Let’s face it: only a few dozens of global or multi-national companies open one or more new automated warehouses year after year. For the majority of the wholesalers, distributors, e-com outlets etc. an automated warehouse represents a major, unique and exceptional project. Hence it makes a lot of sense to look for help. But what shall a logistic consultant best be assigned with?
A non trivial question
Every (automated) warehouse projects starts with a target. What is the desired state or outcome? I’m not talking about characteristics of the warehouse or the technology. From a business perspective, what are the business goals this project shall achieve? Use your language, the language of your business to formulate these targets.
Then in a second step it might be useful to employ a logistic consultant to translate these targets into “intralogistic” or “warehousing language”. Most likely this will also include (and actually should!) the definition of quantified logistic targets or characteristic values.
Don’t fall into this trap
At this stage I often see the same error: instead of formulating a solution independent requirements document an actual solution is predetermined and often already roughly designed.
Why shall this approach be avoided? Doesn’t it make sense to have a professional consultant define and dimension a rough solution? This will lead to comparable offers from different suppliers all based on the same specs and requirements. What better way to achieve transparency and comparability?
Understand the real target
But is this really your target at this stage of the project? Shouldn’t you try to find the best solution, the optimal fulfilment of your targets for the new warehouse? Who or what ensures that the pretermined solution of the logistic consultant actually is the best concept and the best answer to your demands?
When an engineer designs a combustion engine he uses the laws and formulas of mechanics and thermodynamics. There is no such thing for warehouse automation, no defined science with etablished methods and formulas. Hence there is no given and especially no ‘right’ way to translate a set of requirements into a specific solution.
And many suppliers have established and perfected their specific approach. Just think of the diverse options for the rather straightforward requirement of a mini-load storage and retrieval solution. There are completely different concepts like a stacker-crane (e.g. TGW) vs. a shuttle system (e.g. Knapp) vs. a top-loader/stacker (e.g. Autostore). But even within the same concept there are various supplier specific approaches. Just think of the many different shuttle approaches and lift configurations. Many of them being exclusive and IP protected.
And one of them might just be the perfect solution for your requirements. Way better than any generic solution which was designed to allow comparable offers to the exact same set of specs. Only an open, solution independent requests for quotes has the potential to lead to your perfect solution, to the best answer to your requirements.
The maximum value of the offer phase is derived from the solution and concept competition of the different suppliers and not from the comparison of unit costs or time budgets.
This does not mean that the consultant should not be involved at this stage. But the role is different. Rather than setting a solution concept himself, a good consultant will help to compare different supplier proposed concepts which look incomparable at first glance.
Yes, it’s hard work comparing and evaluating largely differing solution concepts and offers. But in most cases the benefit, the superiority of a specific supplier concept, will outweigh these efforts multiple times.
Understand the real target
Of course, there are many more values a good consultant can provide during the further course of the project. A typical (automated) warehouse project consists of a multitude of different deliveries, many of them requiring expert knowledge for a proper evaluation.
And actually there is one area which is so important that I will dedicate an own blog post to it: the ramp-up phase of the new warehouse. Although it can be seen as a project in its own, in many cases this phase is either overlooked or largely underestimed. So stay tuned for another, hopefully interesting blog post…
What is your opinion on the role of a logistic consultant in a project for a new or upgraded warehouse?