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Wim Bosman S.R.L. - European Gateways Platform

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<strong>Wim</strong> <strong>Bosman</strong> S.R.L.<br />

EGP seminar – May 18 th 2011<br />

MEMBER OF THE TEAM


Total Supply Chain Solution<br />

<strong>Wim</strong> <strong>Bosman</strong> and<br />

Samsung Electronics<br />

Thomas Bijl – <strong>Wim</strong> <strong>Bosman</strong><br />

Gabi Banica – Samsung Electronics<br />

Bucharest – May 18 th 2011<br />

2


Agenda<br />

� Company introduction <strong>Wim</strong> <strong>Bosman</strong><br />

� Company introduction Samsung Electronics<br />

� Total supply chain solution<br />

� Inbound container lead-time reduction<br />

� What did we improve?<br />

� What could still be improved?<br />

� What and how did we realize it?<br />

3


Company introduction <strong>Wim</strong> <strong>Bosman</strong><br />

� <strong>Wim</strong> <strong>Bosman</strong> SRL<br />

� Since 1992; located in Ploiesti<br />

� Own fleet of >60 transport units<br />

� 100 team members<br />

� A-class public warehouse of 10,000 m2<br />

� ISO 9001:2008<br />

� AEO since May 2010


Company introduction <strong>Wim</strong> <strong>Bosman</strong><br />

� Fully integrated supply chain solutions<br />

� Warehousing, Logistics & Value Added Services<br />

� Cross-dock services & Vendor-hub solutions<br />

� Domestic distribution<br />

� <strong>European</strong> forwarding<br />

� Air & Ocean freight<br />

� Customs brokerage & bonded warehousing<br />

� Project based transport for special and exceptional shipments<br />

5


Company introduction <strong>Wim</strong> <strong>Bosman</strong><br />

� <strong>European</strong> parent <strong>Wim</strong> <strong>Bosman</strong> Group (The Netherlands)<br />

� 16 branches in 7 countries<br />

� 1.600 team members<br />

� Own fleet of >1.500 transport units<br />

� 340.000 m2 warehouse facilities<br />

� Active member System Alliance Group<br />

� Active member Volupal and SystemPlus<br />

6


<strong>European</strong> presence <strong>Wim</strong> <strong>Bosman</strong><br />

7


Company introduction <strong>Wim</strong> <strong>Bosman</strong><br />

� Worldwide parent Mainfreight (New Zealand)<br />

� Since April 1 st 2011<br />

� Founded in 1978<br />

� 186 branches in 12 countries<br />

� Presence in Oceania, Asia, USA and Europe<br />

� 4,600 team members<br />

� Annual turnover €950 million<br />

8


Global presence Mainfreight<br />

9


Company introduction Samsung<br />

1-st of July 2010: Official commercial activity of Samsung Electronics Romania<br />

started for Ro. and Bg. by taking over the activity from the existing importers in the<br />

field of all Consumer Electronics products and with the aim of becoming No1 in all the<br />

categories:<br />

TV’s DVD / Blue ray Home Theatre MP3 players Mobile phones Tablet PC<br />

Photo/Video<br />

Camera<br />

Monitors Printers Note PC’s<br />

Microwave Ovens A/C split systems Build-In Products<br />

Vacuum Cleaners<br />

Refrigerators Washing Machines<br />

10


Company introduction Samsung<br />

Logistics solution of Samsung Electronics Romania is part<br />

of Samsung Europe Logistics Services organization:<br />

Production<br />

Plant<br />

Wronki<br />

EEDC Gan<br />

Direct<br />

Distribution<br />

BG & RO<br />

Inbound<br />

Trucking<br />

DC Ploie����<br />

Distribution<br />

BG & RO<br />

Sofia<br />

Port of<br />

Constanta<br />

Inbound<br />

Sea<br />

freight<br />

Inbound, Warehousing and<br />

Distribution to Ro and Bg<br />

customers (through local<br />

Romanian warehouse, DC<br />

Ploiesti):<br />

REF; WM; MWO; A/C; Build In; VC<br />

Direct Distribution to Ro and<br />

Bg customers (from EEDC –<br />

SK, Gan):<br />

TV’s; DVD/BD; HC; MP3; HHP; DI;<br />

MON; PRIN; NPC<br />

Returns from Ro and Bg<br />

Customers:<br />

All products to Romanian<br />

warehouse, DC Ploiesti


Business case<br />

<strong>Wim</strong> <strong>Bosman</strong> & Samsung Electronics<br />

Total Supply Chain Solution<br />

12


Business Case Samsung Electronics<br />

Tender project<br />

� Central warehouse and distribution solution of white goods for the<br />

Romanian and Bulgarian market<br />

� Very short project lead-time:<br />

� Tender start: March 10 th 2010<br />

� Award of business: May 7 th 2010<br />

� Go/no-go audit: June 25 th 2010<br />

� Go-live: July 1 st 2010<br />

� Main selection criteria:<br />

� Proven quality and flexibility in operations and IT (Samsung-Benelux operation)<br />

� Experience with white good operations in The Netherlands and Belgium<br />

� Empowered management and ability and dedication to implement within a very<br />

short timeframe<br />

13


Business Case Samsung Electronics<br />

Container handling<br />

� Container planning and trucking Constanta – Ploiesti<br />

� Customs management<br />

� Defumigation process<br />

Warehousing<br />

� Block storage, racking storage, return area and high security cage<br />

� Material handling by clamp truck<br />

� VAL-activities: labeling, adding documentation, repacking and reconfiguration<br />

� Return center all product groups<br />

� Serial number controlled (RF-scanning)<br />

� High security site (hardware and procedures)<br />

Distribution<br />

� DC and store (milk run) deliveries in Romania and Bulgaria<br />

� Loose loaded and palletized<br />

� Express deliveries<br />

� Reverse flow for all product groups<br />

� Direct container shipments from Constanta<br />

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Business Case Samsung Electronics<br />

Production Plant<br />

Wronki<br />

Inbound<br />

Trucking<br />

Hub Arad<br />

Distribution<br />

BG & RO<br />

Hub Sofia<br />

DC Ploie���<br />

Port of<br />

Constanta<br />

Inbound<br />

Sea freight<br />

15


Warehouse impression Samsung operation<br />

16


Warehouse impression Samsung operation<br />

17


Material handling Samsung operation<br />

18


19 Material handling Samsung operation


Inbound lead-time reduction<br />

Strong focus on lead-time from port to stock!<br />

Why?<br />

� Availability of goods for sale<br />

� Logistics cost and aging<br />

“On stock” = Goods Receipt message received<br />

20


Inbound lead-time reduction<br />

Vessel<br />

All steps influence the lead-time!<br />

� Handling speed at the terminal in Constanta<br />

� Customs in Constanta<br />

� Container scanning in Constanta<br />

� Container trucking to Ploiesti<br />

� Customs in Ploiesti<br />

� Defumigation process at <strong>Wim</strong> <strong>Bosman</strong><br />

� Material handling (dock to stock) at <strong>Wim</strong> <strong>Bosman</strong><br />

Port<br />

Constanta<br />

Customs<br />

Constanta<br />

Container<br />

scan<br />

Trucking<br />

Customs<br />

Ploiesti<br />

Defumigation Warehouse<br />

<strong>Wim</strong> <strong>Bosman</strong><br />

EDI<br />

Samsung<br />

System<br />

Samsung<br />

21


Inbound lead-time reduction<br />

Worst case scenario lead-time port to stock:<br />

7 days<br />

Samsung worldwide KPI on inbound lead-time:<br />

4 days<br />

Action needed!<br />

22


Inbound lead-time reduction<br />

So, what did we do?<br />

� No customs clearance in Constanta<br />

� Under T1 to Ploiesti<br />

� Detailed information exchange Samsung/<strong>Wim</strong> <strong>Bosman</strong><br />

� Access Samsung Global Logistics Portal (GLP)<br />

� Advanced planning (prioritizing)<br />

� Efficiency in administrative process<br />

� Yard management (reduction of demurrage cost)<br />

� Increased number of used shipping lines<br />

� More arrivals, less containers per arrival<br />

� Increased availability of shipping line trucks and third parties<br />

� Load balancing at customs authorities and <strong>Wim</strong> <strong>Bosman</strong><br />

warehouse<br />

23


Screenshot GLP<br />

24


Inbound lead-time reduction<br />

And we did more!<br />

� Gas measurement while in customs yard<br />

� Smart planning (prioritization)<br />

� Advanced defumigation–installation for containers<br />

� 24x7 defumigation possible<br />

� Secured and in all weather conditions<br />

� Duty and VAT payment by <strong>Wim</strong> <strong>Bosman</strong><br />

� Deposit<br />

� Material handling (dock to stock) at <strong>Wim</strong> <strong>Bosman</strong><br />

� Man power and equipment planning<br />

� Instant EDI-confirmation (GR) after unloading (clean CMR)<br />

� GR-message received � available to sale<br />

25


Inbound lead-time reduction<br />

…and this would help too in the future!<br />

� No more 100% container scanning in Constanta � since<br />

January 2011<br />

� Shared trucking pool for shipping lines<br />

� Higher reliability of truck planning by shipping lines<br />

� Better infrastructure (e.g. Constanta bridge)<br />

� Further automation and modernization of procedures at<br />

customs authorities<br />

� Opening hours<br />

� Electronic (pre-)announcements, paperless declaration<br />

� No physical presence at customs office<br />

� AEO principles to be applied more and more<br />

� Match with e.g. Dutch customs procedures<br />

26


Results and summary<br />

What did we realize so far?<br />

� Worst case scenario: 7 days<br />

� KPI-target on-time GR: 4 days<br />

� Current average lead-time: 2-3 days<br />

� KPI on-time GR 2011: 98%<br />

… and how did we realize it?<br />

� Very close cooperation and open communication<br />

� Continuous improvement program<br />

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