Logistics service provider relies on voice technology from Honeywell

Some companies are just as important for a country's infrastructure as the power supply or a highway network: one example of this is the Serbian logistics service provider Nelt. Founded in 1992, the company is a guarantor for domestic and foreign investors for the reliable distribution of their goods. This is also the case for the American consumer goods group Procter & Gamble, which has been a Nelt customer from the very beginning. The success of both companies in the Balkans is closely linked. Nelt is now also the preferred logistics partner for other international brands such as Kraft Foods, Wrigley, Durex and Scholl.

This trust is based above all on the high quality and great innovative spirit of the Serbs. The most recent example is the central warehouse in Dobanovci near Belgrade. Since April 2015, around 60 pickers have been picking around 8,000 orders a day in three shifts with the help of voice technology from Honeywell Vocollect Voice Solutions. This makes Nelt the first company in the Balkans to utilize the benefits associated with this technology: These include increased productivity, reduced operational costs and improved ergonomics. At Nelt, picking orders are sent directly from the Symphony G.O.L.D. warehouse management system to the voice device - the Talkman - via WLAN. There, they are converted into voice commands, which are then transmitted to the employee's headset. In Dobanovci, 25 Talkman A500s and 60 SR20 headsets are in use.

"We have reduced errors to a minimum, which has lowered costs and further increased customer satisfaction." Dejan Milunovic, Supply Chain Manager, Nelt

35 languages on offer

The Vocollect Voice Solution has replaced picking with handheld terminals at Nelt. The company is pursuing a number of goals with this: "With voice-controlled picking, our employees have both hands and eyes free for the actual work," emphasizes Dejan Milunovic, Supply Chain Manager at Nelt. In addition to the optimized ergonomics, the system automatically leads to a very high level of concentration of the pickers on their task. This in turn has a positive effect on productivity and the error rate, which has been noticeably improved once again thanks to Vocollect Voice. "We have reduced incorrect deliveries and complaints to a minimum, which has lowered costs and further increased customer satisfaction," says Milunovic.

Vocollect created the Serbian language version especially for Nelt, which is used by around one million people in 60 countries worldwide. The new South Slavic version is the 35th language that the system developed by Vocollect understands. A voice announcement contains the warehouse address with aisle and compartment number as well as the quantity of items to be picked there. Once on site, the picker speaks the two-digit check digit attached to the storage location, which is verified by the Talkman. Only then does the picking take place, which is then confirmed by the employee via an announcement. Symphony G.O.L.D. then updates the stock levels in real time.

Performance-related pay

Supply Chain Manager Milunovic sees the detailed documentation of all picking steps as another key advantage of voice control: "We measure the picking performance and error rate every day and can intervene immediately if there are any conspicuous developments." On this basis, Nelt was able to introduce fair performance-related pay, which enables the 60 pickers to earn a higher income if they deliver the right quality. This now consists of a fixed salary and a variable component, the amount of which depends on the weight moved, the number of items picked and the level of accuracy. The target here is 99.5 percent. Those who exceed this are rewarded, with some of the employees achieving a rate of 99.9 percent. "The Honeywell Vocollect Voice Solution helps our employees to avoid errors and increase their personal income," says Vuk Mijanovic, Warehouse Manager at the Dobanovci central warehouse.

Picking at piece level

The particularly detailed order structure must also be considered in this context. This is because many small customers are supplied from the central warehouse in Dobanovci. They often only order one or two of the available items, while each order contains up to 25 items. The order pickers therefore have to repeatedly tear open boxes and remove individual items. In the past, the handheld computer, which was still available at the time, had to be put down for this work step, which was cumbersome and time-consuming.

Voice Results

Goals:∙ Reduction of operating costs ∙ Error-free picking ∙ Higher productivity ∙ Easy training of new employees ∙ Optimized documentation

Application:∙ Voice-controlled picking ∙ Combination with the Symphony G.O.L.D. warehouse management system

Installation:∙ 60 SR20 headsets ∙ 25 Talkman A500 ∙ Vocollect software

Results:∙ Improved ergonomics ∙ Greater productivity ∙ Higher picking quality ∙ Increased customer satisfaction ∙ Improved income opportunities for employees

The order structure described is typical for a country that is still at the beginning of its economic development. The average retail sales area is still well below Western European standards, which leads to small order quantities. For Nelt, the reliable handling of very small quantities is therefore one of its quality features. No wonder the logistics service provider has already been commissioned to set up distribution in Zambia, Mozambique and Angola and operates its own branches there.

Quick incorporation

Nelt is also planning to introduce Vocollect technology in these countries. However, the logistics service provider first wants to establish the successful process in its subsidiaries in Bosnia, Herzegovina, Macedonia and Montenegro. Nelt's proven IT partner - the Alba Group - will therefore probably have a few more projects to tackle. "The cooperation with Alba during the introduction of voice-controlled picking was very efficient and fair," emphasizes Milunovic. The implementation of the solution in the central warehouse in Dobanovci took just 30 days. After a further 30 days, the test phase was completed and all employees had become accustomed to the new way of working.

Speaking of which, new employees and the temporary staff needed during the peak season can be trained in no time at all thanks to the user-friendly Vocollect Voice solution. "And once you've worked with a headset and Talkman, you won't want to do without this technology again," says Milunovic. Conclusion: Following the pilot project in Serbia, the voice technology will quickly spread throughout the Balkans.

www.vocollect.de