Kuehne + Nagel: Optimising Global Supply Chains Through Integrated Logistics and Digital Innovation
Kuehne + Nagel’s vendor-managed inventory solutions reduce inventory and improve efficiency of inbound material flow. We can turn your supply chain into a competitive advantage, controlling your costs while implementing best practices governing such critical solutions as vendor-managed inventory. With more than 30 years of experience serving the high-tech community, we have the knowledge and infrastructure to assist you anywhere in the world.
Vendor-Managed Inventory and Supply Logistics
An effective supply logistics solution – which may include postponing ownership of the inventory until shipment to the manufacturing site or end customer – can help you meet the challenges of an increasingly complex supply chain. The solution includes a vendor-managed inventory (VMI) program that postpones ownership of the inventory until shipment to the manufacturing site or distribution point. Working closely with you and your suppliers, we automate the forecast management process with Web-based software that enables the flow of supply to more accurately mirror demand.
Our supply logistics approach incorporates three primary components:
- Move your inventory into our distribution centers and manage demand planning with Web-based applications.
- Postpone inventory ownership until shipment to your site or until demand occurs.
- Perform value-added services, allowing you to more efficiently manage the flow of goods into manufacturing or directly to market.
These value-added services include de-trashing, materials preparation such as kitting, testing and finished-goods inspection, components programming, and sub-assembly.
Warehouse Automation and Smart Management Systems
Increasing order capacity within the same space is possible through warehouse automation combined with a smart warehouse management system (WMS). For a well-known shoe brand with a distribution centre in Luxembourg, the solution from Costo ensures that the total output of the warehouse was doubled, without expanding the warehouse to do so. In this warehouse, zone-picking was chosen; this means that the boxes are transported to a picking zone via a conveyor.
The Arrow-WMS calculates the required size of the box, so that as little air as possible is packed and transported. In addition, the system works with an RFID tag: with this tag the orders are checked by a scan tunnel. With this RFID tag, the warehouse now has 100% order accuracy. This allows us to see exactly how the intralogistics in the warehouse are running and quickly locate any congestion or error message.
Key Logistics Performance Data
| Solution Category | Key Features & Technological Benefits |
|---|---|
| Vendor-Managed Inventory | Postponed ownership, automated forecast management, and reduced inbound material costs. |
| Warehouse Automation | Doubled output capacity, 100% order accuracy via RFID, and optimized box sizing to reduce waste. |
| Road Customer Visibility | AI-driven shipment insights, predictive ETAs, and item-level tracking via 100M+ devices. |
Technological Transformation and Real-Time Visibility
Kuehne + Nagel has introduced a new Road Customer Visibility platform to build a comprehensive, global smart label reader network to elevate efficiency. It has partnered with Chorusview Inc. to build a globally available smart label reader network, which can connect to more than 100 million devices. Kuehne + Nagel’s Road Customer Visibility platform transmits label data to the cloud, where AI can deliver actionable shipment insights for customers.
The system is powered by AI and machine-learning to provide predictive ETAs at item-specific levels. Item-level visibility is transforming the logistics of industries where accurate ETAs and condition monitoring are critical for effective resource management, customer satisfaction and business continuity. This creates efficient supply chain visibility, without the risk of manual errors or delays. Real-time tracking and data-driven decision making also helps reduce waste and loss in areas like inventory management and returns logistics.
Flexible solutions ensure your supply chain remains agile to seamlessly adapt to market changes, business growth, or transformations. Drive efficiency gains through automation technologies that reduce human error, increase accuracy and decrease operational costs.
