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Supply Chain Management:
Technology
Heinrich Kaniude
Contents Overview Warehouse Management System Voice-directed Warehousing E-commerce Recommendation Q/A
Established in 19731
Multi-Channel Retailer of household goods2
2/3 of population has an Argos catalogue2
130 million customers a year2
£4.3 billion revenue in 20112
33,000 employees2
Overview
Supply Chain Excellence Award
Has been awarded the BT Retail Assist Supply Chain Excellence Award in 2010 for their Voice-directed Put-Away system3
Warehouse Management System
(WMS) Storage Related Activities
Put AwayGoods ReceptionStock Management Order Reception & Picking Dispatch Material management
Voice-directed Warehousing
Uses speech recognition and speech synthesis to allow workers to communicate with WMS
Computer :
Go to building one
Operator : Ready
Computer: Aisle five
Operator : Ready
Computer: Bay twenty-seven
Operator : Ready
Computer :
Pick four boxes of Justin Bieber Albums
Comparison between RF and Voice
Arrive at bin
Scan locatio
n barcode load next
screen
Scan product barcode load next
screen
Read pick
quantity
Put terminal down
Material handling- picking
Pickup
terminal
Confirm qty
on termin
al, load next
screen
Read next
picking locatio
n
Leave
bin
Total 26-46s
per locatio
n
(3s) (5s) (2s) (1s) (10 – 30s) (1s) (2s) (2s)
Arrive at bin
Say visual check digits as you arrive
Read check digits,
told qty
Told pick qty promptly after check digit read
Terminal worn, no need to
put down
Material handling- picking
Terminal
worn, no
need to
pick up
again
Qty auto-con-
firmed by
voice as
picked
Next locatio
n given alread
y
Leave bin
Total 15-35s
per locatio
n
(2s) (10 – 30s)
RF Scanning
Voice
Benefits to Argos Improved Argos’ put-away process
efficiency by up to 24%4
Warehouse layout flexibility
Ability to stock greater variety of products
E-business at Argos
Manufacturer Consumer
E-SCM (B2B)
E-Commerce (B2C)
Argos works with Transalis to maximise their European supply chain efficiency, to manage their B2B electronic enablement for up to 650 suppliers.
- In 2011 - 32 % of total sales are through the Internet
- 2nd largest internet retailer in the UK5
Questions?
References [1] http://en.wikipedia.org/wiki/Argos_(retailer) [2] http://www.homeretailgroup.com/about-us/our-awards/ [3] http://www.homeretailgroup.com/about-us/our-awards/ [4] http://www.zetes.co.uk/en/references/retail/argos-voice [5] http://www.homeretailgroup.com/ar/2010/review/argos/