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Daniel Schilling,

Highly automated single-user center for dynamic e-commerce fulfillment

Fiege, a pioneer in contralogistics, has built a new single-user center in Hungary for one of Europe's leading online retailers for pet supplies, covering a floor space of around 42,000 square meters. The high degree of automation, represented by a high-performance parcel conveyor system from Heber Fördertechnik, is striking and rather exceptional in the logistics services sector.

Overview of the high-performance system. Up to 2,800 consignments per hour are processed here. © HEBER conveyor technology

Up to 2,800 consignments per hour can be processed via the system. This is made possible by optimally coordinated processes and two kilometers of conveyor technology.

The Fiege Group, headquartered in Greven, Germany, is a fifth-generation family business specializing in modular logistics solutions for cross-industry clients. The logistics service provider, which also specializes in digital services, real estate and ventures, is currently represented in 16 countries with 133 locations. Szigetszentmiklós near Budapest has now been added to the list. There, too, not far from the important M0 transport route, Fiege will take over all processes from goods receiving, quality checks and warehousing to picking, packing and dispatch preparation to handover to CEP service providers.

István Vincze, Regional Project Manager Fiege Hungary, praises: "Heber proved to be flexible and fast and solved all problems that arose during the ongoing process 100 percent. We have achieved all our goals." © HEBER conveyor technology

The twelve-metre-high logistics center was equipped with ergonomic conveyor technology and an earthquake-proof shelving system. The aim and task is to supply the online retailer's customers in south-eastern Europe even faster and thus make an important contribution to further optimizing the online shopping experience. The number of employees at the new site has been set at around 200.

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Complex service profile from a single source

In this context, Heber Fördertechnik from Oberessendorf in Baden-Württemberg was responsible for installing the entire fully automated parcel conveyor system, including the integration of machines for erecting cartons and reducing the volume of shipping cartons as well as for banding. The scope of supply and services also included the programmable logic controllers (PLC) at conveyor technology level and the material flow computer including visualization.

One way to significantly reduce transport costs is to use the volume reducers shown in the picture. After filling, these cut the packages to the exact size of the contents, fold the cardboard boxes back together accordingly and cover them with a lid © HEBER conveyor technology

The brief was to fully integrate the technical and IT systems, taking into account the conditions of the existing logistics property or the one currently under construction. All currently applicable safety regulations also had to be taken into account, for example with regard to the risk of possible earthquakes in Hungary.

Numerous sticking points solved cooperatively

"This project was a major challenge due to the very short implementation time and the high degree of automation," reports István Vincze, Regional Project Manager at Fiege in Hungary. "That's why we involved our central engineering office in Germany. As the team had already completed several automation projects with Heber, it was obvious to include the provider in the tender." Heber also impressed the competition with its short response time and cooperation right from the discussion phase, as well as its guaranteed delivery times in a tight supply situation.

The new Fiege Single User Center in Hungary has a floor space of around 42,000 square meters. © HEBER conveyor technology

The offer to implement a manual interim solution with the help of order picking trolleys and forklifts was also decisive for the award of the contract. As a result, the workforce at Fiege Szállítmányozási és Logisztikai Kft. was able to start work even before the full automation was completed.

Cleverly combined and implemented during operation

The collaboration began with the signing of the letter of intent (LOI) in April 2021, followed by the commissioning of the manual interim solution in September of the same year and the go-live of the automated system in mid-March 2022. The tight timeframe was a particular challenge in itself. At the same time, while the warehouse was already under construction, more than ten subcontractors had to be coordinated and Covid-related restrictions and delays on the supplier side had to be compensated for.

There are 24 loading telescopes in use for convenient loading. © HEBER conveyor technology

As the staff at the new logistics center had already started processing online orders in September 2021, the container and parcel conveyor system with a total length of around two kilometers was set up by lifters during ongoing operations. In addition to the machines for carton erection and carton volume reduction, the conveyor system also includes banding. There are also continuous weighers for pick checking and parcel weight determination, five stations for dispatch labeling and 24 loading telescopes. Several NOK controls, eight manual workstations, two quality control stations and four areas for manual palletizing of cartons are also connected.

By integrating the machines for volume reduction, Fiege is also counteracting the problem, increasingly criticized by customers, that shipping cartons often contain more air than goods. The system cuts the parcels to the exact size of the contents, folds the cardboard boxes back together accordingly and provides them with a lid. One effect of the high-density filling level achieved that should not be underestimated is the ability to make optimum use of the capacity of vans and trucks, thus significantly reducing transport costs.

Process varying sizes reliably and error-free at high speed

When asked about the Herculean tasks that had to be mastered in the areas of mechanics, software and control technology, István Vincze explains: "I see the biggest challenges in the control software. There are many individual components and processing machines within the two-kilometer-long conveyor system, and the throughput is up to 2,800 parcels per hour. Coordinating all of this was a major task."

The dimensions of the eligible packages vary between 305 and a maximum of 950 millimetres in length. The minimum weight is 150 grams, and values of up to 32.5 kilograms are achieved on the scale upwards. At the same time, when designing the automatic systems, it had to be taken into account that the distribution of the carton sizes can fluctuate when they are fed onto the conveyor system. Among other things, these shifting loads were to be compensated for by appropriate buffer capacities, especially in front of the manual finishing stations. It also had to be taken into account that the number of straps per package during banding depends on the size of the outer cartons.

Targets also achieved thanks to flexible change management

In view of the current order situation, Fiege's single-user center in Szigetszentmiklós, centrally located on one of Hungary's main traffic arteries, operates a two-shift system from Monday to Sunday. At weekends, an extended shift of ten hours can be added if required. "There are always surprises with such a large, extremely complex project, in which many dynamically sequenced process stages had to be implemented, especially as the preparation time was very short," sums up site manager István Vincze. "Active change management was also frequently required. Heber proved to be flexible and fast in this regard and solved all problems that arose during the ongoing process 100 percent. We achieved all the targets we set ourselves."

heber-foerdertechnik.de

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