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Schneider Electric is a prime provider of innovative solutions for
electrical distribution, industrial control and automation. It is one of Schneider SA's largest
European operations and operates from 17 industrial and commercial sites. Schneider Electric's
Telford and Swindon sites are complex facilities covering more than 12,000sqm, supplying
products and services to four principal sectors (electrical supply industry, infrastructure and
utilities, industry, commercial) in the UK and overseas and holding a stock value of £12 million.
Schneider brands include Merlin Gerin, Telemecanique, Square D and Modicon. Through its brands,
Schneider ranks first worldwide in final distribution products, industrial control and
automation components and busbar trunking. In total Schneider in the UK employs 2,500 people and
has an annual turnover of over £154 million.
Schneider Electric sells through distributors who are chosen carefully for their experience,
expertise and facilities. They are located throughout the UK, providing local stock holding
points and at-the-ready-sources of help and advice.
Schneider Electric’s Challenge
Schneider Electric's challenge was to generate system coherence across the whole Schneider
Group that would allow greater visibility into supply chain systems. As a result of the
rationalisation of the UK warehouses into two very important distribution centres, previous
systems had been outgrown and a new strategic programme had to be developed. Project FACT was
established as a business driven project to implement an integrated supply chain management
system with the WMS as a key component.
Schneider Electric’s Goal
As a SAP R/3 user, seamless integration of the WMS into the ERP system was essential to the
success of the project. By moving forward with the introduction of the very latest technology,
including a real-time management system, Schneider expected improvements and control in all
operational processes within the supply chain infrastructure.
The Catalyst Solution
Schneider Electric carried out an exhaustive search for a suitable supply chain execution
partner that would work together to achieve the business goals. Catalyst's supply chain
execution solution matched these requirements, including the unique advanced interface with
SAP that delivered the seamless integration that Schneider required and all the functionality,
power, speed and reliability demanded. Catalyst also provided the means for Schneider to adopt
a system that was visible throughout in real-time through the implementation and integration
of Teklogix RF devices. Schneider now has three main methods of getting product to its
customers. Dispatch is contracted out to a third party called NightFreight who sort all
picked and packed product at the dock door prior to shipping to Schneider customers. An
express or same day delivery option is available on urgent orders. Finally, there are
collection points at the facilities where customers or contractors with urgent orders or
local companies can come in and pick up their orders. Each distributor receives weekly
deliveries of components to ensure continuously high stock availability. Stock is supplied
from the distribution centres at Telford and Swindon and relies on the automation Catalyst
brings to ensure orders are processed and dispatched promptly throughout the UK.
Benefits
Since implementation of the system, Schneider has realised many of the benefits it set out to
achieve. Productivity and task prioritisation within the supply chain have improved,
together with significant advances in the use of space within the warehouse, with
free bin locations managed and filled automatically. The instant availability of
accurate information on inventory, orders and scheduling have led to a major
improvement in customer service. Questions from customers can be answered quickly
and accurately on both pre- and post-sales enquiries, particularly for order status
and stock availability. In addition, more urgent orders can be prioritised easily
through the system with instant communication to operations staff. Movement of
products and stock within the warehouse is continuously monitored and the system
re-maps locations using dynamic, real-time information to optimise work flow and
maximise efficiency. The real-time system allows inventory checks to be taken at
any time during the day, thereby increasing confidence in stock availability and
ultimately resulting in lower, but more practical, inventory levels.
Return On Investment
Major benefits resulting from the Catalyst implementation include a
delivery fulfilment rate of 99.7%, improved stock accuracy, audit trails,
workload monitoring, visibility and increased information.
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Adobe
Acrobat Reader |
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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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“Our partnership with Catalyst has delivered supply chain execution
systems that give us comprehensive control over all operational processes
within the supply chain. The applications provide a seamless integration
with our SAP ERP system and has maximised the potential of our investment
in this technology. Our inventory accuracy, real-time management and overall
supply chain visibility have driven tangible, bottom-line, benefits and have
resulted in a rapid return on our investment.”
Andrew Holdroyd,
Logistics Development & UK Transport Manager.
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