMS in phase 1. Initially, the WMS was integrated with the
RF equipment to give Renault VI a real-time view of stock availability and location
that helped significantly with overall management of inventory in the warehouse.
In phase 2 Catalyst introduced the interface between the WMS and its carousels and
sorters which further optimised the efficiency of the warehouse. The last phase
of the project involved integrating Renault VI's pan-European SAP R/3 ERP system
with the CatalystCommand WMS.
The implementation of the Catalyst solution has
allowed Renault VI to increase productivity through specialised picking processes.
There are two main types of product movements: Regular orders and urgent orders.
Regular orders represent 60% of Renault VI's spare parts distribution and are delivered
on a weekly basis. Urgent orders received on the day before 5:30pm (and in some
cases by 7pm for certain areas) are delivered before 8am the next day. Renault VI
is now able to meet its goals by offering its distributors and parts suppliers a
better quality service with faster deliveries across greater distances.
Return on Investment
Renault VI's return on investment is inextricably linked to
its ability to increase availability and supply of stock within
its sales network, while reducing the inventory held on-site.
Thanks to the implementation of a complete supply chain solution,
Renault VI has been able to streamline its distribution operation
to a single central warehouse through Catalyst. This has resulted
in a rapid payback and excellent return-on-investment.
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Adobe
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Installer |
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To properly view the downloadable files
on this page, it is necessary to have a version of Adobe
Acrobat installed onto your computer. If you do not already
have this application, a free version is available for
download above. |
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“The project to create a centralised distribution operation that
optimises product supply and availability for our customers has been a huge
success.”
- Renault VI
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