Restructuring of pharma logistics, ALIUD PHARMA GmbH & Co. KG Laichingen

Administration and logistics were separated from each other in the past; stock was stored and client orders processed in rented spaces. For the purpost of having an optimal client delivery, an expansion of the offices as well as an efficient order picking and dispatch processing at the administrative centre was conceptualised. The storage of stock was handed over to an external service provider. The new logistics is based on three principles:

• All incoming goods arrive at the service provider; stocks are stored there until QM release
• Only tested goods are mostly daily stored in the own pallet warehouse
• The complete article spectrum is available in order picking to process orders as quickly as possible

Advantages:

• Economical expansion of office areas at the administrative centre
• Spatial merging of administration and logistics on the own sites
• Increase in efficiency of logistics processes
• Increase of logistics service levels concerning delivery quality and speed

Office building

Office expansion
The three-storeyed addition to the administrative building enabled an almost doubling of usable office areas. As part of this, archiving functions were consequentially transferred to more economical logistics areas and equipped with space-saving technology.
A particular feature of the new construction is the lavish stairwell. The integrated passenger lift is disabled-friendly. The model dispatch could be extended in new rooms and designed completely new thanks to these steps.

Pallet warehouse
The transfer of stocks to a service provided unburdens the own pallet warehouse to a minimal stock. This is used as replenishment for order picking of partial quantities as well as for shipment of whole cartons when large quantities are ordered. The pallet warehouse has two inductive VNA order-picking trucks.
ALIUD PHARMA fixed standardised carton sizes, layer patters and pallet heights with all suppliers as part of this project. This simplified handling in the warehouse and enable a volume-optimised dimensioning of the flow racks. Empty delivery cartons can be reused as shipment cartons to save resources.

Order picking
The core of the logistics processing is the order picking - all single packages are packed ready to be shipped here with minimal order throughput times. Volume-optimised shipping cartons have barcodes and are transported to the respective picking zones via conveyor systems. Using a pick-by-light system, packing is done directly into the shipping carton from whole pallets or from flow racks. Completely picked cartons are transported towards package checking via a weighing scale before the packages receive a delivery slip and bill and are closed. After strapping, the cartons, they are sorted according to shipping form, stacked and sent to the dispatch area. Small packages are collected on mixed pallets before dispatch. For large orders, whole cartons from the pallet warehouse are consolidated with smaller quantities from the picking area.

Pallet storage

Archive storage

Order-picking zone

• Minimisation of variable logistics costs through efficient technology and processes
• Minimisation of fixed logistics costs through outsourcing
• Increase of pick performance per worker
• Easy training of new employees thanks to system support and user guidance
• Effective and ergonomic design of workstations
• Capacity reserves through flexible staff usage and modification of daily work times
• Increase of data transparency by networking all processes in real time
• Reduction of error rates in the picking processes
• Savings in returns processing
• Reduction of order throughput times, quick processing of urgent orders
• Increase of service level in delivery
• Further expansion of internet business
• Retention of the positive price/performance ratio of ALIUD products

Packing station

Expansion of pharmaceutical logistics ALIUD PHARMA GmbH & Co. KG

ALIUD PHARMA GmbH & Co. KG located in Laichingen is a 100% subsidiary of STADA Arzneimittel AG. Barely 3 years after restructuring of the entire pharmaceutical logistics, Aliud executed the first expansion level.

Situation
The continual growth of the product spectrum brought the existing order-picking facility to its spatial limits. The storage of whole pallets also reached a bottleneck in the same way.

Solution
While the logistical structures in the existing buildings could be expanded, the administrative building had to be extended by one storey to accomodate the additional office areas. To ensure the constantly increasing demands in the logistics chain, all storage and picking areas were equipped with a cooling system as part of the modifications. The expansion was carried out with proven reliable partners in order to ensure a quick realisation during running operations.

Order picking
By building an integrated platform system, the available storage for the picking system could be increased by over 60%. The connection of both system parts was ensured by two new vertical conveyors. Beginning of an order, checking and dispatch stations were dimensioned in the base concept in such a way that the expansion was possible without any interference. The platform system enabled the number of storage slots on the ground floor for Top A articles (on whole pallets) to be more than doubled. This led to a clear reduction in replenishment movements. The construction and assembly of the new system took place during running operations, at night and on weekends as well.

Samples dispatch
The increasing occurence of sending samples - connected to reducing shipping cycles - required a replanning of workstations. Article supply was in flow racks, shipment preparation can take place in a "flow principle" if needed. The samples dispatch was placed on the platform system next to the new order picking. A primary advantage is the flexible worker usage between both functional areas.

Pallet warehouse
Company-internal changes (primarily archive functions) enabled an almost 50% expansion of the pallet places.

Office areas
By reusing the original samples dispatch areas as well as adding an additional storey, the direct office area was expanded by around 40%.

Data and facts

New picking aisles in samples dispatch - 1

New picking aisles in samples dispatch - 2

Office addition of level 4

Allocation of samples dispatch