United States-April 14, 2020, 01:00 PM
Largest Ukrainian chain of health and beauty stores benefits from 4-fold reduction in order picking errors at distribution centers
NEW YORK – April 14, 2020 – Infor, a global leader in business cloud software specialized by industry, today announced the successful implementation of Infor WMS (warehouse management system) in the distribution centers of EVA, the largest Ukrainian chain of health and beauty stores. The total area of the distribution centers is more than 77,000 square meters, and by the end of 2020 it will exceed 100,000 square meters.
The EVA chain is the leader in the perfumery and cosmetics segment. Its stores sell cosmetics, perfumes, hygiene products, body care products, household chemicals, accessories and household goods. At the end of 2019, the chain, founded in 2002 in Dnipro, consisted of just under 1,000 stores and offered customers more than 30,000 items, including 40 own-brand lines. The company has more than 11,000 employees. More than 8 million people are regular customers of EVA stores and also members of the EVA Mosaic loyalty program.
According to EVA’s development plan, in 2020, 150 new stores are set to open, and the number of warehouses should increase from four to six with a simultaneous increase in the available space by almost a quarter. The company is prioritizing the fast expansion of e-commerce, and by the end of the year, the estimated number of stock-keeping units (SKUs) for the online segment is set to reach 150,000, and for the offline segment reach 40,000 units. According to calculations, during this period, 350,000 orders will be picked per day at the distribution centers.
To support this rapid growth, the EVA chain needed a new solution. The old system did not provide sufficient backup speed for the corresponding volume of orders, and there were also certain restrictions for owners of business processes. In addition, plans were in the pipeline to create new processes that could not be implemented by the existing solution. And without the incorporation of modern data collection terminals, it would be difficult to increase the efficiency of business process management.
Therefore, based on the results of a long selection process among the world's leading warehouse management systems, the Infor WMS solution was chosen. The implementation of Infor WMS — and its integration with the corporate ERP system, the Qlever Intralogistics conveyor and equipment management system and the control module — was performed by LT-Management, a major partner of Infor. Currently, 430 employees can simultaneously work in the system, and by the end of the year, the number of users will increase to 680.
The implementation of Infor WMS has led to a four-fold reduction in the number of errors in order picking and a several-fold reduction in the number of complaints — from 0.14% to 0.04% of the total volume of orders. Over the year since the solution was implemented, the enhancement of several business processes has led to a 20% productivity increase in order picking. In addition, the implementation of Infor WMS means that ‘paper’ technologies, which inevitably reduced the efficiency of the distribution center conveyor system, are no longer used.
“Thanks to the capabilities of Infor WMS and the experience of LT-Management, we were able to implement all the best business practices used in modern distribution centers. We transitioned seamlessly to modern working methods and technologies, and now we can maintain high-growth rates that are not limited by the capabilities of the warehouse system. Despite the industrial status of Infor WMS, this system allows our company to introduce new processes and independently open new warehouses,” said Denis Zakora, EVA’s warehouse logistics manager.
“The architecture of Infor's warehouse management solutions helps companies seamlessly grow and scale their capacity. In any situation (increasing order volume, product range expansion, increasing number of stores, etc.), the solutions will work stably and reliably, meeting all the requirements of the business,” said Dmitry Martynov, Infor's official representative in Russia and the Commonwealth of Independent States (CIS).
“During the implementation of Infor WMS in the distribution centers of the EVA chain, the LT-Management team addressed all the needs of the customer. The company expertly performed the implementation process and integration with corporate systems. As a result, the Infor WMS solution has provided the distribution centers with the all new technical capabilities necessary for their growth,” said Oleg Landyshev, project manager of LT-Management.
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