First Class Logistics for Fast Growing Pure Player

Modular concept: “Based on the strong growth of ATP, the AS/RS is currently being expanded from 50,400 to 65,000 tote locations.“

ATP and WITRON realize state-of-the-art E-Commerce logistics center First class logistics for fast growing pure player

1 Be innovative • Be committed • Be successful www.witron.com ATP and WITRON realize state-of-the-art E-Commerce logistics center First class logistics for fast growing pure player

ATP, Auto-Teile-Poellath GmbH, an on- attractive prices, in next to no time. This line retailer for automotive parts, has promise is to be kept day in and day out – implemented an innovative and mod- a quality demand that requires an optimal ular E-Commerce solution with the logistics infrastructure. “We benefi t from general logistics contractor, WITRON the many advantages of the automated, Logistik + Informatik GmbH. The logis- high perfor mance logistics technology tics center with a size of 12,200 square from WITRON”, said Dr. Stefan Uebelacker, meters / 131,300 square feet ships more Director of Sales, Marketing & Customer Sup- than 10,000 packages per day. For the port at ATP, when visiting the E-Commerce fi rst time ever, both companies who logistics center in Pressath. “High cost-ef- call the Upper Palatinate their home, fi ciency despite small-volume picking, er- presented the result of the project live ror-free picking directly into the dispatch in the course of a common logistics day carton, consequently a very low return rate, with international experts from eight effi cient order consolidation, and shortest different nations. Another highlight of through put times – the WITRON solution Dr. Stefan Uebelacker / Director of Sales, Marketing, and Customer the event was the presentation of the offers all that.” Based on the fl exibility of Service at ATP. former race car driver and Formula 1 the system, it doesn’t matter whether it “High quality demands and high customer service require an commentator, Christian Danner, who deals with small, medium, or large order optimal logistics infrastructure.” drew interesting comparisons between volumes. An effi cient order consolidation

(Image: WITRON) the Formula 1 and E-Commerce. is ensured, independent from the products contained in a customer order. ATP is considered the fastest growing automotive online shop in Germany. The successful e-retailer currently supplies Delivery on the next day of the order more than one million customers across Europe. Trend: upwards. The privately One of the major challenges for ATP is the owned company provides an assortment permanently growing SKU range and the of 700,000 different items including au- handling of a high number of ﬂ ow items tomotive spare parts and wear and tear in a logistically optimal manner. “Today, parts, car care products, electronic parts, we are able to supply our customers from tuning elements, tools, and accessories. The this extremely broad and inhomogeneous E-Commerce distribution center located in product range in an error-free manner and Pressath stores some 30,000 different as fast as possible”, according to Dr. Uebel- products. Top priority in the online trade acker. “A major part of the items is already is to supply its customers with these items assigned to an order, the ﬂ ow items will in the fastest way possible. ATP’s promise be supplied directly by the system before to its customers: The right product at dispatch.” All deliveries and packages must

Be innovative • Be committed • Be successful www.witron.com be timed for a daily supply. So far, same-day Many WITRON customers from the on- delivery is not a top priority for ATP custo- line trade have devolved from a start-up mers from Germany (85%) and the EU inclu- company to a successful medium-sized ding Switzerland and Norway (15%). Today, company. So did ATP. Revenue increased it is absolutely suffi cient to supply the cus- within eight years from 4.1 million Euros tomers in the course of the next day. “The to 85 million Euros. The number of em- goal is to provide all customers with next ployees grew in the same period from 29 day home delivery if they order by 3:00 PM”. to 400. “We think, a highly dynamic industry as online retail, requires modular solutions with scalable system components High scalability of the system to permanently create fl exible logistics structures”, says WITRON Project Manager, “We decided in favor of WITRON as a pro- Josef Gallersdoerfer. “It is not necessary to ject partner because they convinced us re-invent the wheel to create a success- with the best overall concept compared to ful E-Commerce solution – we have the all other providers”, emphasizes Dr. Stefan corresponding components within our Uebelacker. “Another benefi t is, of course, portfolio. The approach is based on an the regional vicinity. Pressath is only about optimal combination of innovative func- ten minutes away from Parkstein”. tionalities from different standard components proven in practical use – in IT and The approach with focus on high modu- control engineering, as well as in mechan- larity, expandability, and flexibility has ics. These functionalities have been ex- proven in practical use: Based on the actly tailored to the individual processes strong growth of ATP, the automated small of ATP and thus been optimally adapted parts warehouse (AS/RS) is currently being to the online business.” expanded by two additional aisles (14,400 additional tote locations) and the number For this reason, the logistics center in Pres- of pick locations is being increased from sath uses both WITRON system solutions, eight to twelve. This expansion is part of “Order Picking System (OPS)” for tote pick- construction phase II, which is done during in the AS/RS, the heart of the system, ing ongoing operation. The AS/RS capacity and the “Ergonomic Picking System (EPS)” will therefore be increased from 50,000 for the picking of large, heavy, and bulky Josef Gallersdoerfer / Project to 65,000 storage locations. And the sys- parts onto pallets or grid boxes. The third Manager and Member of the tem limits have still not been reached. It warehouse area at ATP comprises manual WITRON Management Board. “The system in Pressath is is possible to double the current capacity picking processes for all parts that cannot optimally tailored to the individual processes and to by completely mirroring the AS/RS and the be handled within the automation based the online business of ATP.” high bay warehouse. on their hazardous substance classifi cation. (Image: WITRON)

3 This area uses a radio frequency solution The ergonomic picking of heavy and bulky from WITRON. Depending on the order, items in EPS is done according to the products from this area are consolidated “person-to-goods” principle, via the pick together with the automatically picked mobile directly into the pallet high bay goods in the dispatch area. “Here too, we warehouse, equipped with 12,200 storage tried to focus the holistic concept of the locations. The EPS has a modular design solution”, says Gallersdoerfer. “We only and is easily expandable if needed. Pick automated the areas that would benefi t mobiles are transported to the correct from the cost-effi ciency.” pick location and the pick container is always aligned to the correct storage shelf. The employee is guided by a screen dia- WITRON system solutions OPS and EPS log. At the same time, the pick volume is Small parts are picked at fl exible, shown in a display on the railing of the ve- multi-functional pick and pack The automated picking system OPS in- hicle. Therefore, picking errors are practi- workstations directly into the shipping carton. cludes the integration of an automated cally eliminated. Three EPS picking mobiles (Image: WITRON) small parts warehouse (AS/RS), a distri- and four fully automated replenishment bution loop over conveyor system lines, mobiles are currently being used in the and upstream picking workstations. The seven-aisle pallet warehouse – they are products handled at the stationary and able to process up to 100 order lines per multi-functional OPS picking workstations vehicle and hour. All items of the assort- are provided for picking according to the ment will be provided in each aisle. All goods-to-person principle – order-related module aisles work independently from and in the right sequence. The employees each other – orders will be completed in at ATP pick at eight workstations directly one aisle. Order picking into fl exible pick into the shipping carton based on the dia- containers with up to six levels allows log-supported “pick & pack” principle (an parallel picking of several orders accord- expansion to twelve workstations is cur- ing to the multi-order picking principle. rently being realized). Eight different car- The items picked in the EPS will be packed ton sizes are available. A system specifi es into shipping cartons at twelve packing the optimal carton size for every order. The stations, that are directly connected to consequence: The elimination of trans- the pallet conveyor system, and then porting air” saves transportation costs. equipped with an automatic carton trans- The delivery documents and the invoice portation unit. Employees at these work- will be added to the carton at these workstations are always given the right carton stations. The pick performance amounts size for the respective order. to 100 order lines per workstation per hour.

Be innovative • Be committed • Be successful www.witron.com Order Consolidation Buffer for maximum order density

During the currently realized second construction stage, a so-called Order Consoli- dation Buffer (OCB) with 420 storage locations will be installed directly in front of the dispatch area. In the future, it will buffer the completely picked totes from permanently changing customer require- More than 10,000 packages per day are transported directly into the OPS prior to the ﬁ nal consolidation to ments and business processes”, explains the shipping trailers through the customer- and tour-related orders. This al- Josef Gallersdoerfer, Authorized Signatory use of conveyor systems and telescopic loading stations. lows an even higher consolidation of orders and Member of the Management Board at (Image: WITRON) when it comes to customers and tours. All WITRON. “The high business dynamics must packages will receive their dispatch label be functionally implemented by state-of- and a maximum load securing at two pack- the-art IT systems”. For a largely independ- aging lines before they are transported to ent operation of the logistics system, a the trailer of the respective shipping pro- control software developed by WITRON vider via conveyor system, sorter, and tel- prepares a huge amount of information escopic loading stations. Expansion pos- from the warehouse management system, sibilities have already been considered for presents it in a transparent manner, and the packaging line and the dispatch area. automatically deﬂ ects special offers and decision recommendations for ATP.

E-Commerce production control and state-of-the-art logistics IT High-performance IT also in the service environment In addition to WITRON‘s warehouse management solution, which is exactly adapted A high-performance IT not only provides to the customer business, the so-called transparency in the operative business, E-Commerce production control plays also but it also provides benefi ts for the sys- a central role when it comes to the realiza- tem service and system availability. In case tion of fl exible E-Commerce logistics con- of problems, the ATP technicians can di- cepts. These have been defi ned together rectly communicate with the system via with ATP to always optimally align the smart phone (WiFi) and barcodes applied Strict ergonomic workstation guidelines have been considered logistics processes to the requirements at the conveyor system lines to identify for the consolidation and of the Multi- or Omni-Channel era. “Thus, the elements and revert to all relevant in- packaging of heavy and bulky parts. (Image: WITRON) ATP is able to react fast and fl exible to formation required to solve the problem.

5 Direct sales integrated New logistics center creates into the overall process added values on different levels

Another highlight of the distribution center “With the implementation of WITRON’s logis- is the integration of the direct sales busi- tics solutions, ATP has a logistics system ness in Pressath. “With the possibility of that entirely fulfi lls the complex require- direct sales at a “counter” in the logistics ments of the E-Commerce business and is center, we react to our customers’ request absolutely unique in the online business for to be present not only as an online retailer, automotive parts”, according to the Pro- but also as a specialized retailer directly ject Managers of both companies. Both, in in the region”, says ATP Sales Director, Dr. terms of fl exibility and modularity of the Uebelacker. “Moreover, this is a good test processes in a highly dynamic industry for us to proof if or how stationary and sector, but also in terms of cost-effi ciency, online business can basically be connected.” ergonomics, and ecology. High adherence The items to be picked up will be removed to delivery dates and delivery quality – with via the automated logistics systems and a low returns rate – ensure an outstanding provided to the counter within a short time. customer satisfaction. ATP offers its em-

Stacker cranes and conveyor Heavy and bulky parts are picked in the high bay warehouse systems developed by WITRON’s directly through the Ergonomic Picking System (EPS). subsidiary, FAS, ensure a highly (Image: WITRON) dynamic material ﬂ ow. (Image: WITRON)

Be innovative • Be committed • Be successful www.witron.com Christian Danner: Parallels between E-Commerce and motor sports ployees state-of-the-art workstations. This The E-Commerce experts as well as nu- success of ATP is shown through the de- merous employees of the WITRON Group velopment of new market areas, business and of ATP followed the presentation of areas, and permanent growth, and through the former Formula 1 professional, Chris- numerous awards the company received tian Danner, at the end of the event, who so far: “Bavarias Best 50“ from the Bavar- provided exciting insight into many facets ian State Ministry of Economic Affairs, Me- of motor sports. Accompanied by video dia, Energy, and Technology, “Best Online sequences with spectacular racing scenes Shop in the category automotive parts and and statements of current Formula 1 stars, accessories“ from the magazine “FOCUS” he provided exciting and competent back- The former Formula 1 driver, and “Germany Test”, as well as “Top Shop ground about his own career, the current Christian Danner, inspired the crowd through with his extensive 2016“ from the magazine “Computerbild”, racing scene on and beside the track, as racing knowledge and has drawn interesting comparisons between or the nomination for “Großer Preis des well as the future of automotive racing racing and the online trade. Mittelstandes“ (award for mid-sized com- sports. There are many parallels between (Image: WITRON) panies) – these awards show the impressive motor sports and online trade: “As it is in development of the enterprise. the Formula 1, success in online trade also depends on six cornerstones – quality, in- novation, effi ciency, fl exibility, team play, and speed. The fastest car will not succeed if it doesn’t reach the fi nishing line. Also the fastest package supply will not provide any customer benefit, if the order is in- complete”, according to Danner. Maximum success is only possible with a functioning overall concept.

Innovative system service: The service technicians Author: Thomas Woehrle, specialized at ATP communicate directly with the system journalist, Karlsruhe using their smart phone. (Image: WITRON)

7 About ATP: ATP, Autoteile-Poellath Handels GmbH, is an owner-run trade company located in Pressath (logistics) and Kirchenthumbach (administration) – in the Upper Palatinate region (Germany), and was founded in 2002. The company’s activity includes the online trade with automotive spare and wear parts. ATP offers more than 700,000 new automotive parts at attractive prices and original parts quality. Today, ATP employs some 400 staff members at both locations in Pressath and Kirchenthumbach. Moreover, several national and international distribution companies are responsible for the customer service and the distribution of goods. The Bavarian Minister of Economic Affairs gave ATP the “Ba- varia Best 50” award for special strongly growing companies in 2012 and 2015.

The ATP distribution center supplies more than one million customers across Europe. (Image: WITRON)

About WITRON: WITRON Logistik + Informatik GmbH, founded in 1971 (headquarters Parkstein, For editorial questions Bavaria, Germany), designs and realizes customized logistics and material ﬂ ow please contact: systems that generate sustainable competitive advantages for their clients. WITRON WITRON has all the decisive key elements of a successful project under one Logistik + Informatik GmbH roof: logistics design, information and control technology, mechanics design Neustaedter Str. 21 and production, as well as functional responsibility as general contractor for D-92711 Parkstein/Germany logistics. The WITRON Corporate Group has 2,400 employees worldwide. Phone: +49 9602 6000 WITRON’s annual revenue in 2015 amounted to 420 million Euros. Other WITRON Fax: +49 9602 600 211 branches are located in Rimpar (Germany), Arlington Heights, Illinois (USA), [email protected] Toronto (Canada), Venray (The Netherlands), Stoke-on-Trent (UK), Madrid (Spain), Strasbourg (France), and Singapore. www.witron.com

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