Nord Drivesystems Optimistic About Growth

In a challenging year, NORD DRIVESYSTEMS also looks back on positive developments. Just before the turn of the years 2022/2023, the drive manufacturer passed the one billion euro sales threshold for the first time, increased its number of employees to 4,900 and opened new production locations worldwide.

“2022 was a very successful year, but at the same time characterised by crises”, says Gernot Zarp, Sales Manager at NORD DRIVESYSTEMS. “The customers’ feedback, however, was very positive as despite the bottlenecks in the supply chains we always tried to make everything possible for our customers.”

Focus topics and products

In 2022, the focus was mainly on innovative, energy-saving drive solutions to significantly reduce the energy consumption in industrial applications and to appropriately respond to the increasing energy costs – for example by using the patented DuoDrive and the high-efficiency IE5+ motors. The NORD ECO service supported companies in finding the most efficient drive solutions.

In addition, the NORD Group focussed on the topic sustainability: Internal processes have been made more efficient but also further aspects have been shifted into focus, such as environmental protection, the training and promotion of employees, human rights in the supply chain, certificates (EcoVadis and ISO 14001) and the signing of the UN Global Compact.

Investments and growth

In 2022, NORD DRIVESYSTEMS invested heavily in the extension of the capacities in Germany and abroad. The new office and administration building in Bargteheide was built, the production location in Yizheng, China, was completed and in the first quarter of 2023, the company’s fourth global assembly plant for industrial gear units will be opened in India to map the local growth. Furthermore, the manufacturer plans to extend the electronic production at its Aurich location, and to significantly increase the capacities of the motor factory in Poland.

Prospects for 2023

“The last years have shown that companies must position themselves more broadly. This is why the topic of Multisourcing will get a higher priority, especially in the fields of supply chain and production, but also in the global orientation of the target industries”, Zarp explains. In 2023, the focus will be on industries such as post & parcel, airport, warehouse logistics, bakery and packaging industry, and applications on bulk handling or mixing and agitating.

“Currently, energy-efficient solutions such as our patented DuoDrive and IE5+ motors are very popular as they provide a particular customer benefit. The same applies to our MAXXDRIVE® XD industrial gear units or the NORDAC ON frequency inverters, the power ranges of which we will expand to 3 kW”, says Zarp. Topics such as factory automation and digitalisation will also play an important role this year, particularly with regard to the growing Asian market.

“All in all, we look optimistically to the new year and assume a further improvement of the supply situation and further growth”, says Zarp. In the field of electromechanical motors and geared motors, the manufacturer is already back on pre-crisis level with its standard delivery times achieved and a reliability of more than 90%. “We all yearn for normality and stability instead of crises.”

Nord Drivesystems Optimistic About Growth

In a challenging year, NORD DRIVESYSTEMS also looks back on positive developments. Just before the turn of the years 2022/2023, the drive manufacturer passed the one billion euro sales threshold for the first time, increased its number of employees to 4,900 and opened new production locations worldwide.

“2022 was a very successful year, but at the same time characterised by crises”, says Gernot Zarp, Sales Manager at NORD DRIVESYSTEMS. “The customers’ feedback, however, was very positive as despite the bottlenecks in the supply chains we always tried to make everything possible for our customers.”

Focus topics and products

In 2022, the focus was mainly on innovative, energy-saving drive solutions to significantly reduce the energy consumption in industrial applications and to appropriately respond to the increasing energy costs – for example by using the patented DuoDrive and the high-efficiency IE5+ motors. The NORD ECO service supported companies in finding the most efficient drive solutions.

In addition, the NORD Group focussed on the topic sustainability: Internal processes have been made more efficient but also further aspects have been shifted into focus, such as environmental protection, the training and promotion of employees, human rights in the supply chain, certificates (EcoVadis and ISO 14001) and the signing of the UN Global Compact.

Investments and growth

In 2022, NORD DRIVESYSTEMS invested heavily in the extension of the capacities in Germany and abroad. The new office and administration building in Bargteheide was built, the production location in Yizheng, China, was completed and in the first quarter of 2023, the company’s fourth global assembly plant for industrial gear units will be opened in India to map the local growth. Furthermore, the manufacturer plans to extend the electronic production at its Aurich location, and to significantly increase the capacities of the motor factory in Poland.

Prospects for 2023

“The last years have shown that companies must position themselves more broadly. This is why the topic of Multisourcing will get a higher priority, especially in the fields of supply chain and production, but also in the global orientation of the target industries”, Zarp explains. In 2023, the focus will be on industries such as post & parcel, airport, warehouse logistics, bakery and packaging industry, and applications on bulk handling or mixing and agitating.

“Currently, energy-efficient solutions such as our patented DuoDrive and IE5+ motors are very popular as they provide a particular customer benefit. The same applies to our MAXXDRIVE® XD industrial gear units or the NORDAC ON frequency inverters, the power ranges of which we will expand to 3 kW”, says Zarp. Topics such as factory automation and digitalisation will also play an important role this year, particularly with regard to the growing Asian market.

“All in all, we look optimistically to the new year and assume a further improvement of the supply situation and further growth”, says Zarp. In the field of electromechanical motors and geared motors, the manufacturer is already back on pre-crisis level with its standard delivery times achieved and a reliability of more than 90%. “We all yearn for normality and stability instead of crises.”

TRANSFER.FESTIVAL and IFOY AWARD announce cooperation

IFOY AWARD, the world’s largest intralogistics award, is cooperating with the TRANSFER.FESTIVAL of the Digital.Hub Logistics and the Fraunhofer Institute for Logistics and Material Flow IML. The partners recently agreed to work together. Before the IFOY AWARD Night 2023 begins at 18.00 on 22nd June at Dortmunder U, IFOY AWARD finalists and festival participants will actively shape two sessions on the topics of automation and sustainability on the premises of Fraunhofer IML – following the festival motto of “make, transfer, network”.

Festival participants can choose from a total of 14 sessions – including trend topics such as blockchain or open source in logistics. A special feature will be that instead of PowerPoint slides and endless lectures, innovative, interactive formats such as debates or fish bowls await guests.

“We want to inspire knowledge transfer from science to business and vice versa,” says Anita Würmser, executive chairwoman of the IFOY AWARD jury. “That doesn’t work with a marathon lecture, but only interactively in discussion. Knowledge is required here, but also the courage to express an opinion.”

“The IFOY AWARD finalists and their customers enrich our festival programme with their deep knowledge of solutions and trends in intralogistics,” emphasises Maria Beck, Managing Director of Digital Hub Management GmbH. “At the same time, they benefit from the knowledge of our long-standing programme partners.”

The third edition of the TRANSFER.FESTIVAL will be enriched by lab tours that offer exclusive insights behind the scenes at Fraunhofer IML. Developments such as drones, exoskeletons and autonomous mobile robots (AMR) will be demonstrated. During the lunch break with live music, there will be the opportunity for intensive networking.

At 18.00, the festive IFOY AWARD Night with the 2023 finalists and invited guests from business, science, politics, and the media will start at the Dortmunder U. More than 250 invited guests from seven countries are expected to attend the celebration in the historic former brewing tower of the Dortmunder Union Brewery and on the roof terrace. During the awards ceremony, the secret will be revealed as to which of the 25 nominated devices and solutions in a total of seven categories will be awarded the “Oscar of Intralogistics”. All finalists will undergo the three-stage IFOY audit at the IFOY TEST DAYS as part of the TEST CAMP INTRALOGISTICS on March 29 and 30 at Messe Dortmund. Afterwards, the international jury will make its decision.

 

TRANSFER.FESTIVAL and IFOY AWARD announce cooperation

IFOY AWARD, the world’s largest intralogistics award, is cooperating with the TRANSFER.FESTIVAL of the Digital.Hub Logistics and the Fraunhofer Institute for Logistics and Material Flow IML. The partners recently agreed to work together. Before the IFOY AWARD Night 2023 begins at 18.00 on 22nd June at Dortmunder U, IFOY AWARD finalists and festival participants will actively shape two sessions on the topics of automation and sustainability on the premises of Fraunhofer IML – following the festival motto of “make, transfer, network”.

Festival participants can choose from a total of 14 sessions – including trend topics such as blockchain or open source in logistics. A special feature will be that instead of PowerPoint slides and endless lectures, innovative, interactive formats such as debates or fish bowls await guests.

“We want to inspire knowledge transfer from science to business and vice versa,” says Anita Würmser, executive chairwoman of the IFOY AWARD jury. “That doesn’t work with a marathon lecture, but only interactively in discussion. Knowledge is required here, but also the courage to express an opinion.”

“The IFOY AWARD finalists and their customers enrich our festival programme with their deep knowledge of solutions and trends in intralogistics,” emphasises Maria Beck, Managing Director of Digital Hub Management GmbH. “At the same time, they benefit from the knowledge of our long-standing programme partners.”

The third edition of the TRANSFER.FESTIVAL will be enriched by lab tours that offer exclusive insights behind the scenes at Fraunhofer IML. Developments such as drones, exoskeletons and autonomous mobile robots (AMR) will be demonstrated. During the lunch break with live music, there will be the opportunity for intensive networking.

At 18.00, the festive IFOY AWARD Night with the 2023 finalists and invited guests from business, science, politics, and the media will start at the Dortmunder U. More than 250 invited guests from seven countries are expected to attend the celebration in the historic former brewing tower of the Dortmunder Union Brewery and on the roof terrace. During the awards ceremony, the secret will be revealed as to which of the 25 nominated devices and solutions in a total of seven categories will be awarded the “Oscar of Intralogistics”. All finalists will undergo the three-stage IFOY audit at the IFOY TEST DAYS as part of the TEST CAMP INTRALOGISTICS on March 29 and 30 at Messe Dortmund. Afterwards, the international jury will make its decision.

 

Lead Logistics Provider Service Launches

Unipart Logistics has launched a major new service offering, positioning itself as a Lead Logistics Provider (LLP). The company believes now is the ideal time to unveil its new proposition with supply chain uncertainty caused by events such as Brexit, Covid and the Ukraine conflict. It says businesses are increasingly looking for a single, trusted and independent LLP which can enable them to achieve strategic transformation through increased resilience, productivity and sustainability across the supply chain.

Central to its proposition is a bespoke, fully integrated LLP platform providing real-time visibility and control to manage a customer’s supply chain, now and into the future. Unipart Logistics, whose customers include Jaguar Land Rover, Airbus, Sky and NHS Supply Chain, has invested significantly in the development of its LLP proposition including a dedicated team of specialists in operations, business development and data analytics.

Ian Truesdale, Managing Director of Unipart Logistics, said: “Until the last few years, we had had a reasonable amount of supply chain stability, but more recent events have changed this and we are now in a period of immense geo-political uncertainty. Our LLP proposition is a natural extension of the services we already provide to many of our customers, including some of the biggest names in automotive, tech and healthcare. We have built true collaborative partnerships with many of our customers, often over many years, and we will bring the same approach as an LLP. The total visibility and real-time information our platform offers businesses make it truly unique. The launch of the LLP offering is an important part of our own growth plans, but also has the potential to accelerate the growth of our customers.”

Adam Jones, Business Development and Sector Strategies Director, is spearheading the LLP service and industry engagement. Adam joined Unipart Logistics in December after 15 years’ experience in supply chain logistics across multiple sectors for companies including DHL Supply Chain, ArrowXL and Wincanton. He added: “Unipart Logistics has the history, knowledge and expertise to deliver an outstanding LLP experience. Our unique platform gives customers the ability to control, design and manage everything in one place and, crucially, in real-time, driving continuous operational improvement.

“Our data-driven platform allows businesses to make decisions today, but also supports planning five years and beyond, future-proofing their supply chain and enabling strategic decision-making.
In addition to increased resilience and productivity, the other major benefit of our platform is its capability to support an organisation’s sustainability goals and net zero targets. We can work with our customers to embed greater sustainability across the supply chain considering the business imperatives of speed, cost savings and efficiencies alongside net zero targets.”

Businesses reviewing their end-to-end supply chain can take advantage of the recently launched Advanced Supply Chain Institute at Unipart House in Oxford where they will be introduced to the new LLP integrated platform inside Unipart’s dedicated supply chain technology and innovation space.

Lead Logistics Provider Service Launches

Unipart Logistics has launched a major new service offering, positioning itself as a Lead Logistics Provider (LLP). The company believes now is the ideal time to unveil its new proposition with supply chain uncertainty caused by events such as Brexit, Covid and the Ukraine conflict. It says businesses are increasingly looking for a single, trusted and independent LLP which can enable them to achieve strategic transformation through increased resilience, productivity and sustainability across the supply chain.

Central to its proposition is a bespoke, fully integrated LLP platform providing real-time visibility and control to manage a customer’s supply chain, now and into the future. Unipart Logistics, whose customers include Jaguar Land Rover, Airbus, Sky and NHS Supply Chain, has invested significantly in the development of its LLP proposition including a dedicated team of specialists in operations, business development and data analytics.

Ian Truesdale, Managing Director of Unipart Logistics, said: “Until the last few years, we had had a reasonable amount of supply chain stability, but more recent events have changed this and we are now in a period of immense geo-political uncertainty. Our LLP proposition is a natural extension of the services we already provide to many of our customers, including some of the biggest names in automotive, tech and healthcare. We have built true collaborative partnerships with many of our customers, often over many years, and we will bring the same approach as an LLP. The total visibility and real-time information our platform offers businesses make it truly unique. The launch of the LLP offering is an important part of our own growth plans, but also has the potential to accelerate the growth of our customers.”

Adam Jones, Business Development and Sector Strategies Director, is spearheading the LLP service and industry engagement. Adam joined Unipart Logistics in December after 15 years’ experience in supply chain logistics across multiple sectors for companies including DHL Supply Chain, ArrowXL and Wincanton. He added: “Unipart Logistics has the history, knowledge and expertise to deliver an outstanding LLP experience. Our unique platform gives customers the ability to control, design and manage everything in one place and, crucially, in real-time, driving continuous operational improvement.

“Our data-driven platform allows businesses to make decisions today, but also supports planning five years and beyond, future-proofing their supply chain and enabling strategic decision-making.
In addition to increased resilience and productivity, the other major benefit of our platform is its capability to support an organisation’s sustainability goals and net zero targets. We can work with our customers to embed greater sustainability across the supply chain considering the business imperatives of speed, cost savings and efficiencies alongside net zero targets.”

Businesses reviewing their end-to-end supply chain can take advantage of the recently launched Advanced Supply Chain Institute at Unipart House in Oxford where they will be introduced to the new LLP integrated platform inside Unipart’s dedicated supply chain technology and innovation space.

AD Ports’ Uzbekistan Logistics JV

AD Ports Group, a leading facilitator of global trade, logistics, and industry, and SEG ENERA Group, one of the largest multisectoral holding companies in Uzbekistan, today announced the formation of a new joint venture, ADL-Ulanish, that will provide end-to-end global logistics services across the Republic of Uzbekistan.

Through the new joint venture enterprise, AD Ports Group will bring its cutting-edge expertise in global supply chain logistics and advanced technology to the new company with the goal of addressing some of the logistics challenges faced by enterprises in Uzbekistan, which is a double-landlocked nation, surrounded by five additional landlocked nations. SEG ENERA Group will, in turn, contribute its regional expertise, best practices, and industrial assets, including warehousing capacity, alongside rail and trucking fleets. Through the joint venture, the two entities will serve not only SEG ENERA’s business needs, but also those of other clients within the nation’s market representing a spectrum of industry sectors including, industrial project logistics, oil & gas, e-commerce, healthcare and pharmaceuticals.

ADL-Ulanish will offer a variety of advanced services, including: freight forwarding – air and land logistics; warehousing and storage; customs clearance services; and, the development of inland container depots and dry ports. In addition, the company will provide a range of digital solutions to boost service integration and efficiency, as well as bring expertise in food security and supply chains to support the creation of a food hub in Uzbekistan. Strategically located at the cross-roads between the Asian and European markets, Uzbekistan and the broader Central Asian region, is a vital global land logistics hub, whose regional GDP according to the World Bank is forecasted to grow from 3.9% in 2023 to 4.3% in 2024.

Farook Al Zeer, Chairman, Logistics Cluster, AD Ports Group, said: “The launch of ADL-Ulanish provides us with a platform to extend our extensive portfolio of logistics services and expertise to the key market of Uzbekistan, which is located within a region that is primed for future growth. There is significant demand for freight forwarding and warehousing services in Uzbekistan, which has seen major economic expansion in the recent years, driven by important reforms and modernisation efforts. By leveraging our global expertise, we are positioned to make a transformational impact across key industries, facilitated by advanced digital services and supported by a world-class team.”

Timofey Smirnov, Chief Executive Officer, SEG ENERA Group said: “We are proud to enter this important partnership with AD Ports Group, whose logistics capabilities and expertise have served a number of strategic industry sectors in the MENA region, and which thanks to its recent growth, is now reaching out to support partners in nations around the world. Uzbekistan is a major producer of key exports, including oil, natural gas, gold, copper, cotton, food and other strategic commodities and products needed by the global economy. Further development of our logistics sector will create an exciting range of economic opportunities to support our nation’s growing role as a hub for trade between East Asia and Europe.”

In June 2022, the UAE and Uzbekistan signed a bilateral memorandum of understanding (MoU) to support cooperation in 27 sectors, involving initiatives in government modernisation to benefit from the UAE’s experience and promote the relations between the two nations.

Established in 2006, AD Ports Group serves as one of the world’s premier facilitators of logistics, industry, and trade, as well as a bridge linking Abu Dhabi to the world. Listed on the Abu Dhabi Securities Exchange (ADX: ADPORTS), AD Ports Group’s vertically integrated business approach has proven instrumental in driving the emirate’s economic development over the past decade. Operating several clusters covering Ports, Economic Cities & Free Zones, Maritime, Logistics, and Digital, AD Ports Group’s portfolio comprises 10 ports and terminals, and more than 550 square kilometres of economic zones under KEZAD Group, the largest integrated trade, logistics, and industrial business grouping in the Middle East.

AD Ports’ Uzbekistan Logistics JV

AD Ports Group, a leading facilitator of global trade, logistics, and industry, and SEG ENERA Group, one of the largest multisectoral holding companies in Uzbekistan, today announced the formation of a new joint venture, ADL-Ulanish, that will provide end-to-end global logistics services across the Republic of Uzbekistan.

Through the new joint venture enterprise, AD Ports Group will bring its cutting-edge expertise in global supply chain logistics and advanced technology to the new company with the goal of addressing some of the logistics challenges faced by enterprises in Uzbekistan, which is a double-landlocked nation, surrounded by five additional landlocked nations. SEG ENERA Group will, in turn, contribute its regional expertise, best practices, and industrial assets, including warehousing capacity, alongside rail and trucking fleets. Through the joint venture, the two entities will serve not only SEG ENERA’s business needs, but also those of other clients within the nation’s market representing a spectrum of industry sectors including, industrial project logistics, oil & gas, e-commerce, healthcare and pharmaceuticals.

ADL-Ulanish will offer a variety of advanced services, including: freight forwarding – air and land logistics; warehousing and storage; customs clearance services; and, the development of inland container depots and dry ports. In addition, the company will provide a range of digital solutions to boost service integration and efficiency, as well as bring expertise in food security and supply chains to support the creation of a food hub in Uzbekistan. Strategically located at the cross-roads between the Asian and European markets, Uzbekistan and the broader Central Asian region, is a vital global land logistics hub, whose regional GDP according to the World Bank is forecasted to grow from 3.9% in 2023 to 4.3% in 2024.

Farook Al Zeer, Chairman, Logistics Cluster, AD Ports Group, said: “The launch of ADL-Ulanish provides us with a platform to extend our extensive portfolio of logistics services and expertise to the key market of Uzbekistan, which is located within a region that is primed for future growth. There is significant demand for freight forwarding and warehousing services in Uzbekistan, which has seen major economic expansion in the recent years, driven by important reforms and modernisation efforts. By leveraging our global expertise, we are positioned to make a transformational impact across key industries, facilitated by advanced digital services and supported by a world-class team.”

Timofey Smirnov, Chief Executive Officer, SEG ENERA Group said: “We are proud to enter this important partnership with AD Ports Group, whose logistics capabilities and expertise have served a number of strategic industry sectors in the MENA region, and which thanks to its recent growth, is now reaching out to support partners in nations around the world. Uzbekistan is a major producer of key exports, including oil, natural gas, gold, copper, cotton, food and other strategic commodities and products needed by the global economy. Further development of our logistics sector will create an exciting range of economic opportunities to support our nation’s growing role as a hub for trade between East Asia and Europe.”

In June 2022, the UAE and Uzbekistan signed a bilateral memorandum of understanding (MoU) to support cooperation in 27 sectors, involving initiatives in government modernisation to benefit from the UAE’s experience and promote the relations between the two nations.

Established in 2006, AD Ports Group serves as one of the world’s premier facilitators of logistics, industry, and trade, as well as a bridge linking Abu Dhabi to the world. Listed on the Abu Dhabi Securities Exchange (ADX: ADPORTS), AD Ports Group’s vertically integrated business approach has proven instrumental in driving the emirate’s economic development over the past decade. Operating several clusters covering Ports, Economic Cities & Free Zones, Maritime, Logistics, and Digital, AD Ports Group’s portfolio comprises 10 ports and terminals, and more than 550 square kilometres of economic zones under KEZAD Group, the largest integrated trade, logistics, and industrial business grouping in the Middle East.

Save Money, Reduce Claims Investigations 40%

What if up to 50% of your registered picking errors, and up to 40% of your registered claims investigations, never happened? It would mean that you are taking the blame for someone else’s mistakes. And you’re most likely to pay the bill! According to Staffan Persson (pictured), Global Presales Director and Co-founder of Swedish logistics technology company SiB Solutions, this might be the case.

According to Persson, you can avoid paying those claims:

Q: Staffan, you make a bold statement by saying that up to 50% of a warehouse’s registered picking errors, and up to 40% of its registered claims could be someone else’s problem or even no problem at all?

Staffan Persson: “It´s bold, but it´s what our analysis of our customer base shows us. Errors often equal human mistakes, but we see that other things can, and often do, affect quality.”

Q: Investigating claims can feel like a costly, time consuming or pointless task. How does your services change this for a logistics manager?

Persson: “Today, many warehouse operations have to make intelligent guesses regarding what happened to goods that go missing or seem to have been picked incorrectly. The only way you can really know what happened is to see what happened. That’s what our Intelligent Video and AI Services give companies: true, visual insight into what happened to goods and the ability to lead fact-based improvement initiatives where they are needed. Modern logistics services involve many stakeholders. These include suppliers, transport companies, customers, warehouse staff, production and sales. In these situations, it’s hard to agree on who caused any discrepancy in goods delivered, and who should pay for it, especially when much of that blame game is based on guesswork. When you have searchable video, and ultimately hard facts, you see exactly what happened. You get the upper hand in negotiations with suppliers and customers, while having the right information to make ongoing improvements in the warehouse.”

Q: What does it mean for a warehouse operator?

Persson: “They don’t get blamed for errors that were not their fault. They also have a better incentive to accomplish their targets and KPIs if good quality is part of their salary makeup. You can show operatives potential for improvement in a constructive way by showing fact-based feedback and providing valuable input to continuously improve processes. Operators are also protected against false claims when they have done the right thing but someone else says it´s wrong.”

Q: What does it mean for a customer service agent?

Persson: “Agents can now give customers answers about their goods based on facts. All within minutes and without involving other departments. They can independently conduct meaningful investigations quickly, regardless of product value, and can turn difficult discussions with customers about goods into solutions and extra sales. And of course, their working environment is greatly improved.”

Q: Customers complaining want compensation, right? Is it smart business to validate all claims this way? Is there really a business case?

Persson: “Yes there is. As you can now search and see relevant video clips within seconds, you can quickly evaluate claims. At SiB Solutions we challenge the assumption that achieving 0% errors is too costly. It is no longer too time consuming or too costly to root out any remaining deviations and errors. Sometimes you might end up having to compensate for a claim that you are not responsible for, but you won’t waste time trying to improve a process that actually works, and your operators won’t be blamed for a mistake they didn’t make.”

Save Money, Reduce Claims Investigations 40%

What if up to 50% of your registered picking errors, and up to 40% of your registered claims investigations, never happened? It would mean that you are taking the blame for someone else’s mistakes. And you’re most likely to pay the bill! According to Staffan Persson (pictured), Global Presales Director and Co-founder of Swedish logistics technology company SiB Solutions, this might be the case.

According to Persson, you can avoid paying those claims:

Q: Staffan, you make a bold statement by saying that up to 50% of a warehouse’s registered picking errors, and up to 40% of its registered claims could be someone else’s problem or even no problem at all?

Staffan Persson: “It´s bold, but it´s what our analysis of our customer base shows us. Errors often equal human mistakes, but we see that other things can, and often do, affect quality.”

Q: Investigating claims can feel like a costly, time consuming or pointless task. How does your services change this for a logistics manager?

Persson: “Today, many warehouse operations have to make intelligent guesses regarding what happened to goods that go missing or seem to have been picked incorrectly. The only way you can really know what happened is to see what happened. That’s what our Intelligent Video and AI Services give companies: true, visual insight into what happened to goods and the ability to lead fact-based improvement initiatives where they are needed. Modern logistics services involve many stakeholders. These include suppliers, transport companies, customers, warehouse staff, production and sales. In these situations, it’s hard to agree on who caused any discrepancy in goods delivered, and who should pay for it, especially when much of that blame game is based on guesswork. When you have searchable video, and ultimately hard facts, you see exactly what happened. You get the upper hand in negotiations with suppliers and customers, while having the right information to make ongoing improvements in the warehouse.”

Q: What does it mean for a warehouse operator?

Persson: “They don’t get blamed for errors that were not their fault. They also have a better incentive to accomplish their targets and KPIs if good quality is part of their salary makeup. You can show operatives potential for improvement in a constructive way by showing fact-based feedback and providing valuable input to continuously improve processes. Operators are also protected against false claims when they have done the right thing but someone else says it´s wrong.”

Q: What does it mean for a customer service agent?

Persson: “Agents can now give customers answers about their goods based on facts. All within minutes and without involving other departments. They can independently conduct meaningful investigations quickly, regardless of product value, and can turn difficult discussions with customers about goods into solutions and extra sales. And of course, their working environment is greatly improved.”

Q: Customers complaining want compensation, right? Is it smart business to validate all claims this way? Is there really a business case?

Persson: “Yes there is. As you can now search and see relevant video clips within seconds, you can quickly evaluate claims. At SiB Solutions we challenge the assumption that achieving 0% errors is too costly. It is no longer too time consuming or too costly to root out any remaining deviations and errors. Sometimes you might end up having to compensate for a claim that you are not responsible for, but you won’t waste time trying to improve a process that actually works, and your operators won’t be blamed for a mistake they didn’t make.”

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