Haberkorn Ulmer improves Service with Supply Chain Strategy
Frankfurt on the Main, March 2010. After the merger of the Austrian technical trading companies Haberkorn and Ulmer in 2006 the new entity had to cope with completely new challenges for logistics and warehousing. To achieve excellent customer service and profitability the new supply chain strategy combined both local siting and optimizing logistics processes with a new central warehouse.
Orientation towards customers from the fields of craft, construction and industry has been top priority for both merged companies. Haberkorn Ulmer attaches importance to high product knowledge and professional advisory services for their customers, who can choose from a wide range of product assortment with flexible, customized procurement logistics.
The new supply chain strategy combines different advantages: the warehouse centralisation should optimize cost-structures and the newly built cash and carry market and a wide product range should enlarge the customer service.
All three goals have been achieved: The centralisation of the warehouse logistics, situated in the border triangle Austria, Germany and Switzerland, optimized both service level and cost structure.
The supply chain strategy based on a central warehouse concept but without losing local siting. That is why Haberkorn Ulmer also built a cash and carry market where customers have the advantage to choose from a wide range of products and still have a very short waiting time: Daily controlling makes sure that customers receive their products within seven minutes only. The company’s delivery service sets another benchmark: the goods will be delivered within 24 hours all over Austria.
Today Haberkorn Ulmer’s warehouse logistics complex occupies an area of 10’000 m² and has a total floor space of 22’000m². This ensures optimal logistics functions on the one hand and flexibility on the other so that the product range can adjust to changes in the market on long term.
The new logistics structure of Haberkorn Ulmer, planned and developed with the help of Miebach Consulting, enhances sustainable economic development and customer service.
„The key factor to success was the team“
Abstract from the interview about the merger of Haberkorn Ulmer with Gerald Fitz, chairman of Haberkorn Ulmer, and with Rainer Schulz, managing director of Miebach Consulting, Zug, who has been a long term logistics consultant of the merged trading company. (Interviewer: Dr. Volker Krobisch).
Krobisch: Mr. Fitz, four years after the merger of Haberkorn and Ulmer, what remains highly memorable and what revives bad memories?
Fitz: It was very positive how we started the project. We have started the new distribution concept for the whole of Austria. Derived from that we planned the technical concept for the new logistics centre and in a next step we carried out the detailed planning. This step by step approach surely was very effective. Another key factor to success was the team. Both companies have excellent employees and did harmonize very well. In addition to our internal know how Miebach Consulting completed our team with practical external expertise.
Krobisch: After the merger the assortments of both companies - 20.000 and 60.000 products - were brought together in the new central warehouse. In how far has ramp up management been an important factor for the project´s success?
Fitz: The most important aspect is that ramp up management has to be a part of the project. It has similar structures like projects like planning, communication, decision and controlling.
Schulz: Ramp-up management should ensure smooth transition from the old logistics structures to the new one. The situation becomes critical when employees underestimate the problems occurring during the start-up phase. The new warehouse should not be considered finished after building.
It takes time to incorporate major changes like creating a new logistics distribution structures.
Fitz: With success! Now with our new distribution concept we are able to achieve high throughputs and offer a wide range of services. Per day we are delivering 5000 items from a range of 80.000 goods in stock to our customers within 24 hours in Austria. That says it all, I think.